The University of York is targeting 413 jobs with a voluntary severance scheme in order to cut costs. A University of York spokesperson told Nouse that the scheme is aiming to cover a £24 million deficit in the University’s finances.
A voluntary severance scheme involves staff putting themselves forward for redundancy. The employer proposes terms to the whole staff body, and staff will have the option of volunteering to accept the arrangements, which will include a financial settlement for staff. Nouse understands that the scheme covers all academic departments, and is part of wider efforts to save £34 million at York.
The University cannot offer the scheme to individuals, which creates the risk that departments will be left without critical staff members.
The University and College Union, of which many York staff are members, told Nouse that “UCU UoY Executive Committee considers that the University Executive Board is acting with a rashness and lack of consultation that is irresponsible. Through undertaking a large-scale voluntary severance programme they risk losing vital capability that our university will need now and in the future and given that people who take VS [voluntary severance] will leave mid-semester one, the workers who remain will face intolerable and potentially unsafe workloads.”
“The UEB has deliberately instructed departments to not have a plan for how to operate when staff who take VS leave and the changes they propose to how we operate as a university will diminish student experience and educational standards. Looking ahead to redundancies, the sole focus of the UEB is to balance the books very quickly. A more rational approach would be to restructure their debt, to consult staff widely to find ways to increase revenue and to work within Universities UK to design and demand changes to university finances.”
“UCU would happily work with them on this, but they at present prefer to pretend to consult with us and tell us that they know best. The fact we are in this mess tells us that UEB really does not know best.”
This comes in the wake of cuts to the tune of £30 million in the last two years. Recent consequences of the University’s poor finances include moving out of city centre heritage site King’s Manor, pausing work on the £35 million Student Centre for at least three years, and the University lowering entry requirements to try and attract more international students.
The University’s £14 million surplus in 2021-22 fell to a £24 million deficit in 2022-23 when the University saw international student intake drop by 15.6 per cent. University of York financial statements for the last financial year declared that “growth in international student numbers remains a key strategic priority to ensure the financial sustainability of the university”.
A University of York spokesperson said: “Like many others in the UK sector, we continue to face increasing costs due to the combined impacts of the cost of living crisis and the decline in student fee income.”
“We’ve moved quickly to manage our finances, including managing estate costs, a voluntary severance scheme, and pausing major capital programmes.”
“We recognise this is a difficult and unsettling time, but we aim to protect as many jobs as possible and return to a surplus, so that we can continue to protect our position as one of the UK’s top performing universities.
“York is one of only four UK universities that have achieved a top 10 position in the Research Excellence Framework and an overall gold in the Teaching Exercise Framework.”
The Sunday Times has reported that three leading higher education institutions are in serious danger of bankruptcy, and that the government is considering merging one medium-sized university with another.
It remains to be seen how long this financial crisis in the higher education sector will last. Chancellor Rachel Reeves announced earlier this week that UK universities would receive no financial support from the government.
