Economist confirms uni funding crisis
16 October 2001
One of Australia’s leading economists, Professor Bruce Chapman, today confirmed that Australia’s universities are suffering a funding crisis.
The union representing university staff endorsed Professor Chapman’s criticisms of the most deregulated aspects of Australia’s universities: the charging of up front fees to Australian undergraduate students; the unregulated fees charged to postgraduate students; and the lack of government funding for enterprise bargaining in universities.
“Professor Chapman clearly identifies the major problem facing our universities as a lack of funding”, Dr Carolyn Allport, NTEU National President said. “Government has a responsibility to fix the problem and sitting back and allowing fees to skyrocket is not an acceptable response.
“We welcome Professor Chapman’s recognition of the problems of enterprise bargaining. We estimate that our universities face a $150m shortfall every year, between what the Government provides and the increased costs of wages for staff.
“Professor Chapman estimates that as a result of these pressures university salaries have fallen by 25% relative to average earnings. How can we fix the brain drain if we can’t fund competitive salaries?
“Professor Chapman’s voice is now added to those of Rupert Murdoch, the Business Council of Australia and the Council of Deans of Education. The message is consistent- if we are to be successful in the 21st century we need to fund properly our education system to ensure all Australians can get a quality education.”