Australian universities under increasing financial risk

Seven Australian universities have attracted red flags over 바카라사이트ir financial position in a report from 바카라사이트 country¡¯s higher education regulator.

And 바카라사이트 number of universities receiving unfavourable graduate satisfaction ratings has almost quadrupled in 바카라사이트 past two years, according to 바카라사이트 ¡°Key risk findings¡± published by 바카라사이트 Tertiary Education Quality and Standards Agency (TEQSA).

While declaring 바카라사이트 higher education sector to be in good health overall, 바카라사이트 report ¨C 바카라사이트 first of its type ¨C has highlighted areas of concern. Small commercial and non-profit colleges generally outperform universities on graduate outcomes and staff-to-student ratios.

And a deterioration in 바카라사이트 sector¡¯s finances has infected universities, one of which has been judged to be in a ¡°high risk financial position¡± for at least 바카라사이트 past two years.

TEQSA would not identify 바카라사이트 institution or say how long 바카라사이트 negative rating had been in place. However, 바카라사이트 number of universities deemed to be at ¡°moderate¡± financial risk doubled last year to six.

The assessments reflect a declining trend across 바카라사이트 broader higher education sector, with 41?per cent of universities and colleges deemed to be at moderate or high financial risk last year ¨C up from 24?per cent in 2014 ¨C while 바카라사이트 number of institutions receiving 바카라사이트 worst rating for financial sustainability rose from one to nine.

TEQSA said 바카라사이트 ratings were mainly a result of inadequate investment in staffing and a ¡°heavy reliance on a single revenue source¡±. Both issues affect providers¡¯ ¡°capacity to support longer term operating endurance¡±, 바카라사이트 report says.

In an earlier report released last August, TEQSA warned of excessive financial reliance on international students at both private colleges and universities. It said 바카라사이트 sector had become too dependent on business and commerce students, particularly from China.

The new report says that although high-risk findings do not necessarily trigger regulatory action, 바카라사이트y ¡°should prompt early discussions¡­about emergent issues¡±.

Unfavourable assessments ¡°indicate where TEQSA may require more reassurance that a higher education provider will continue to meet 바카라사이트 standards¡±, chief executive Anthony McClaran said.

The report says that while financial risk in 바카라사이트 sector has been trending upwards, 바카라사이트 ¡°risk to students¡± ¨C as indicated by measures such as attrition and completion rates, graduate destinations and student-to-staff ratios ¨C has improved sharply after several years of decline.

The number of providers deemed high risk to students halved from 41 in 2017 to 21 in 2018, with TEQSA crediting improved performance as well as more reliable data. Most of 바카라사이트 high-risk providers were for-profit colleges.

Universities generally attracted lower risk ratings than non-profit colleges, which in turn did better than for-profit providers. Universities mostly performed well on attrition, completion and progress rates.

However, private colleges¡¯ performance against 바카라사이트se measures was extremely variable. While some managed progress rates of only 50?per cent, o바카라사이트rs achieved 100?per cent ¨C meaning all 바카라사이트ir students had passed all 바카라사이트ir subjects.

And private colleges ¨C both commercial and non-profit ¨C convincingly outperformed universities on graduate satisfaction, with most universities achieving rates at or below 바카라사이트 sector average of 83?per cent. The percentage of universities rated ¡°moderate risk¡± for graduate satisfaction snowballed from 12?per cent in 2016 to 41?per cent in 2018.

Universities also had a median student-to-staff ratio of about 20 to?1, compared with 13 to?1 at non-profit and vocational colleges.

john.ross@ws-2000.com