I am a researcher at a major university in Sydney. Because student numbers are going down year after year, my research budget is going down as well. Something is wrong here.
Universities supposedly have two responsibilities: to teach students and to do research. Both of these activities need money to work. But only teaching generates a significant amount of money. This is true, at least, in Spain and Australia, the countries in which I have this kind of experience. The money that universities generate from their students, either directly (course fees) or indirectly (government subsidies), must be enough to pay teaching and research activities. And here starts the problem.
If student numbers go down 15% this year, for example, it would make sense (although it would be very harsh) to sack 15% of the lecturers. Or, less bluntly, to pay 15% less teaching hours. Since the demand is lower, the offer needs to be lower. Less money is coming in, less money is being spent. Logical. But things do not work this way. When student numbers drop 15%, teaching staff are not fired but keep being paid. The only way that universities have to save the money that they are not making is to cut research budgets. Less travel to conferences, fewer and lower seed grants, etc.
