Job losses feared as Manchester student union deficit reaches half a million pounds

 

Manchester University students’ union has been forced to make drastic cut-backs after it was revealed that they have built up a deficit of over half a million pounds.

During a recent staff meeting, employees were informed that their jobs “may be at risk” and that staff redundancy could be an “eventuality” as union executives agreed £400,821 of budget cuts in light of the crippling deficit, still leaving £130,000 worth of savings to be made.

Other cost saving measures will include campaign budget and society grant budget cuts, reducing staff training and travel budgets, replacing student staff with permanent staff and the closure of the popular Biko’s North Cafe on North Campus.

In a statement posted on the union’s website, Grace Skelton, the general secretary, said that the situation was regrettable but necessary.

She said: “Following a review of the first two months of trading activity, the board have confirmed concerns over a deficit, and a restructure of the business has now become necessary due to financial pressures.

“During our meeting, staff were consulted with and asked to come forward with any suggestions or ideas that could help bridge the gap. Short of that, we may have to concede that job losses will be an eventuality and the union will be in the regrettable position of initially having to implement a voluntarily redundancy programme.

“This is a measure that has been considered very carefully and is something we may have to do in order to support the student union’s ongoing viability.”

It is not yet clear what caused the significant deficit, but an investigation is underway.

“The Trustee Board is in the process of investigating the causes of the financial situation however at this stage our priority is to deal with the ongoing consultation process,” said Skelton.

Tension amongst students is running high, with many claiming that the deficit has come as a direct consequence of the union’s spending in its own department.

William Marlow, studying second year pharmacy, said: “I think it's unfair that there will be reduced opportunities for students, both extracurricular and educational, when it is completely out of our control. Maybe if senior staff took voluntary pay cuts themselves they could save a few thousand pounds and some jobs in the process.”

Georgie Callé, an NUS delegate candidate studying at Manchester University, said: “It is appalling that this has been allowed to take place. When you take into account the union's extensive business assets such as the academy venues and the direct payment every student has to give the union each year, there appears to be no excuse for this situation. The union needs to take drastic steps to make sure that it doesn't happen again.”

The union could not be reached for comment

Sport
Alexis Sanchez has completed a £35m move to Arsenal, the club have confirmed
sportGunners complete £35m signing of Barcelona forward
Voices
Poor teachers should be fearful of not getting pay rises or losing their job if they fail to perform, Steve Fairclough, headteacher of Abbotsholme School, suggested
voicesChris Sloggett explains why it has become an impossible career path
Sport
world cup 2014
Sport
Ray Whelan was arrested earlier this week
PROMOTED VIDEO
Have you tried new the Independent Digital Edition apps?
Arts and Entertainment
In a minor key: Keira Knightley in the lightweight 'Begin Again'
film
Arts and Entertainment
Celebrated children’s author Allan Ahlberg, best known for Each Peach Pear Plum
books
News
peopleIndian actress known as the 'Grand Old Lady of Bollywood' was 102
News
Wayne’s estate faces a claim for alleged copyright breaches
newsJohn Wayne's heirs duke it out with university over use of the late film star's nickname
Life and Style
It beggars belief: the homeless and hungry are weary, tortured, ghosts of people – with bodies contorted by imperceptible pain
lifeRough sleepers exist in every city. Hear the stories of those whose luck has run out
News
Mick Jagger performing at Glastonbury
people
Life and Style
fashionJ Crew introduces triple zero size to meet the Asia market demand
Sport
Santi Cazorla, Mikel Arteta and Mathieu Flamini of Arsenal launch the new Puma Arsenal kits at the Puma Store on Carnaby Street
sportMassive deal worth £150m over the next five years
Arts and Entertainment
Welsh opera singer Katherine Jenkins
musicHolyrood MPs 'staggered' at lack of Scottish artists performing
Life and Style
beautyBelgian fan lands L'Oreal campaign after being spotted at World Cup
Arts and Entertainment
Currently there is nothing to prevent all-male or all-female couples from competing against mixed sex partners at any of the country’s ballroom dancing events
Potential ban on same-sex partners in ballroom dancing competitions amounts to 'illegal discrimination'
News
business
Have you tried new the Independent Digital Edition apps?
iJobs Job Widget
iJobs Student

Technical Support Analyst (C++, Windows, Linux, Perl, Graduate)

£30000 per annum: Harrington Starr: A global leader in trading platforms and e...

