Uni chiefs enjoy learning curve

THE departure of professors John Yovich and Alan Robson from the ranks of Western Australia’s university leadership may well put a dent in the likelihood of any of the state’s tertiary sector CEOs hitting the $1 million salary level attained by at least one east coast institution.

Despite running the smallest of WA’s four public universities, Murdoch University’s Professor Yovich has long held the title of the state’s best-remunerated vice-chancellor. In the past calendar year he again held the top spot with his $935,000 salary, which included undisclosed termination benefits.

The market leader in the university salary stakes has traditionally been the University of Queensland. This year its top salary cracked the $1 million mark, jumping about $85,000 from around $985,000 in 2009.

Murdoch is currently hunting for a new vice-chancellor, with Gary Martin acting in the role on an interim basis.

The state’s next best paid vice-chancellor is the University of WA’s Professor Robson, who is due to step down later this year. Paul Johnson from La Trobe University in Victoria has already been named as UWA’s next vice-chancellor.

Professor Robson, who is expected to remain at the helm until the end of the year, saw his salary jump to about $845,000, up 23.4 per cent on the previous calendar year.

Next in line in the pay stakes in WA is Curtin University’s Jeanette Hacket, who earned about $695,000, and Edith Cowan University’s Kerry Cox, who was paid about $625,000.

Among the other public education providers, Central Institute of Technology managing director Neil Fernandes earned about $215,000 in 2010, at or around the same level as the previous year, according to its annual report. Challenger Tafe managing director Liz Harris earned $195,000, up from $185,000.

Professor Yovich has set the pay benchmark for the top band of salaries at WA public universities since WA Business News started closely watching executive remuneration at these public institutions in 2006.

In the calendar year of 2005, Professor Yovich earned $565,000, up from $425,000 in 2004, standing out ahead of Professor Robson’s $485,000, then-Curtin head Lance Twomey’s $475,000 and then-ECU’s vice-chancellor Millicent Poole, whose $795,000 in benefits also reflected termination payments, up from $475,000 the year previous.

The current crop of vice-chancellors has overseen significant growth in student numbers, which has not significantly changed the order of institutions in terms of numbers.

According to their annual reports, Curtin University leads the pack in terms of student numbers with nearly 50,000 in total, made up of 46,634 in high education and an additional 3,116 in vocation and education training. In 2006, Curtin had just more than 45,000.

In comparison: ECU had 24,241 student enrolments last year, up from 21,093 in 2006; UWA had grown to 22,159 enrolments in 2010, from 17,275 in 2006; and Murdoch enrolments grew to 18,203 last year from 14,271 five years earlier.

During recent years, these university leaders have also all been through a volatile patch as the global financial crisis and, more recently, immigration issues have affected their sector, at times positively, as education often wins when jobs become scarce.

In its annual report, Curtin University warned of the negative impact associated with the strengthening domestic economy, pointing to a 3 per cent fall in enrolments in 2010 as an early signal.

As the state’s biggest provider of education to foreign students, Curtin is also concerned about the strength of the Australian dollar at a time when key rival markets – the US and UK – have seen their currencies slump.

Curtin recorded a net operating surplus of $40.9 million, down from $59.7 million the previous year.

The surplus reduction was mainly due to a $34.2 million write-down in assets as a result of the university transferring its Vocational Training and Education Centre to the WA government, a reversal of the 1996 transfer from the state to the university.