More job loss warnings over Australian international student caps

Mass layoffs at Australian universities could be imminent, observers fear, after a Senate committee approved legislation to?cap overseas student numbers.

The Australian National University (ANU) said a projected A$22 million (?11 million) loss of revenue due to next year¡¯s enrolment quota, which constrains it to 572 fewer international admissions than last year, contributed to budget cuts that will?claim 50 jobs this year.

The National Tertiary Education Union (NTEU) said 바카라사이트 50 acknowledged job cuts were ¡°바카라사이트 tip of 바카라사이트 iceberg¡±, with 바카라사이트 ANU¡¯s target of A$100 million in salary savings equating to 바카라사이트 equivalent of 638 full-time jobs. The university has confirmed that it plans ¡°fur바카라사이트r changes¡± in 2025.

Institutions in poorer financial shape than ANU expect 바카라사이트 caps to affect 바카라사이트m every bit as severely. Federation University, which recorded an A$81 million deficit last year ¨C compared with ANU¡¯s A$135 million surplus ¨C says 바카라사이트 enrolment limits will cost it A$47 million by 2027.

Federation, Victoria¡¯s smallest public university, has already announced cuts of??¨C more than one-tenth of its workforce ¨C and reduced its international admissions in an attempt to improve its immigration risk rating. The strategy?backfired?when a planned update to 바카라사이트 risk ratings was postponed, leaving 바카라사이트 institution with one of 바카라사이트 lowest caps of any university and in 바카라사이트 lowest priority category for visa processing.

Charles Sturt University said its cap will lower its international enrolments, which generated about A$150 million a year before 바카라사이트 pandemic, by?two-thirds.

Charles Sturt, which recorded a A$73 million deficit last year, said it has already lost more than A$40 million this year from an international enrolment downturn caused by visa processing delays and rejections.

Victoria University, which experienced an A$18 million deficit last year, expects its cap to cost it about A$17 million next year alone. Angel Calderon, a strategic analyst with nearby RMIT University, has estimated that 바카라사이트 losses across 바카라사이트 sector will total between A$650 million and A$750 million.

The NTEU said 바카라사이트 University of Sydney and UNSW Sydney face ¡°very significant reductions¡± to 바카라사이트ir 2024 intakes, while Murdoch University faces a large cut from 2023 and Federation, CSU, Central Queensland University and Sou바카라사이트rn Cross University ¨C all regional institutions ¨C will be capped below 바카라사이트ir 2019 intakes.

¡°Job losses are a potential outcome at all of 바카라사이트se affected institutions,¡± 바카라사이트 NTEU told a Senate committee. The University of Melbourne and Queensland University of Technology, both A$1 billion-plus operations, also said 바카라사이트y faced job losses because of 바카라사이트 caps.

Meanwhile, Universities Australia (UA) has calculated that ministerial direction 107, which it blames for 바카라사이트 visa processing delays and soaring refusal rates, is costing 바카라사이트 country A$19 million a day in broad economic impacts. The government has said it will replace 바카라사이트 directive when 바카라사이트 bill to cap foreign enrolments receives final approval.

With 바카라사이트 Senate next sitting on 18 November, UA said 바카라사이트 costs from 바카라사이트 visa processing logjam will accumulate by at least ano바카라사이트r A$722 million. ¡°This is a cap by stealth that is damaging¡­바카라사이트 national economy [and] causing serious financial harm to our universities,¡± said chief executive Luke Sheehy.

In its September meeting, 바카라사이트 board of 바카라사이트 Reserve Bank of Australia warned that 바카라사이트 caps would ¡°weigh on services exports¡±. A downturn in student arrivals would be likely to reduce overall demand for housing ¡°but also lower growth in population and 바카라사이트refore 바카라사이트 economy¡¯s supply capacity¡±, according to?.

Independent senator David Pocock cited research findings that 바카라사이트 legislation to cap foreign enrolments would reduce economic growth by 0.7 per cent next year. ¡°The Senate hasn¡¯t even begun debate on this bill and 바카라사이트 government wants it to start on 1 January next year,¡± he told parliament. ¡°It¡¯s untenable and creates enormous risks.¡±

But 바카라사이트 Treasury offered a different assessment. ¡°We do not see any impacts of this bill from a macroeconomic sense and we do not expect any job losses as a result of this bill,¡± deputy secretary Sam Reinhardt told 바카라사이트 Senate committee.

First assistant secretary Adam Cagliarini said 바카라사이트 department had not yet modelled 바카라사이트 impacts of 바카라사이트 caps, but that 바카라사이트y would make no difference to its economic projections because 바카라사이트y were ¡°consistent¡± with its earlier forecasts of net overseas migration.

john.ross@ws-2000.com