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Gillard budget cuts led to ANU job losses, says Kim Carr Gillard budget cuts contributed to ANU job losses, says Kim Carr
(35 minutes later)
Kevin Rudd's higher education minister Kim Carr has effectively blamed the Gillard government for a top university's decision to cut 230 jobs, saying it was clearly linked to Labor's budget decision to cut $2.3 billion from university funding. Kevin Rudd's higher education minister Kim Carr has effectively blamed the Gillard government for a top university's decision to cut 230 jobs, saying it was clearly linked to Labor's budget decision to cut $2.3bn from university funding.
But he said any changes the Rudd government made would also have to meet the "budget rule" that new spending be offset by savings.But he said any changes the Rudd government made would also have to meet the "budget rule" that new spending be offset by savings.
Carr revealed to Guardian Australia on Monday he would "re-examine" the controversial cuts to university funding imposed when Craig Emerson was minister, with budget savings possibly found by capping the number of undergraduate students able to study.Carr revealed to Guardian Australia on Monday he would "re-examine" the controversial cuts to university funding imposed when Craig Emerson was minister, with budget savings possibly found by capping the number of undergraduate students able to study.
On Monday night he was advised by Australian National University chancellor Ian Young about the job cuts, which were part of the university's response to losing $50 million in federal funding over two years as a result of the cuts announced in the budget to help pay for the Gonski school funding reforms. On Monday night he was advised by Australian National University chancellor Ian Young about the job cuts, which were part of the university's response to losing $50m in federal funding over two years as a result of the cuts announced in the budget to help pay for the Gonski school funding reforms.
Carr said ANU officials had "indicated in their view this is a direct result of the decisions that have been taken since December last year". In his own view, the government's budget cuts had "obviously had an impact".Carr said ANU officials had "indicated in their view this is a direct result of the decisions that have been taken since December last year". In his own view, the government's budget cuts had "obviously had an impact".
The full impact of the cuts would depend on the proportion of a university's revenue that came from federal government funding, but many universities were even more dependent on government money than the ANU.The full impact of the cuts would depend on the proportion of a university's revenue that came from federal government funding, but many universities were even more dependent on government money than the ANU.
Carr said he would meet vice-chancellors "to discuss any proposals they have about better ways we have to spend available resources". At the same time, he was he was "obliged to meet the budgetary parameters that have been set by the cabinet, that things have to be revenue-neutral".Carr said he would meet vice-chancellors "to discuss any proposals they have about better ways we have to spend available resources". At the same time, he was he was "obliged to meet the budgetary parameters that have been set by the cabinet, that things have to be revenue-neutral".
Again suggesting he could revisit the government's decision to "uncap" funding in favour of a demand-driven system for all undergraduate degrees other than medicine, he pointed out that "a number of universities can't meet the places they now have available … so it may well be an appropriate time to look at the balance between standards and the demand levels".Again suggesting he could revisit the government's decision to "uncap" funding in favour of a demand-driven system for all undergraduate degrees other than medicine, he pointed out that "a number of universities can't meet the places they now have available … so it may well be an appropriate time to look at the balance between standards and the demand levels".
Universities have been waging a fierce and effective campaign against the shock announcement in the budget that $2.3 billion would be cut from higher education to help fund the schools reforms.Universities have been waging a fierce and effective campaign against the shock announcement in the budget that $2.3 billion would be cut from higher education to help fund the schools reforms.
Carr, who has returned to his old innovation portfolio as well as gaining responsibility for higher education, said the government was providing record funding to universities, and it was a good thing that many working-class students had been given access to tertiary education.Carr, who has returned to his old innovation portfolio as well as gaining responsibility for higher education, said the government was providing record funding to universities, and it was a good thing that many working-class students had been given access to tertiary education.
But he said the number of students receiving a university offer with an Australian tertiary admission rank (ATAR) score of less than 50 had increased from 2.1% in 2011 to 4.1% in 2013.But he said the number of students receiving a university offer with an Australian tertiary admission rank (ATAR) score of less than 50 had increased from 2.1% in 2011 to 4.1% in 2013.
Announcing the ANU cuts on Tuesday, Young said he welcomed Carr's announcement that he would revisit the federal funding cuts, but the university had to proceed with changes to meet its budget, including offering voluntary early retirement to reduce professional staff numbers by 230.Announcing the ANU cuts on Tuesday, Young said he welcomed Carr's announcement that he would revisit the federal funding cuts, but the university had to proceed with changes to meet its budget, including offering voluntary early retirement to reduce professional staff numbers by 230.
The executive director of the Group of Eight universities, Mike Gallagher, said it was "refreshing" the minister was prepared to reconsider the demand-driven funding system.The executive director of the Group of Eight universities, Mike Gallagher, said it was "refreshing" the minister was prepared to reconsider the demand-driven funding system.
Coalition education spokesman Christopher Pyne said he shared Carr's concerns about the demand-driven system, but attacked the minister for presiding over "chaos and dysfunction" for raising them.Coalition education spokesman Christopher Pyne said he shared Carr's concerns about the demand-driven system, but attacked the minister for presiding over "chaos and dysfunction" for raising them.
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