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News & Views item - March 2006 |
And Then There's New Zealand. (March 13, 2006)
Thursday,
9 March 2006, 12:25 pm
Press Release: Vice Chancellors' Committee
New Zealand Association of University Staff
Report: Universities Under-Funded, Salaries Inadequate
Representatives from the New Zealand Vice-Chancellors’ Committee (NZVCC) and
Association of University Staff (AUS) have presented the Minister for Tertiary
Education, Dr Michael Cullen, with a report showing that universities are
under-funded, and that salaries are at an inadequate level as a consequence.
Key facts from the report, prepared by major accountancy firm Deloitte, reveal
that while New Zealand university academic staff salaries are low by
international and domestic standards, universities here do not have the internal
capacity to increase salaries to the required level. Salaries are 36 per cent
higher in Australia than New Zealand, adjusted for purchasing power.
Government funding makes up 38 per cent of New Zealand university income,
compared to 46 per cent in comparable Australian universities. This, combined
with significantly lower tuition fees in this country, means that Australian
universities receive 40 per cent more per student, when adjusted for purchasing
power parity, from government than their New Zealand counterparts.
Looking ahead, the report shows that New Zealand university enrolment numbers
are expected to increase by up to 14,000 full-time equivalent students by
2010-11, requiring a further 700 to 800 academic staff. This development is
expected to be compounded by an international shortage of university academic
staff.
NZVCC Chair Professor Roy Sharp said the report provided a relevant analysis
from which to work with the Government and unions to develop strategies to
address funding and salary problems facing the university sector.
“Despite the overall income of New Zealand universities being 40 per cent less
per student than that of our Australian counterparts, we have to this point been
able to maintain comparable staff to student ratios and high standards of
quality. But that cannot go on indefinitely.”
Association of University Staff General Secretary Helen Kelly said it was clear
from the report that this Government’s involvement was needed to provide both
immediate and long-term solutions, and that the Universities Tripartite Forum,
established last year, is the ideal mechanism for this to occur.
“Not only do we face international competition for high calibre university
staff, we also now have to contend with increasing competition from other
sectors of the New Zealand employment market.”