Sydney University records $1 billion surplus as staff demand a share

Sydney University’s revenue grew by almost $1 billion last year despite the pandemic,driven by increases in enrolments and property sales,while the University of NSW’s financial position also improved after heavy losses the year before.

Sydney’s academic union,which is in pay negotiations with management,said the result showed the university could afford a pay rise for all staff,but the university said it was a one-off.

NSW universities’ annual reports were tabled in the state’s parliament on Monday. Sydney showed its operating revenue grew from $2.6 to $3.5 billion from 2020 to 2021,and an operating surplus of more than $1 billion. Its underlying surplus was $454 million.

Sydney University fared much better than expected during the pandemic.

Sydney University fared much better than expected during the pandemic.Nic Walker

A statement from the university said the surplus was boosted by one-off returns,including an investment yield of more than $460 million – which could only be spent as stipulated by donors – as well as property sales of $100 million.

Vice chancellor Mark Scott said the university had performed well over difficult years. “While this is a strong result,it is also a one-off result,” he said. “We are not immune from the continuing uncertain future of international higher education and the growing cost pressures currently affecting the global and Australian economies.”

The university is negotiating a new enterprise agreement with its academics,and wants better job security,protection of academics’ rights to a 40 per cent research component in their workload,and a pay rise.

Staff will also strike on Tuesday for the university to hire more Indigenous staff,calling for the present proportion to be lifted from 1.1 per cent to three per cent.

National Tertiary Education Union branch president Nick Riemer said the surplus showed the university had ample resources to fund the “reasonable claims staff are making,including – but not limited to – a wage rise.

“There’s no excuse for university management to be hoarding money in such proportions. People at the university are crying out for much-needed reforms. This shows they are affordable.”

The university sector shed many jobs when the COVID-19 pandemic hit and borders closed to international students,a significant source of revenue. The University of NSW recorded the highest number of staff cuts in the country,with 726 fewer full-time equivalent jobs in 2021 than the previous year.

The university’s annual report showed the institution was in a stronger financial position last year compared with the beginning of the pandemic,with an underlying surplus of $62 million compared with a $64 million loss the previous year.

“UNSW’s combined,underlying result for the two calendar years impacted by COVID-19 (2020 and 2021) – outlined in the table above – was essentially break even,” the report said.

The latest federal government data shows there were 3237 fewer permanent and fixed-term contract staff in the state’s universities in 2021 compared to 2020,following a major wave of redundancies brought about by COVID-19.

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Jordan Baker is Chief Reporter of The Sydney Morning Herald. She was previously Education Editor.

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