Charles Darwin University jobs on the line amid ‘very tight’ 2023 budget

Charles Darwin University’s latest annual report has revealed a ‘very tight’ 2023 budget, sparking concern for jobs and student services.

Jobs at the Territory’s only university could be on the line as it tightens its belt for the new year.

Charles Darwin University vice-chancellor Scott Bowman told ABC Radio about 20-30 jobs could be lost as part of “responsible budget management”.

But speaking to this publication, Professor Bowman said there were no CDU-wide restructures or redundancies set in stone.

“However, we are reviewing all our cost areas, including salary costs,” he said.

“We are reviewing our vacant positions to see if some of this work can be absorbed or reallocated and we are delaying filling some positions if other resources can support the work.”

Professor Bowman said student services would not be affected by the university’s “very tight” budget.

It comes as CDU reveals a role designed to champion student engagement and success was disestablished in May, leaving students without a central figurehead to support them.

CDU unveiled the new Deputy Vice-Chancellor Student Engagement and Success and Vocational Education and Training role in 2021.

The role was designed to build on the university’s Strategic Plan 2021-26 which focused on creating a safe and inclusive student experience.

Professor Bowman previously said the position was “one of the most critical roles in the university”.

The role had been split into three portfolios when it was disestablished in May.

“The role’s student engagement and success element was merged with education strategy due to their strong natural synergies,” Professor Bowman said.

“The information technology portfolio was transferred to the Vice-Present Corporate and CFO, Rick Davies.

“The vocational education and training portfolio has transferred to CDU TAFE.”

Professor Bowman said the role’s disestablishment would have “no impact on students”.

“All student-facing services remain resourced and ready to help,” he said.

CDU tightens its belt after ‘complicated’ financial year

Money for the Territory’s only university looks “very tight for 2023” after its surplus plunged about 65 per cent last financial year.

Charles Darwin University vice-chancellor Scott Bowman said the 2022 financial year’s results were “complicated”, with a lot of funds “swishing in and out of the university accounts” thanks to several major projects – including the new city campus.

“Money is tight this year, there’s no two ways about it,” he said.

“We’re being really careful with the money that we’re spending in 2023, we’re looking to cut back where we can on travel and things like that.”

CDU vice chancellor Scott Bowman said the university’s budget would be ‘tight’ but would not send the university ‘off the edge’. Picture: (A)manda Parkinson

He attributed the drop to a capital grant of $45m included in 2021’s surplus but also said CDU had spent the past two years in an “investment stage”.

“We’ve had a pay increase, insurance are going up … but we have also been investing in the university for growth in the future,“ he said.

“We’ve built up what we’ve done in Katherine and Alice Springs, we’ve put more offerings down there.”

Professor Bowman said delivering a strong education to the Territory – both through higher and vocational education – meant not every class would be profitable.

“CDU is always focused on financial sustainability but it is important to consider the connection between world-class universities and the public good,” he said.

“We have an obligation to contribute to the public good in the Northern Territory and our first commitment is to our community.”

It comes as the university’s student headcount dropped 11.6 per cent from 2021 to 2022.

Professor Bowman said that drop was due in part to Covid and decreased demand.

“This year, the people wanting to go to university to do a degree is down because we’ve got more or less full employment,” he said.

“When there’s full employment, people either don’t go to university or they reduce their workloads – so instead of taking four subjects a semester they might only take two.”

Artist’s impression of the inside of CDU’s city campus.

CDU’s city campus sparked controversy when it was given a $150m concessional loan from the federal government in 2019.

Former CDU professor of governance Don Fuller previously called the project “high-risk” as it relied on an influx of 5000 international students enrolling in the university by 2025.

The university’s annual report revealed its international student headcount dropped 14.2 per cent in the five years to the 2022 financial year.

But Professor Bowman said CDU was on track to exceed its “D squared” target after about 1000 international students enrolled in the second 2023 semester, 800 more than the previous year.

Professor Bowman said he was pleased with last year’s financial results even though CDU would be tightening its belt this year.

He said regional universities such as CDU “always live on the edge”.

“It was quite miraculous that we actually managed to make a surplus in that year,” he said.

“You’re walking along the cliff edge and you’re doing everything you can to stay on the path and not go over the cliff edge and sometimes you can manage to be well in on the path and other times you get pretty close to the edge.

“At the moment, we’re staying off the edge of that cliff.”

Originally published as Charles Darwin University jobs on the line amid ‘very tight’ 2023 budget