Tag Archives: TEU

Missing the forest for the trees.

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The Tertiary Education Union (TEU) has announced with considerable fanfare that members at eight NZ universities have voted overwhelmingly (a claimed average of 80 percent in favour) to strike in pursuit of an eight percent wage increase in the current negotiating round. I used to be a member of the TEU and wrote and co-wrote two books about comparative labour relations in seven countries (Argentina, Australia, Brazil, Chile, Ireland, New Zealand and Uruguay). As part of my field research I observed collective bargaining sessions between Argentine and Uruguayan central labor federations and employers associations. I was a participant in and focus of negotiations between my former university employer and the TEU over my unlawful dismissal, something that resulted in an Employment Court victory but no reinstatement (which is what I wanted but which the TEU argued was a step too far for them to continue to litigate). In other words, I have a fair sense of what collective bargaining entails (including between Marxist and non-Marxist unions, employers and Labor Ministry officials) and I have seen the TEU negotiate with my own eyes.

I mention this because at the same time the TEU is crowing about its high strike support rate across the sector, the Auckland University of Technology has announced plans to eliminate 230 jobs and disestablish entire programs as a cost-cutting measure. This, in spite of generating record surpluses in the past two years (12 percent in 2021; the annual report can be found here). The university managers argue that inflation and the loss of international students due to travel restrictions imposed by Covid mitigation efforts has negatively impacted on their bottom line. That is nonsense. The truth is that the surpluses exceeded expectations in spite of the pandemic impacts. Moreover, most of the programs destined for the chopping block, like the BA in Social Sciences, cater to domestic students. In fact, the majority of students in that particular undergraduate program, which has 300 fees paying students currently enrolled in a year one course on NZ politics, are of Pasifika and Maori heritage and many are the first members of their families to undertake university studies. For many of these students the BA Social Science program is an avenue of upward mobility into a variety of careers, including Law and Policy Studies. That avenue is now being shut down despite AUT management assurances that students “will find some other place to go.”

It is ironic that those directly responsible for disestablishing this program (the AUT Vice Chancellor and the Dean of Arts and Humanities) are Samoan and Maori respectfully.

Yet, even with the imminent displacement of dozens of TEU members from this one university, the TEU is patting itself on the back about the overall membership support for the wage increase strike call (which involves two-to-five-hour workday walkouts on seven campuses so as to not have staff docked pay under current employment law regulations. AUT is the exception, with a 3 week ban on submitting course marks UPDATE: Under threat of a two week suspension without pay for any member who withholds marks from the central office, the AUT TEU branch has caved and will engage in a 4 hour walkout along with the other universities). In spite of the strong support for the strike, I believe this is a short-sighted perspective that ultimately betrays member interests in favour of preserving the influence of what is essentially an employer-cooperative (if not coopted) union that abides by the employer’s logic and rules.

As it is, the 8 percent wage increase is an aspirational, not an achievable goal. The TEU will likely wind up settling for around 5 percent across the board, but then has to deal with each university’s counter-offers based on their different circumstances (wage bargaining for NZ universities occurs in decentralised fashion, with each university TEU branch negotiating with its respective university management based on overall guidelines from the TEU central office). For example, the cost of living in Auckland is higher than in Hamilton, Palmerston. North, Christchurch and Dunedin, so the “one size fits all” TEU approach to wages is clearly unrealistic as a practical tactic. Add to that different enrolment numbers, research grant endowments and other influences on university budgets, and the notion that an eight percent across the board wage increase for all TEU branch members is feasible becomes nothing more than a pipe dream.

The issue is more than a matter of unrealistic wage demands. It is a question of strategic myopia and self-serving organizational preservation. When unions focus solely on short term tactical goals (wage increases) rather than longer term strategic goals (job security, working conditions, individual and collective labor rights), or trade off the latter for the former, they (con)cede the broader contest to the employer. This happened at my former university employer and sadly, looks to be the trade-off that is about to occur at AUT, where “redundancies” may be exchanged for pay rises to the staff that are left (including the (non-union) middle- and upper-layer management layers that free-ride off of collective bargaining outcomes by tying their salary increases to what is negotiated). But those union members at AUT who may benefit now may be the target of future cuts down the road given that the branch union is no longer consulted about employment matters before decisions about them are made. In other words, under the current TEU approach short term gain is traded for long term pain.

