Elective spending at Australian universities
Author
Media release
Universities spend vast sums on consultants, advertising, and travel. Reducing these expenses could have prevented the deep cuts that some of these same universities have made to their staff and courses in recent years.
In 2023, Australia’s public universities spent at least $363 million on advertising and marketing.
Ten universities together spent more than $390 million on travel in 2023. Senior executives, the highest-paid people on Australian university campuses, spent a disproportionate share of that money, with one VC spending the same as 15 ordinary lecturers.
In 2023, 27 Australian public universities spent roughly $410 million on consultants.
Universities spend big on these elective items, but staff and students are asked to bear the brunt of budget cuts when the reports show large deficits. Many of Australia’s public universities, including the Australian Catholic University, the Australian National University and the University of Wollongong, have commenced or completed significant cost reductions. University managers’ budgetary decisions raise fundamental questions about what our universities are for. If they spent less money on inessential things, they would have more to pay staff properly and avoid budget crises.
Great countries should have great institutions. Australia’s universities have previously ranked among the world’s best but have recently fallen in international rankings thanks partly to the sweeping cuts to their staff budgets and the deteriorating quality of their offerings. Universities need to be more transparent about their discretionary spending, so that staff and students can see exactly where the money spent in their name is going.