More than 600 jobs to be cut at Dundee University

Key Points

Staffing reductions to be made in every school and directorate of Dundee University
University ‘unlikely’ to avoid redundancies given ‘depth’ of financial challenge
Eight academic schools to be reduced to three faculties
UCU says staff being ‘made to pay the price for egregious management failure’
Cuts have already yielded £17m in savings but more will be required

Dundee University is set to cut over 600 full-time jobs in a bid to address a £35 million deficit.

Staff were told at a meeting on Tuesday that every school and directorate within the university will undergo a “significant” restructuring, resulting in a loss of around 20% of the workforce.

Buildings and intellectual property assets are also expected to be sold as part of the recovery plan.

Professor Shane O’Neill, interim principal, said an investigation would look at “what went wrong”.

The news comes after the university announced a major financial crisis in 2024, citing the severe drop in international student recruitment, structural underfunding of higher education, and cost increases as contributing factors.

“The measures we are proposing would make an essential contribution in our becoming a more appropriately balanced and financially sustainable institution”, Prof O’Neill said in his announcement.

“Getting there will not be easy and we are determined to take on board all relevant lessons from the past and the various factors that contributed to the current position.

“In setting out our proposals towards a financial recovery and a sustainable future we have adopted an approach of frank realism and honest self-criticism in our assessment of the current situation and the challenges faced.

“There is an urgency for us to act promptly and we will continue to work intensively with the SFC and other stakeholders to ensure delivery of the sustainable and successful future we need for this great University, which is integral to the economic, social and cultural wellbeing of the city, our region and beyond.”

Prof O’Neill said that cuts have already yielded £17m in savings, but more will be required.

Among the proposals are a new academic restructure from eight academic schools to three faculties, a 20% reduction in module delivery, and a review of leadership and executive arrangements.

Politics

Scotland’s university funding system ‘all but dead’, claim Lib Dems

Scottish Liberal Democrats made the plea as research by the party suggested almost half of universities had run up a deficit last year.

Institution-funded research will also be minimised in favour of a small number of focused research institutes.

The university said redundancies would be unavoidable given the depth of the financial challenge with consultations already opened.

General secretary of the University and College Union Scotland, Jo Grady, said the news has come as a “hammer-blow to staff who are being made to pay the price for egregious management failure”.

She said: “It’s four months since workers first learned that there was a problem, and it feels that very little has happened in the intervening period to turn the university around.

“We are clear that there is an alternative to sacking staff and cutting courses, student support and vital educational provision in this city, and we’ll continue to do all we can to save jobs and to preserve education in Dundee.”

Responding to the announcement, minister for Higher and Further Education, Graeme Dey said: “I understand this will be a deeply concerning time for staff and students at the University of Dundee.

“Whilst Dundee is an autonomous institution, it is my expectation that the University engages fully with staff and makes every effort to protect jobs. Compulsory redundancies should only ever be considered as a last resort after all other cost-saving measures have been fully explored.

North East & Tayside

Extra £15m for University of Dundee ‘will not touch the sides’, warns MSP

But the higher education minister said the money will afford the institution ‘breathing space’.

“The Scottish Government, through the Scottish Funding Council, has been actively engaging with the institution and has been clear of the need for a comprehensive Financial Recovery Plan. The Funding Council will closely scrutinise this Plan and will continue to offer Dundee support as they secure a sustainable future.

“Our universities play a pivotal role in Scotland’s economy and wider society, and the University of Dundee is significant in that respect. It is vital that Dundee recovers so that it can thrive into the future and continue to make a positive impact on Scottish Higher Education.

“The Scottish Government recently announced an additional £15 million for the Scottish Funding Council to support universities such as Dundee. If there is a further financial ask to be made of Government in relation to the immediate challenges faced by the University, then this will be carefully considered.”