Even the focus on wage increases is fraught in a sector such as higher education. Much of the public view academics as overpaid do-nothing navel-gazers with too much free time and very little responsibilities other than to blow hot air at impressionable youth. Saddled with their own economic concerns and in the majority non-unionised, they are therefore unsympathetic to union claims that university wages have not matched inflation and that morale is low. The reality of academic work is very different than this, but it is the context in which the TEU has to operate. It does not appear to be cognisant of this fact.

What is most sad is that the staff designated for redundancy at AUT and eventually elsewhere would likely trade any wage increase for job security, and many of their colleagues not designated for dismissal would agree to less (or even no) wage increases in order to see respected peers retain their jobs. Coupled with voluntary redundancy and retirement schemes for older or unproductive staff after review and consultation, this could achieve both cost and employment savings, thereby bolstering morale for what is now a very anxious and resentful academic cadre. After all, after spending years pursuing advanced degrees in academic disciplines and focusing on undergraduate and graduate-level teaching and research, it is difficult for many university staff to move laterally into other career fields (especially where suspicion of holders of advanced degrees is present), particularly if older than 50 where and when employment ageism is at play. From the perspective of those on the AUT management hit list, that means that they wasted years of time, resources and energy dedicated to pursuing a specialised craft, only to receive a very poor reward for years of service to the institution.

As things stand, this is a classic collective action problem. Myopic focus on wage increases allows union bosses to claim that they are delivering the goods to their members. But ceding involvement in workplace administration decisions leaves the field open for, in this instance, academic management Taylorists to erode both the individual and collective rights of all staff. Decisions on things like research leave, enrolment numbers, course pass rates, ratio of full-time to part-time lecturers, even (in some instances) course content and evaluation requirements are relinquished to non-academic managers with no familiarity, much less degrees in the subjects they are administering and whose main purpose is to engage in “make work” exercises that justify their existences (and salaries) rather than the delivery of a quality intellectual and education product to the research and student communities.

The TEU long ago gave away its participation in the longer-term strategic goal setting in exchange for its iterative resumption of tactical wage bargaining. That is the mandate for its branch unions and that is why NZ universities have been able to erode working conditions for academic staff and downsize permanent staff numbers in favor of part-time, less qualified personnel in pursuit of cost-cutting measures such as those being used as a justification for the AUT jobs massacre. Exceptions to the rule duly noted, the overall impact is a lowering of standards and deterioration of academic quality in NZ universities.

For people like me with a background in academia this is disappointing but not surprising. That is because the TEU is behaving exactly as the sociologist Robert Michels said it will in his seminal 1911 book, Political Parties (I am usually loathed to use Wikipedia as a citation but in the context of a blog post it will suffice. Also see this). Explaining why complex organizations (such as parties, firms and unions) behave as oligarchies in democratic societies, he noted that the first duty of the organization is to itself. That is, preservation of the organization comes before full satisfaction of membership interests. The dynamics of interest group competition and need for ongoing representation leads to a bureaucratic syndrome where leadership (agent) interest in maintaining the organization as a collective representative outweigh the broader interests of the principals (members). This is a dilemma because if unresolved it runs the risk of alienating principals from agents, leading to abandonment of the organization by members and the diminution of the organization’s power over time.

The more that happens within labor organizations, the more unions enter into decline, lose their collective weight when attempting to bargain and consequently are increasingly ignored by employers and the State when reactively defending the interests of their members, much less when making proactive demands. That is especially true when governments adopt market-driven reforms that in their approach to worker’s rights and representation are deliberately designed to weaken union power.

This is exactly what happened in NZ, the US, UK and elsewhere with the rise of so-called “neoliberalism” as the dominant intellectual and policy paradigm. Market-driven approaches to labor relations are designed to atomize individuals in the workplace and subject them to the greater power of corporate or profit-driven entities whose managerial logics are dominated by the quest to generate surpluses, not improving the material and emotional welfare of employees. That logic is now at play at AUT and other NZ universities.

One way of reconciling this agent-principal problem is for union leaders to focus on immediate gains via wage bargaining while sacrificing longer term objectives tied to workplace autonomy and employee job security. In a sense this is a type of false consciousness where, by gaining incremental wage concessions from employers, both the union leadership and many members convince themselves of the value of the short-term tactical approach to collective bargaining even as they are gradually stripped of control over non-wage aspects of the employment relationship.

That is exactly the approach taken by the TEU. But it is just a short-term solution in a much longer-term, extensive form game dominated by market-oriented managerial logics rather than genuine belief in the role of the academe as “critic and conscience” of society. Seen by that measure and notwithstanding the apparent sincerity and commitment of some of its officials, the TEU is acting more as an employer vassal rather than as the committed agent of its members.

The Road to Academic Taylorism.

