A budget proposal in the public interest:’50-50-25’

The Australian Universities and Publicly Funded Research Agencies urgently need to put measures in place that secure long-term stability and appropriate growth of the sector. They must prepare now for the expected prolonged periods of fiscal constraint in consequence of global economic and political instability.

The below proposal is straight forward, its implementation as well as outcomes are directly measurable, and it indirectly addresses some of the long-standing recommendations for the structural reform of the sector.

The proposal is fair.  It only affects a small minority of the current workforce, though without creating any substantial issues for their continued welfare. At the same time, it lifts a significantly larger part of the current and future workforce out of the present, structurally engrained employment insecurity with its resultant poverty risk to the individual and the loss of skills to the sector itself and the industries that depend on it.

The values of equity and access inherently contained in the proposal will strengthen the broader democratic culture that sustains an open society. 

Implementation:

’50-50-25’

The Fair Share Agreement for The Continued Funding and Future Growth

of

Universities and Publicly Funded Research Agencies,

including Government Funding Agencies

  • 50: Reduction of the current* budget expended on senior management salaries by 50%
  • 50: Reallocation of the 50% of the current budget (previously allocated to senior management salaries) toward the funding and/or creation of tenured academic** or research and/or development positions
  • 25: The public funds provided to the Universities and Publicly Funded Research Agencies, including Government Funding Agencies*** are to be released at the rate****that each organisation achieves the reallocation of 50% of their senior management salary budget with the expectation that the reallocation is completed by 2025

Footnotes:

*       the portion of funding expended on senior management salaries is determined based on the financial year 2020-2021

**     the term academic includes teaching and research

*** where funding agencies employ senior managerial staff remunerated above the common public sector pay scale, the conversion to academic or research and/or development positions can occur as part of the projects funded by the agency

**** organisations that achieve the reallocation before the due date in 2025 receive a bonus in form of interest paid (at least equal the rate of inflation) on the total of their reallocated senior management salaries budget for the period from the date of having achieved the full reallocation until the due date in 2025.

Explanation:

Publicly Funded Research Agencies: CSIRO, ANSTO, AIMS, DSTO, ASA and others

Funding agencies: ARC, NHMRC, RuralRDCs

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