Cuts to jobs and courses and a 4 per cent increase in domestic enrolments have propelled the troubled University of Canberra (UC) “about 80 per cent of the way” to fiscal sustainability, according to new vice-chancellor Bill Shorten.

The former federal opposition leader, who took the helm at UC in February, said a looming deficit of around 10 per cent had been converted to a possible “break-even” prospect within 12 months.

Shorten said a forecasted shortfall of A$46 million (£22 million) this year had been reduced to about A$8 million following the exit of around 150 staff, the removal of a further 40 vacant positions and “a couple” of course cuts.

“People in the past have been overly optimistic about enrolment numbers, so they hired people,” he said. “We’re…right-sizing to deliver the courses to the students we have, and perhaps carrying slightly less staff than was needed previously. I want us to grow, but…you [need] a healthy balance sheet.”

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His optimism contrasts with last year’s fears of mass redundancies fuelled by visa policy changes, rising administrative costs, faltering domestic enrolments and the lingering effects of Covid-19. UC and neighbouring Australian National University were expected to be among the worst hit with 850 job losses across the two institutions.

Shorten said the remaining redundancies at his university would now be voluntary, with professional staff invited to lodge interest from 9 April. He declined to set a target for additional job cuts but said it would be “very unusual” if no one sought a package.

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“We’re not talking about big numbers, I suspect, but just enough to get us to break even. My 100 per cent intention is not to have forced redundancy, so everyone who wants to be here can be here.”

He said staff morale had improved, partly due to UC’s “open” communication. “They appreciated the candour. People aren’t dumb. They can work out that you need to live within your means. They can see we’re doing it appropriately. The union would say that we’re being as constructive and professional as any university.”

The National Tertiary Education Union said it had expressed concerns that voluntary redundancies could increase the remaining staff’s workloads and be perceived as a “precursor” to forced retrenchments. “We’re confident that the vice-chancellor has done everything he can to rule out forced redundancies and that he’s committed to working through any workload issues,” said Australian Capital Territory divisional secretary Lachlan Clohesy. “We’re on the same page, basically.”

Shorten said the opposition’s to cap public universities’ international enrolments at around 25 per cent of overall numbers would not trouble UC, where foreigners comprised only 21 per cent of students. And while higher education policy machinations might preoccupy university administrators and the media, other people’s concerns lay closer to home.

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“Most Australians get up in the morning and make sure the kids are OK and…they’ve got a meaningful job. They want to know what we can do for them. They’re not hanging off every bit of gossip.

“Things are settling down, and I’m looking forward to a period of growth. We’re not in crisis. This is a sound university. I’m not saying that every student who comes here is going to change the world, but every student who comes here is changing their own world.”

john.ross@timeshighereducation.com