Universities hit by €38m pay shortfall

THE country’s seven universities are being forced to cut jobs and reduce services because the Government has not provided up to €40 million needed for pay increases.

Some of the measures already introduced include recruitment freezes and cuts to funding for libraries, research and other vital elements of college services.

University authorities fear cuts in part-time and permanent tutorial, lecturing and administrative posts are inevitable unless the €38m shortfall is met urgently. The amount needed represents around 10% of the universities’ equired spending estimates.

The €630.5 million given to universities for their day-to-day costs and thousands of salaries in 2004 is just 0.2% more than was allocated last year.

But the universities’ wage bills alone, accounting for 75% of non-capital spending, are likely to jump by €30 million this year to meet rises due under benchmarking and the Sustaining Progress social partnership.

The Conference of Heads of Irish Universities (CHIU) is furious at being left to pick up the bill, saying this follows a freeze in research funding for most of last year and a drastic cut in capital spending in 2003.

“Education Minister Noel Dempsey needs to take urgent action to restore funding in universities to restore his credibility,” said CHIU director Michael McGrath.

The Department of Education was unavailable for comment last night.

It has been suggested some institutions might not pay benchmarking increases unless funding is provided by the Government. The Irish Federation of University Teachers said it has not been informed of any delay on pay increases but general secretary Daltún Ó Ceallaigh said there was concern jobs could be cut in the autumn.

At the National University of Ireland, Maynooth, the governing authority has already approved savings of €1.5 million, including funding cuts to academic departments, travel costs of academics attending conferences and internal research grants. Its library budget has also been cut by 20%.

The university’s president, Dr Seamus Smyth, must find another half-a-million euro in savings to meet the projected €2 million shortfall.

“We’re trying to squeeze money out of every corner.

“These cuts are hurting, particularly after being left 1.6 million short last year,” he said.

University College Cork has sought approval from the Higher Education Authority to run a budget deficit this year, a move also being considered by at least two other universities.

However, this would only delay the shortfall because the deficit would have to be made up in next year’s budget.