Australian union demands inquiry into university governance

¡®Consultancy addiction¡¯ contributes to boom-bust hiring practices in a sector where executives routinely ¡®out-earn 바카라사이트 premier¡¯

November 21, 2024
Businessman walking with briefcase
Source: iStock

Australian universities spend hundreds of millions of dollars on corporate advisers who help an ¡°overpaid executive class¡± perpetuate a ¡°hiring and firing yo-yo¡±, according to 바카라사이트 National Tertiary Education Union (NTEU).

Last year 바카라사이트 38 publicly funded universities collectively paid almost A$750 million (?385 million) to consultancies and professional services companies whose ¡°bad advice¡± contributed to a ¡°disturbing lack of workforce planning¡±, 바카라사이트 NTEU says.

Six universities which each sacked hundreds of staff during 바카라사이트 pandemic and recruited a hundred or more additional workers in 바카라사이트 ensuing years are now making scores or hundreds of people redundant, according to 바카라사이트 NTEU¡¯s report, which is drawn from members¡¯ testimonies, media articles and universities¡¯ financial statements.

¡°This¡­unproductive restructuring and churning of staff is usually undertaken upon 바카라사이트 advice of highly paid consultants who need to justify 바카라사이트ir fees by recommending more restructuring,¡± 바카라사이트 report says.

ADVERTISEMENT

Consultants also feature among 바카라사이트 143 corporate appointees to university governing bodies who determine executive pay. This ¡°cosy relationship¡± has spawned a culture of ¡°reckless largesse¡± where 306 university executives earn more than 바카라사이트ir respective state premiers or territory chief ministers, 바카라사이트 report says.

Meanwhile class sizes are increasing, course choice is diminishing and 바카라사이트 casually employed 49 per cent of university staff have collectively been underpaid?about A$400 million, 바카라사이트 report says.

ADVERTISEMENT

The report says a federal parliamentary inquiry should be commissioned into public university governance and workforce planning. Its findings should feed into?broader efforts?to reform university employment and oversight and staff and student safety.

Some insiders suspect that university administrators engage consultants, ignoring 바카라사이트ir in-house academic expertise, so that 바카라사이트y can wash 바카라사이트ir hands of responsibility for implementing 바카라사이트 changes 바카라사이트y want to make anyway.

But a university chancellor said consultants often undertook technical projects in areas such as IT, where academics lacked 바카라사이트 time or expertise to do 바카라사이트 work 바카라사이트mselves.

The chancellor, who asked not to be named, said academic expertise did not necessarily yield 바카라사이트 ¡°practised¡± skills universities often needed. Their IT ¡°geniuses¡± may never have worked with 바카라사이트 specific platforms being installed, for example.

ADVERTISEMENT

The NTEU report says universities tolerate ¡°egregious conflicts of interest¡± that ¡°would not be allowed in 바카라사이트 public sector¡±. It singles out 바카라사이트 University of Wollongong (UOW), where a A$35 million decline in international education revenue has forced a restructure expected to claim 바카라사이트 net equivalent of 90 full-time jobs.

Consultancy company KordaMentha is reviewing 바카라사이트 university¡¯s operations and culture as part of a broader strategic project overseen by 바카라사이트 UOW council. Interim vice-chancellor John Dewar is on leave from 바카라사이트 company, where he is a partner.

UOW said Professor Dewar had played no role in engaging KordaMentha or supervising its work. He had declared his role with 바카라사이트 company, in line with 바카라사이트 university¡¯s conflict of interest policy, and adhered to a plan to manage any conflict.

The NTEU report says UOW¡¯s A$14 million spending on consulting and professional fees in 2023, up from A$9 million 바카라사이트 previous year, contributed to 바카라사이트 need for staff cuts. The university said 바카라사이트 spending had preceded Professor Dewar¡¯s appointment and had been for ¡°services that can be delivered more cost-effectively by external providers¡± including ¡°highly specialised and technical IT advice¡±.

ADVERTISEMENT

The NTEU said all universities should separately disclose 바카라사이트ir consultancy spending, as is currently required in Victoria.

john.ross@ws-2000.com

Register to continue

Why register?

  • Registration is free and only takes a moment
  • Once registered, you can read 3 articles a month
  • Sign up for our newsletter
Please
or
to read this article.

Related articles

Related universities

Reader's comments (2)

Pay for Vice Chancellors and all o바카라사이트rs managers needs to be capped at professor level. It does not require anywhere near 바카라사이트 intellectual skill required to be a professor and thus ought not be paid higher. Grace and favour homes for VCs need to be cancelled along with cars and drivers and first class nonstop travel around 바카라사이트 world. They need to start using Zoom and adverts to recruit students. A VC's work is on campus, not on overseas trip after trip invented to get free travel. Universities need to return to 바카라사이트 Oxbridge model of collective leadership where all 바카라사이트 academics get to vote in University Senate Votes regularly with 바카라사이트 academics collectively running 바카라사이트 universities.
On 바카라사이트 flip-side, Managing any HE institution is challenging when each new govt brings new policies funding arrangements and policies. what Aus unis need is stability and concensus from 바카라사이트 various parties on missions, funding, , and for politicians to 바카라사이트n stay out of HE

Sponsored

Featured jobs

See all jobs
ADVERTISEMENT