Efficiency programme and restructure

Frequently asked questions about the efficiency programme and proposed restructuring

June 2010

Why is the University implementing an efficiency programme and proposing a restructure?

All universities are facing a difficult time in the economic downturn. The Higher Education market for both home and overseas students is becoming increasingly competitive.
The University's 2009-2010 budget must address a combination of increased costs, a reduction in the Higher Education Funding Council (HEFCE) grant, reduced Further Education (FE) income from the Learning and Skills Council and the loss of £3.4m of Research Funding.
In March 2010, it was announced that our year-on-year HEFCE grant will be reduced by 4.7%. This is one of the largest reductions in the sector.
In 2009-2010, the University needs to reduce its recurring costs by over £7m: to ensure the economic viability of the University and each of its Colleges for 2009-10 and future financial years; and to move resources to areas that continue to enhance the student experience.
Measures that the University takes now will put us into a stronger position to face the future. The University must secure itself against expected future cuts in government funding anticipated over the next few years.

How are decisions being made about restructuring?

The University has been involved in lengthy consultations with trade unions, staff and student groups and with individuals over several months. Great care has been taken to follow correct procedures at all stages of this process.

How will the proposed restructuring affect staff?

Restructuring at London College of Communication and Chelsea, Camberwell and Wimbledon meant that initially 101 staff were told they faced the risk of redundancy.
Wherever possible, staff are being deployed into alternative posts across the University. Some staff have agreed to take early retirement or voluntary redundancy. The University is continuing to work with the trade unions to ensure compulsory redundancies are kept to an absolute minimum.
Currently 21 staff are facing the prospect of compulsory redundancy, but we continue with discussions seeking to offer additional employment.

In December 2009, further proposals concerning other areas of the University were circulated for consultation with staff and trade unions. As a result of this a further 62 staff have been told they face the risk of redundancy; some of these proposals are still under consultation, but currently 5 members of staff have been served with formal notification of redundancy. We continue to work with individuals to minimize the number of redundancies.

How will the proposed restructuring affect students?

Restructuring will not disrupt the University's aim to find additional resources to support teaching and the student experience.
For example, once fully up and running the new faculty structure at LCC will give students access to more resources and facilitate cross-College exchanges and inter-disciplinary collaboration.

How many courses may be affected or closed?

London College of Communication has revised its portfolio and 16 courses will not recruit beyond 2009-2010. For more information read faqs about london college of communication.
The course portfolio across the University continues to be under regular review and renewal, and consultation will take place in the usual way.

How were course closures at LCC determined?

The LCC Management Team, alongside representative staff, reviewed the course portfolio. Core subject areas were identified where LCC is a sector leader or has sector-leading ambitions. The 16 courses which will not recruit beyond 2009-10 could not continue to develop within the College's new academic mission to be a leader in media, design and communication.

Will there be more staff or course cuts in the future?

The University is implementing the Efficiency Programme in a difficult and challenging global economic environment. In March 2010 our year-on-year HEFCE grant was reduced by 4.7% - one of the largest reductions in the sector. There is the possibility of further cuts to the higher education sector in the future.
The University wants to end this period of uncertainty as quickly as possible, it is difficult at this stage to be definitive about subsequent stages and timescales, as much will depend on how the economic climate develops.

How may other University services be affected?

The University's Central Services are also reviewing their areas of priority and responsibility. Any restructuring that follows will ensure the services they provide are clearly defined and that the nature and level of provision is appropriate and effective.

How can I find out more?

These FAQs will be regularly updated. You can also contact your HR Consultant or line manager for further information.