UCLan offers staff voluntary redundancy to make budget savings citing 'significant inflationary pressures'

In an email seen by the Post with the subject line ‘budget savings’, UCLan’s Vice-Chancellor Graham Baldwin has told colleagues that it is offering the redundancies due to the increasing financial challenges caused by “having to charge a fixed fee whilst experiencing significant inflationary pressures”.

The email reads: “You will already be aware that energy costs have increased considerably but in addition to this our pay and benefits costs have also increased, in particular the costs of our pension schemes. The sector remains a highly competitive environment and we have, along with many other universities, experienced a reduction in applications though UCAS. We therefore need to take action and look at every opportunity to increase our income and slow the rate of expenditure growth.

“One way of doing this is to address the cost of pay and benefits as our people costs account for a significant majority of our overall spend. In these circumstances, it is common practice to undertake a programme of role reduction.”

UCLan’s voluntary redundancy policy allows 3.25 weeks’ pay for each completed year of service, up to a maximum of 52 weeks.

Mr Baldwin adds that there will be posts from which the university will not be able to accept a VR application, as they are key to the universities delivery, or because the costs for the university and the pension strain make it economically unviable.

A spokesperson for UCLan said: “Despite consistent growth in income levels, the University of Central Lancashire (UCLan) like other universities, institutions and businesses is facing significantly increasing costs. We are ensuring that our financial position continues to be sustainable both now and in the future. That is why we are offering voluntary redundancy to colleagues who may want to consider leaving the university. The University of Central Lancashire remains one of the largest employers in the region and we continue to invest in our campuses and to prioritise our students’ experience.”

The email confirms those colleague who leave on voluntary redundancy, will not be replaced.

Expressions of interest are due in by 31 May, with final decisions being made during July.