Five points for Court to consider

The recognised trade unions have developed a joint response to the University’s consultation on the proposed Targeted Voluntary Redundancy Scheme. As Court members consider the future of the institution, there are several key points that deserve careful attention.

1. GCU is not in an immediate financial crisis

GCU currently holds cash reserves of more than £90 million – proportionally the second highest of any university in Scotland. The University also has no commercial debt.

Senior management have justified the proposed loss of around 100 jobs largely on the basis of falling international student numbers compared to the peak years of 2020–23. However, if we look at the longer-term picture over the past decade, those years appear as an exceptional period rather than the norm.

For many years before that peak, the University recruited lower numbers of international students without threatening jobs on this scale. Permanent and serious cuts are now being proposed on the basis of what were clearly unusual circumstances.

2. Use the £90 million reserves to manage short-term uncertainty

The purpose of financial reserves is precisely to help institutions manage periods of uncertainty. The University’s ~£90 million cash position was built up during the recent period of exceptional income.

Using a portion of those reserves now would allow the University to manage short-term fluctuations in student recruitment while the longer-term picture becomes clearer.

Threatening job losses while holding reserves of this scale is difficult to justify.

3. Review senior management structures and salaries

One area where there has been clear growth over the past decade is the number of senior management posts and the salaries attached to them.

Last year, 21 staff were earning more than £100,000, with the number peaking at 25 in 2023. Nine people at the University now earn more than the First Minister of Scotland, and three earn more than the Prime Minister of the UK.

At a time when the University is proposing to cut around 100 jobs across academic and professional services staff, this raises serious questions about priorities. There are also indications that additional senior roles may be introduced during the current consultation.

Court should consider whether a full review of senior management structures and salaries is appropriate before staff jobs are cut.

4. Student numbers have grown dramatically while staff numbers have remained static

Over the past decade, student numbers at GCU have grown significantly. In 2015 there were around 13,000 students. Last year that figure exceeded 22,000.

However, staff numbers have remained broadly unchanged over the same period, with approximately 1,430 staff employed both in 2015 and today.

The consequence has been steadily increasing workloads for both academic and professional services staff, which inevitably affects the student experience. It is therefore deeply concerning that the current proposals seek to reduce staffing levels even further.

5. No Equality Impact Assessment has been published

Despite launching a statutory consultation that could result in around 100 job losses, the University has still not published any Equality Impact Assessment relating to the proposed changes.

Equality Impact Assessments are required to ensure that organisational decisions do not disproportionately affect staff with protected characteristics and that equality considerations are properly taken into account.

Given the various criteria being used across the University to justify potential job cuts, the absence of this analysis is extremely concerning.

Time to pause and reconsider

Taken together, these points raise serious questions about the justification for the current proposals.

There is a clear alternative path. The University could pause the consultation, remove the threat of compulsory redundancies, and work with staff and unions to develop a plan that manages the current short-term uncertainty while protecting the long-term health of the institution.

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