University staffs cuts to tackle huge debts

The University of Wolverhampton plans to cut 250 jobs out of 2,700, in a bid to tackle debts of £8m, the BBC has learnt.

England’s higher education funding council has told the University to repay £3.5m because it understated drop-out rate.

The BBC says the university aims to “reposition” itself to be more employer-focused.

The university and College Union (UCU) opposes the trawl for redundancies and is seeking a full breakdown of the university’s income and expenditure.

The funding council (Hefce) has conducted an audit of Wolverhampton, but says such matters are not usually made public.

A spokesman from the Hefce said negotiations with the university is still continuing.

Wolverhampton in a statement said it was developing a new employer-focused curriculum for 2010, with more continuous professional development and innovation and enterprise activities to support regional businesses.

The university’s accounts for 2007- 08 showed an income of £148.5m and a deficit on continuing operations of £4.7m, and it says all of the universities in England were facing challenging times and itself is not alone, according to the BBC.

As the BBC continues that rising pay costs, a change to funding methodologies, a cap on growth and efficiency saving required by the government mean it had to take steps to balance its books and maintain its ability to invest in strategic development.

Prof Caroline Gipps, the Vice-chancellor said the university has sufficient reserves which ensure their financial future, but it is imperative that the university move as quickly as possible towards a balanced budget with a percentage for investment.

He went on to say: “Our priority remains our students and their learning experience. Every effort will be made to minimise disruption.”

On the other hand, the academics’ union said the quality of the student experience was bound to suffer if staff cuts were made.

Loraine Westcott, the chair of UCU’s negotiating committee at Wolverhampton said that they want to know a complete breakdown from the university as how they have got themselves into this situation.

The Wolverhampton University, according to the BBC, had a big reputation and an important role in the West Midlands in widening participation, and it has been taking many students who would probably have problems getting into other universities.