26 March 2012

Wielding the axe at ANU. $25 million in job cuts!

26 March 2012 | johnboy

ANU’s Vice-Chancellor Ian Young has announced he’s planning to trim his budget by $40 million (or 5% of revenue):

We are not alone in having global and national financial circumstances cut into our bottom line.

Investment returns have declined in recent years. The 2012 budget indicates investment returns will be $30 million less than in 2011. This reduction directly impacts on the funds available to operate the University.

In addition, the significant capital investments made in recent years mean that depreciation costs have increased by approximately $10 million compared with 2011.

A number of these issues were discussed in my 13 December 2011 email to staff on the 2012 University recurrent budget.

These external factors, together with substantial wage increases (4.5 per cent in 2012) and services expenses (increase of $26 million in 2012) have meant that the 2012 budget has a projected surplus of only $14 million, or less than 1.5 per cent of total revenue.

The sector average is 4 per cent, a figure which the Commonwealth monitors as a measure of financial health.

We have now reached a point at which there is no option but to take bold action. If we do not act to reduce spending the University will be unable to invest in excellence, and will suffer a gradual decline in international standing and quality.

To bring things in he’s planning to cut $25 million in staff expenses and $15 million to improve business practices.

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Lazy I7:47 am 04 Apr 12

c_c said :

Those who want to read more details can find them here: http://about.anu.edu.au/strategy-reviews/financial

On the news tonight, it was said by Education Union reps that this was downsizing by stealth, and some of the language in the VC’s plans linked to above support that.

For example:

“Should the proposal as outlined here be adopted:

Engage external management consultant – 3 month study, implementation could be up to 2 years”

Implementation up to 2 years?

For something that has arisen with so little notice, seemingly in a panic, there’s a lack of urgency in that when the cuts might not be finished until after the budget period they’re trying to rain in spending for.

It would also suggest they don’t expect the ANU’s financial position to improve. I wonder when they’ll make another announcement in a future year about cuts.

I hope they packed an umbrella!

c_c11:09 pm 03 Apr 12

Those who want to read more details can find them here: http://about.anu.edu.au/strategy-reviews/financial

On the news tonight, it was said by Education Union reps that this was downsizing by stealth, and some of the language in the VC’s plans linked to above support that.

For example:

“Should the proposal as outlined here be adopted:

Engage external management consultant – 3 month study, implementation could be up to 2 years”

Implementation up to 2 years?

For something that has arisen with so little notice, seemingly in a panic, there’s a lack of urgency in that when the cuts might not be finished until after the budget period they’re trying to rain in spending for.

It would also suggest they don’t expect the ANU’s financial position to improve. I wonder when they’ll make another announcement in a future year about cuts.

HenryBG4:19 pm 27 Mar 12

EvanJames said :

HenryBG said :

Jim Jones said :

The ANU is highly regarded precisely because of the quality of it’s research.

I reckon an insufficient volume of that research has been aimed at finding out how to remediate apostrophic illiteracy in the general population.

I’d send round the hat for that project. It’s pretty incredible. On this site alone, I think you could show that more people now misuse apostrophes than use them correctly.

But it’s so haaard to use them correctly….

c_c3:47 pm 27 Mar 12

urchin said :

c_c said :

If all the did was teach what already exists, where would medicine be? We’d still be teaching med students that fever is caused by the blood becoming too hot and the cure for headache is to drill a hole in someone’s head.

If you’re being serious in your comment, then you would appear to be missing the point of University entirely.

Well, to give them some credit, drilling a hole in someone’s head–if one drills deep enough–*would* cure the headache.

I’m sure there’s no shortage of deadweight at the ANU just as there is in any large organisation. Will they actually succeed in getting rid of the people who ought to be gotten rid of? Doubtful. Probably because a fair number of the people who ought to be gotten rid of will be the ones put in charge of getting rid of people.

A number of senior academics have either quit or retired recently, and certainly a year or so ago, the new had of Social Sciences was waging a campaign to force out many staff in an underhanded way.

These cuts will be on top of the quieter cuts and attrition that has been going on for a while.

No doubt there is dead weight, but when the ANU says some of the savings will be in research, there is cause for concern.

EvanJames3:45 pm 27 Mar 12

poetix said :

Now I’m off to read something particularly useless.

http://stoppingoffplace.blogspot.com.au/2010/04/uselessness-of-everything.html

EvanJames3:41 pm 27 Mar 12

HenryBG said :

Jim Jones said :

The ANU is highly regarded precisely because of the quality of it’s research.

I reckon an insufficient volume of that research has been aimed at finding out how to remediate apostrophic illiteracy in the general population.

I’d send round the hat for that project. It’s pretty incredible. On this site alone, I think you could show that more people now misuse apostrophes than use them correctly.

When you see an “it’s” used as a possesssive, opening out the It’s to It Is or It Has renders the sentence nonsensical.

For the confused, “it’s” means it is, or it has. It never means that the it owns something.

HenryBG3:33 pm 27 Mar 12

Another way of saving money would be to cease providing no-charge University services to ex-chancellors who no longer work for the University.

p13:21 pm 27 Mar 12

ThatUniStudent said :

Oh, and here’s another way to save money. Cancel all research. All of it. You won’t need to pay researchers and professors who waste public and private money on rubbish like what is the relationship between beer and dating in relationships or the influence of ingroups on television show choice. Instead go back to the roots of universaties as educational institutes and focus on some quality education. That will attract students back and make the ones there feel a little less like the university considers them to be walking ATMs.

At risk of jumping on the band wagon… they should cancel all undergrad teaching in it’s entirety. That way they can also sack any senior staff who are not producing anything new, leaving cheaper staff who are doing research in new and interesting things (the reason for Unis, after all).

Shame their money comes from being sausage factories. 🙁

urchin3:16 pm 27 Mar 12

c_c said :

If all the did was teach what already exists, where would medicine be? We’d still be teaching med students that fever is caused by the blood becoming too hot and the cure for headache is to drill a hole in someone’s head.

If you’re being serious in your comment, then you would appear to be missing the point of University entirely.

Well, to give them some credit, drilling a hole in someone’s head–if one drills deep enough–*would* cure the headache.

I’m sure there’s no shortage of deadweight at the ANU just as there is in any large organisation. Will they actually succeed in getting rid of the people who ought to be gotten rid of? Doubtful. Probably because a fair number of the people who ought to be gotten rid of will be the ones put in charge of getting rid of people.

c_c3:05 pm 27 Mar 12

ThatUniStudent said :

Oh, and here’s another way to save money. Cancel all research. All of it. You won’t need to pay researchers and professors who waste public and private money on rubbish like what is the relationship between beer and dating in relationships or the influence of ingroups on television show choice. Instead go back to the roots of universaties as educational institutes and focus on some quality education. That will attract students back and make the ones there feel a little less like the university considers them to be walking ATMs.

Trolling or dangerous stupidity, not sure.

ANU was (as Jim Jones pointed out rightfully) established as a research only institution to further knowledge in the Commonwealth. Indeed Universities have their genesis in the quest for knowledge, in researching and challenging concepts. They do nothing for society standing still, merely reading from an existing text book.

If all the did was teach what already exists, where would medicine be? We’d still be teaching med students that fever is caused by the blood becoming too hot and the cure for headache is to drill a hole in someone’s head.

If you’re being serious in your comment, then you would appear to be missing the point of University entirely.

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