Junior IT Consultant (SQL, Java, C++, Oracle, Graduate)

£28000 per annum: Harrington Starr: A fast growing consultancy to the financia...

Technical Support Analyst (Windows, Linux, Unix, Graduate)

£30000 per annum: Harrington Starr: Technical Support Analyst - Liverpool Stre...

Application Support - Unix, Linux, Windows, Bash, Perl, Python

£55000 per annum: Harrington Starr: An established leader in the Trading Syste...

Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

Day In a Page

A History of the First World War in 100 Moments: Peace without magnanimity - the summit in a railway siding that ended the fighting

A History of the First World War in 100 Moments

Peace without magnanimity - the summit in a railway siding that ended the fighting
Scottish independence: How the Commonwealth Games could swing the vote

Scottish independence: How the Commonwealth Games could swing the vote

In the final part of our series, Chris Green arrives in Glasgow - a host city struggling to keep the politics out of its celebration of sport
Out in the cold: A writer spends a night on the streets and hears the stories of the homeless

A writer spends a night on the streets

Rough sleepers - the homeless, the destitute and the drunk - exist in every city. Will Nicoll meets those whose luck has run out
Striking new stations, high-speed links and (whisper it) better services - the UK's railways are entering a new golden age

UK's railways are entering a new golden age

New stations are opening across the country and our railways appear to be entering an era not seen in Britain since the early 1950s
Conchita Wurst becomes a 'bride' on the Paris catwalk - and proves there is life after Eurovision

Conchita becomes a 'bride' on Paris catwalk

Alexander Fury salutes the Eurovision Song Contest winner's latest triumph
Pétanque World Championship in Marseilles hit by

Pétanque 'world cup' hit by death threats

This year's most acrimonious sporting event took place in France, not Brazil. How did pétanque get so passionate?
Whelks are healthy, versatile and sustainable - so why did we stop eating them in the UK?

Why did we stop eating whelks?

Whelks were the Victorian equivalent of the donor kebab and our stocks are abundant. So why do we now export them all to the Far East?
10 best women's sunglasses

In the shade: 10 best women's sunglasses

From luxury bespoke eyewear to fun festival sunnies, we round up the shades to be seen in this summer
Germany vs Argentina World Cup 2014: Lionel Messi? Javier Mascherano is key for Argentina...

World Cup final: Messi? Mascherano is key for Argentina...

No 10 is always centre of attention but Barça team-mate is just as crucial to finalists’ hopes
Siobhan-Marie O’Connor: Swimmer knows she needs Glasgow joy on road to Rio

Siobhan-Marie O’Connor: Swimmer needs Glasgow joy on road to Rio

18-year-old says this month’s Commonwealth Games are a key staging post in her career before time slips away
The true Gaza back-story that the Israelis aren’t telling this week

The true Gaza back-story that the Israelis aren’t telling this week

A future Palestine state will have no borders and be an enclave within Israel, surrounded on all sides by Israeli-held territory, says Robert Fisk
A History of the First World War in 100 Moments: The German people demand an end to the fighting

A History of the First World War in 100 Moments

The German people demand an end to the fighting
New play by Oscar Wilde's grandson reveals what the Irish wit said at his trials

New play reveals what Oscar Wilde said at trials

For a century, what Wilde actually said at his trials was a mystery. But the recent discovery of shorthand notes changed that. Now his grandson Merlin Holland has turned them into a play
Can scientists save the world's sea life from

Can scientists save our sea life?

By the end of the century, the only living things left in our oceans could be plankton and jellyfish. Alex Renton meets the scientists who are trying to turn the tide
Richard III, Trafalgar Studios, review: Martin Freeman gives highly intelligent performance

Richard III review

Martin Freeman’s psychotic monarch is big on mockery but wanting in malice