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“Being a student isn’t sexy anymore”: Mass redundancies proposed at Otago University due to low student enrolment

24 April, 2023 

Interview by Jessica Hopkins, adapted by Athena Li-Watts

Otago University Students' Association (OUSA) President Quintin Jane says universities are reliant on enrolment increases that simply aren’t happening. Photo: Wikimedia Commons

Listen to the full interview 

Te Whare Wānanga o Ōtākou, the University of Otago, has told staff to expect large-scale redundancies.

Hundreds of staff at the University are expected to be made redundant in an effort by the university to cut its budget.

OUSA President Quintin Jane told Jessica Hopkins on 95bFM's The Wire that domestic student enrolments are 5% lower than the University anticipated. 

This has resulted in the University needing to cut $60 million from its budget.

In an email, Acting Vice Chancellor Helen Nicholson told staff that while enrolments are only 0.5% lower this year compared to last year, University management budgeted based on enrollment growth.

Jane said that before the COVID-19, this modelling had been accurate, but had not taken into account the effects of the pandemic on student enrollment.

According to Jane, universities have not been appropriately funded to match the rapid increase in inflation, and this has made universities reliant on enrolment increases that simply aren’t happening.

The students' association president attributed the lack of domestic enrollment to poor conditions, stating that the current student loan scheme can leave students in upwards of $60,000 worth of debt.

“Being a student isn’t sexy anymore.”

Jane claimed that a bachelor's degree does not guarantee a job outside of university, and current low unemployment allows those straight out of high school to work and be paid well.

“Why would you go live like a student, in rubbish conditions for three or four years, come out with a bunch of debt, making little more money than you would leaving school directly to go into a job, and having no debt?”

Jane called on the government to improve material conditions for students if they expect universities to be sustainable and continue growing. 

The students' association president warned hundreds of redundancies would place additional strain on remaining staff, who’ve already struggled through the pandemic.

“They won’t be able to put the same effort into their courses as they once would’ve liked to, and that’s only going to lead to worse outcomes for students.”

Jane urged alternative forms of action be considered, including universities relooking at finances such as asset sales and changing business plans to minimise losses and the effect on students.

Jane also questioned why funding for universities hasn't increased despite 50 billion dollars being given to COVID-19 recovery.

“The simplest thing for them to do would be to up the funding for the tertiary sector so that we don’t see these redundancies.”

OUSA has been engaging with local members of parliament, and Jane stated that they will continue to lobby and make noise if nothing changes.