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The labour dispute involving the University of Auckland and the Tertiary Education Union (TEU) is the culmination of more than a decade of escalating conflict between the university management and its employees that began during the tenure of former Vice Chancellor John Hood. If Hood, who was VC from 1998 to 2004, was a scalpel designed to eviscerate the union, then his successor Stuart McCutcheon is a sledgehammer focused on bludgeoning the staff into submission. The root of both VC’s hostility to the union lies in their adherence to the so-called “new management” theories that are popular in the private sector (Hood had no academic background prior to his appointment, while McCutcheon was a physiologist prior to being appointed Head of the Department of Animal Sciences at Massey University before holding higher administration positions at that university and later VC of Victoria University). Before arriving at Auckland both men cultivated reputations for being anti-union and ruthless when it came to staff cuts in pursuit of cost savings.

The application of “new management” techniques is nothing more than corporate-speak for imposing modern Taylorist practices on the academe (On Taylorism, see here). The idea is to turn all staff into regulated production units with as little independence and autonomy as possible, in a system where they discharge responsibilities allocated them by the non-academic central management (which has grown significantly at Auckland while the teaching staff has diminished), and in which their “output” is evaluated on spreadsheets and so-called performance based reviews (PBRFs) administered by the Tertiary Education Commission (TEC) rather than by disciplinary peer reviewers. In this scheme Deans, Associate Deans and department heads become “line managers” for the VC rather than as representatives of their faculties or departments, and staff are made to log in their hours, leave time and generally operate as if they were on an assembly line or phone bank service centre. The primary goal of academic Taylorism is to generate revenue by securing research funding, increasing full time (and increasingly foreign) student enrollments (EFTS) while maintaining or cutting staff levels (thereby increasing staff workloads), and making the university more “corporate-friendly” by encouraging business-related disciplines while eliminating those that are not. Under these schemes, the bottom line of the university is no longer to serve as critic and conscience of society and as a generator of creative talent and broad-based knowledge. It is to pursue the bottom line.

As a result, quality of education and scholarly contribution have now given way as the basis for individual and collective advancement and recognition to quantity of enrollments and research outputs regardless of merit. Be it in admitting unqualified foreign students, lowering academic standards to increase passing rates, publishing shallow edited volumes based upon academic crony conferences or listing magazine articles and media commentary as evidence of “research,” the university has forsaken its charter.

The problem is that the “new management” approach has no understanding of the intellectual enterprise or the nature of academic life. Ideas are not merely “outputs” and are not generated in a cubicle farm setting. New ideas and the resolution of complex problems can be generated on a bus, or during a long run on a beach, or over a cup of coffee while gazing out the window at some pretty greenery. Lectures are not merely a means of conveying power point presentations. Intellectual worth is not reducible to its profit-making potential, and intellectual life is more than being at the service of business or focused on technical disciplines with commodified economic worth. Some creative ventures or disciplines, say modern dance or the Classics, are important not because of their money-making capabilities but because they are expressions and reaffirmations of the human spirit in all of its manifestations. That is what universities are for, and that cannot be quantified on a time clock or spreadsheet.

Because of this, the University of Auckland management and its staff have been locked in a morale-sapping struggle over the future of the university. While Mr. Hood approached the union (then known as AUS) in an adversarial manner, he was at least fairly transparent about his intentions and appeared to understand that there were limits to the imposition of Taylorist practices on academic life. Mr. McCutcheon and his senior team, on the other hand, have adopted an overtly hostile scorched earth approach to the academic staff and union, a stance that has seen management engage in extremely dubious and highly unethical practices such as the falsification and destruction of documents, the intimidation, constructive and unjustified dismissal of staff, and the litigation rather than mediation of employment disputes using vast sums of taxpayer funding to pay corporate legal defense fees (from Simpson-Grierson) and PR representation. The Human Resources department and individuals such as John Morrow (Deputy Vice Chancellor (Academic), who was brought by McCutcheon with him from Victoria), are notorious for their bullying and stand-over tactics, using techniques that often times would amount to serious misconduct and border on criminal behaviour if done by anyone else (note that I am only referring here to a limited range of questionable practices and have not delved into issues regarding management relationship with foreign governments that supply students, senior staff travel expenditures and personal misconduct that goes unpunished).

The reason why the Auckland University management has adopted this approach is three-fold: first, because its intention is to destroy the union, pure and simple. Second, because under the current employment climate and labor legislation, it can do so with impunity. And third, because the tertiary sector union has allowed it to do so by adopting mistaken and now possibly terminal negotiating strategies in the past.

