Tertiary institution Ucol proposes staff cuts to tackle financial pressures post-Te Pūkenga

NZ Herald

23-04-2025

One large network allowed smaller colleges better access to human resources, libraries, IT support and student management services because of economies of scale.
'It makes it more financially viable if you're sharing and collaborating and co-operating,' Grey said.
'That doesn't mean they have to keep Te Pūkenga, but they need to find a way to help smaller campuses maintain their viability.'
Ucol operations lead Jasmine Groves said help was sought from financial consultants last year to figure out the best path to sustainable viability.
Ucol has proposed to cut as much as 17% of the workforce across Palmerston North, Whanganui and Masterton, with about 27 academic staff and 47 administration and support staff potentially impacted.
Two of the roles proposed to be cut are based in Whanganui.
'A proposal has been provided to our kaimahi (staff) for their feedback,' Groves said.
'This proposal provides an alternative way of working and therefore structuring Ucol so we can continue to deliver quality education and services to our rohe (region) and return to financial sustainability.'
The cuts are expected to result in a reduction in courses and less support for disabled and cultural students.
Groves did not name any courses being considered but said programmes would be assessed for 'viability'.
'When reviewing programme viability, we consider a number of factors, including staff to student ratio to ensure a course is viable, as well as ākonga (pupil) numbers to ensure a positive learner experience,' she said.
'We also consider the status of campus leases and EPIs [Educational Performance Indicators], ākonga/graduate progression to higher level programmes, external moderation, stable enrolment trends over time.'
Courses that were cut would 'teach out' current students, meaning they could still receive their qualification.
Grey did not believe cuts would improve Ucol's viability in the long term.
'We have seen evidence all over the country that cuts like these do not make institutions profitable – in fact, it's the opposite," she said.
'When you cut staff to the bone, and deeper, in areas such as enrolment, you end up in a situation where there's nobody answering the phone when prospective students attempt to inquire about their study plans.'
However, Groves said the proposal would return Ucol to surplus by the end of 2026.
Grey disagreed that the changes would have 'little to no impact on our students'.
'You can't look after students if you don't have both academic staff and all of those people who make sure students are where they need to be, have the support they need, have the advice they need,' she said.
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'It's going to be the students who are struggling most that are going to miss out most if they make those cuts.'
The communities surrounding the colleges would also be impacted, Grey said.
As cuts took place, people moved to the larger cities, which resulted in communities 'not getting what they need', she said.
'We need to keep talent in our polytechnics and we need to keep talent in our smaller communities,' she said.
Grey was concerned about a long-term lack of investment in polytechnics.
'We've been dealing with cuts like these in this sector for decades – they invariably result in fewer staff serving students and delivering education, which leads to fewer students, fewer courses, fewer programmes, fewer graduates and fewer trained workers which in turn leads to worse financial performance and more cuts,' she said.
'The Government is ultimately to blame here for expecting polytechnics to be 'viable' with funding that has not met inflation over a long period of time.'
Grey said the Tertiary Education Union would continue to fight the cuts and urged the Government to recognise the importance of investing in the tertiary education system.
'This Government and any future government need to wake up and say, actually, these are critical to our community, they must be invested in,' she said.
The consultation period for the proposed changes ends on May 19.