Otago TEU branch organiser Philip Edwards said the two organisations agreed during a meeting on Wednesday the failure of funding to keep pace with inflation was a significant part of the problem as the university warns of impending staff cuts that could total several hundred.
On Monday, the university opened a voluntary redundancy scheme, but would not say how many staff had so far applied when asked by the Otago Daily Times yesterday.
Mr Edwards said there was about a 20% difference between student achievement component funding and the consumer price index.
"You can see why universities around the country - and polytechs to an extent - are actually struggling with the ability to manage their business," he said.
The joint approach could involve contacting local MPs and the Minister of Education.
Finding common ground with the university was "a step in the right direction" but was not a solution, Mr Edwards said.
"The problem is it’s unlikely to fix this current issue because the Government won’t act in time."
Staff were still feeling shocked, angry and confused about the situation, Mr Edwards said.
The university said last week several hundred academic and general staff could be made redundant in the next 18 months.
It would investigate a range of ways to save money, including not only job losses but also asset sales and reduced course offerings at its campuses.
Enrolments at the university were 4.9% lower than expected this year, and the drop in domestic enrolments accounted for $20million of the shortfall.
Branches of the TEU also met on Wednesday and agreed they would take a united national approach, Mr Edwards said.
Not only was the TEU concerned about the threat to Otago, it also believed cuts were looming for other universities as well.
However, it was too soon to comment on what action might be taken, he said.
Applications for the university’s voluntary redundancy scheme close on June 2.
