14 May 2008. Academic Board. At
the meeting of Newcastle University Academic Board, the Vice Chancellor
was asked the following question by Colin Brooks: "Is the VC aware
that academic staff in the University have been surprised at the
massive investment in new buildings [at least £200M] that is taking
place just a couple of years after the University stated that it did
not have the financial resources to meet the pay claims of academic
staff whose salaries over the last 20 years have fallen substantially
behind those of comparator professional groups? Could the VC provide a
detailed breakdown of where the money is coming from for each of the
new build projects that the University is currently committed to or is
currently considering, and give an assurance that the University will
not claim poverty in the forthcoming pay round?"
In his reply the VC provided a detailed breakdown of at least some
of the capital expenditure which the University was currently
planning. This included £35M for the new Student &
Administrative Services Building, part of which is intended to provide
a new and impressive facade facing Haymarket designed to improve the
image and impact of the University, especially in the wake of the new
Northumbria building adjacent to the central motorway. The vast
majority of the money for this is coming from "University Funding" with
a minor proportion from a HEFCE capital grant. Other capital
investments include
- improvements to Castle
Leazes Accommodation Block, £4.8M which is expected to be funded
in the long term from student rental income;
- refurbishment of the King
George VI Building to provide new accommodation for staff displaced by
the INTO development, £3.8M to be provided from "University
Sources";
- upgrading and refurbishment
of lecture theatres and laboratories, £25M, funded by a HEFCE
capital grant; the Northern Writer's Centre, £5M [£2.3M
from "University Funding", £2.7M from external grants/donations];
- the Great North Museum, £26M [£3M from "University Funding];
- INTO, £45M paid for entirely by Espalier;
- the Campus for Ageing and
Vitality, £24.6M, of which £12.6M has been obtained from
external bodies, but £12M may need to come from "University
Funding";
- and £29.8M for a new
Medical Science building, for which £21.2M has been secured from
external sources, but £8.6M still needs to be found.
The total cost of all these
building projects is budgeted at £203.6M, of which at least £41.6M and
perhaps more than £60M will have to come from University Funds.
Surprisingly, the VC did not mention anything about Science City.
However, the University has already spent more than £11M in purchasing
the site.
The
VC then went on to discuss academic pay.
The first set of data he presented, "Average Salaries of
Non-clinical Academic Staff at Newcastle University" [see Table below],
appeared to show that during the period May 2004 to May 2008 the average salary
of academic staff, including research staff and professorial staff, rose
by 24.5%, a figure that will surprise many staff, especially those
who are at the top of their pay scale.
Average Salaries of Non-clinical Academic Staff at Newcastle University, May 2004 - May 2008
| Year (May) |
Total Salary |
Academic Head count |
Average Salary |
% Increase |
| 2004 |
51,802,645 |
1,601 |
32,356 |
|
| 2005 |
55,312,832 |
1,630 |
33,934 |
4.9% |
| 2006 |
62,459,778 |
1,733 |
36,041 |
6.2% |
| 2007 |
69,075,230 |
1,826 |
37,829 |
5.0% |
| 2008 |
75,254,577 |
1,868 |
40,286 |
6.5% |
|
|
|
|
24.50% |
In
a second set of data he presented, for "Academics employed on or before 1 May
2004", it was claimed that pay had increased on average by approximately
9% each year for the past four years, giving an apparent total increase in
average salary for this group of staff of a staggering 41.2% since 2004!! This figure of course bears little
relationship to reality for the vast majority of staff, due to the fact that
the calculation contains an innate [but hopefully inadvertent] fallacy, namely
that with increasing time the composition of the staff who remain at the
University becomes increasingly different from what it was at the start point
of the calculation, being enriched in senior established staff and depleted of
junior rapidly turning over staff, mainly the research assistants. Indeed, one fascinating aspect of the data
supplied by the VC is that it appears that only about half of the total
academic staff employed by the University on 1 May 2008 have been here for more
than 4 years! The remainder have been
here for less than 4 years, with the vast majority of these new recruits likely
to be research assistants.
Average Salaries of Non-clinical Academic Staff employed on or before 1 May 2004
| Year (May) |
Total Salary |
Academic Head count |
Average Salary |
% Increase |
| 2004 |
51,802,645 |
1,601 |
32,356 |
|
| 2005 |
46,931,730 |
1,332 |
35,234 |
8.9% |
| 2006 |
45,606,529 |
1,178 |
38,715 |
9.9% |
| 2007 |
44,762,210 |
1,066 |
41,991 |
8.5% |
| 2008 |
44,955,635 |
984 |
45,687 |
8.8% |
|
|
|
|
41.20% |
‘Academic’ includes research and professorial staff.
These figures take account of the 3% pay award effective in May 2008