| 10 August 1999
Dear Staff,
As the UNE community knows, we are about to enter the next round of Enterprise
Bargaining for both general and academic staff. In these extremely trying times for the
Australian university system the bargaining process can be difficult, as several
institutions have experienced recently.
The University reaffirms adamantly its belief that all staff deserve substantial
improvements in pay. UNE staff have contributed willingly in helping the University set
new directions in recent years, and in improving a most serious financial situation.
Throughout that time, staff efforts everywhere have enabled UNE to maintain its
traditionally high standards of teaching, research, scholarly and intellectual endeavour,
despite increasing workloads and much tighter budgets.
Members of Council and the University acknowledge and appreciate unreservedly the
importance of that commitment and dedication of staff.
The Vice-Chancellor, for example, made a very strong presentation in support of staff
at the meeting of the Finance Committee, 21 May 1999. The Committee minutes noted that
"there has been, over the last number years, a very large increase in student
enrolments who are being taught by a largely decreased academic staff body supported by a
largely decreased general staff body. This indicates that the overall efficiency of both
academic and general staff has increased. There should be an acknowledgement that people
are working very hard and that they deserve a pay rise. The reality is that unless
expenditures decrease and/or income increases there is no money to pay adequate salary
increases."
It is imperative that the UNE community appreciates fully a key condition - the present
financial position makes it impossible to meet fully even legitimate expectations, let
alone unrealistic claims.
In that circumstance, the University will do its absolute best to produce offers that
involve modest direct salary increases, indirect financial benefits, and improvement in
working conditions.
The offers, predictably, will not please everyone, and those entertaining high
expectations will be disappointed.
However, the point is simple: the University cannot afford increases in salary and
conditions of the magnitude sought in some quarters.
Over the past two years, numerous financial presentations throughout the University
have demonstrated the situation in which UNE finds itself. Liquidity is low, reserves are
low, costs are high, and expenditure matches income.
That financial data and background will be demonstrated further in the coming weeks.
Added to that UNE-specific condition, the entire university sector is entering a
further period of funding uncertainty as demonstrated by the Green Paper on research, and
by speculation already surrounding the imminent paper on funding for teaching and
learning. This follows earlier important Government funding decisions, such as declining
to supplement salary rises determined through Enterprise Bargaining.
UNE, then, has to fund any salary and salary-related increases from within its own
resources and, at present, those are constrained.
From 2002 onwards, the University hopes to be in a healthier financial position as
inherited heavy debts are retired, and benefits appear from new revenue raising efforts.
At this moment, however, the University must continue to exercise financial restraint,
and that will be reflected in the Enterprise Bargaining proposals.
Hard bargaining and tough negotiation are to be expected. That is as it should be.
But while bargaining and negotiation proceed, there is a clear limit to what the
University can do.
Beyond that limit the very mission of the University, and the people within it, will be
jeopardised.
Professor Brian Stoddart
Pro Vice-Chancellor (Research & External) |