Under the leadership of Helen Kelly, the then AUS preferred to emphasise wage increases in the face of inflation rather than working conditions and academic integrity and autonomy. Year after year the sole focus of union negotiators was on wages, for which the union was willing to incrementally give away staff prerogatives when it came to teaching loads, recruitment and retention, and even the elimination of entire disciplines (such as Russian and Indonesian language instruction). The problem with this strategy was first, it elicited little sympathy from the wider public because as things stand people believe that academics are overpaid and under-worked relative to the “real” world (when I left the university my salary was over NZ$102,000 as a Senior Lecturer 5, so I can see how the public would think that). Secondly, because the union only represents thirty-odd percent of the academic staff (the overall percentage of organized university staff increased after 2009 with amalgamation of the AUS and the Association of Staff in Tertiary Education (ASTE), which covers university administrative staff, but still does not cover the majority of academic staff), the university management could undercut union negotiations by offering separate wage packages to unorganised staff on individual contracts, thereby forcing the union to eventually relent and accept the same deal as the unorganised staff in exchange for the university retaining the collective contract governing other aspects of the employment relationship not subject–yet–to managerial discretion. This process of stalled negotiations, threatened industrial action and on several occasions strikes themselves did not hinder management’s steady, yearly erosion of the basic terms of employment.

In fact, rather than trade wage restraint for a halt to managerial intrusions into workplace autonomy and research and teaching independence, the union stubbornly clung to the wage/inflation parity fixation. By the mid 2000s, every year it wound up settling for the wages unorganised staff had agreed to and slowly but steadily found itself subject to increased management control of basic working conditions regardless of the specifics of the academic discipline or the nature of research involved. As Taylor would have had it, academic synthesizing was in play.

Ms. Kelley’s mistake was that she sought to preserve the union’s agency by trading incremental wage gains for non-wage concessions when confronting an opponent that was most interested in destroying the union. This was evident in her approach to forced redundancies and constructive or unjustified dismissals, which was to seek monetary settlement rather than go to court even if this meant the end of the union member’s academic career. Since the university has money to burn for such things, this approach played neatly into its hands.

And so it happens that this year McCutcheon and his wrecking crew minions have made their boldest move. After gradually tightening leave requirements, increasing on-site hours and teaching and research (make) workloads, adding administrative chores (such as the endless paperwork associated with the PBRF and Annual Performance Reviews) loosening burden of proof standards in employment disputes and restricting opportunities for academic staff to work off-campus without penalty, the university has proposed to eliminate research and study leave and have disciplinary matters removed from from the collective contract (research leave is now guaranteed for one semester every three years subject to the submission of a viable research proposal estimating costs, itineraries etc., and disciplinary procedures–which have been repeatedly breached by the management anyway–are outlined in the collective contract) as well as remove a number of clauses in the contract governing the non-wage employment conditions of the staff (these include ongoing changes to promotion criteria and guidelines that make it easier for managers to deny or confirm promotions based on on non-standardised assessment measures). In exchange, the university has offered an increase in annual leave from four to five weeks for all staff along with a four percent pay increase. McCutcheon’s attitude is clear, as he has stated to the press that he believes that universities should not be encumbered by employment agreements that constrain management’s ability to dictate policy. Taylor would be proud.

Unlike Ms. Kelly, the new TEU president, Sandra Grey, is an academic who knows the inside of a classroom and the research requirements inherent in academic employment. Finally realizing the real stakes involved, the TEU has responded by asking Auckland members to refuse to engage in the annual PBRF exercises that help determine the amount of research funding that the university receives from the government. The PBRF, which is a glorious time and energy-consuming make-work exercise introduced the early 2000s as part of the new managerial approach to research funding, is considered to be the holy grail for the management bean counters in the Clock Tower and VC’s office, so naturally enough McCutcheon has shown his bully self by threatening that any reductions in PBRF funding caused by staff refusal to perform the exercise could result in dismissals (ignoring the fact that staff numbers are below those of the pre-PBRF days and that enrollments are up, which means that he would have to reduce course offerings and turn away students in the measure that he fires lecturers, or at a minimum replace them with less-qualified personnel). The union has responded with a PR and media campaign and promised more direct action if the VC’s proposal is not withdrawn. At the moment both sides are at an impasse. Truth be told, in the contemporary economic, political and social climate and given its member numbers as a percentage of the overall academic workforce, this is a very risky act of TEU brinkmanship.

It will be interesting to see what will happen if this confrontation continues. But one thing is sure: this is the TEU’s last stand in Auckland. If it loses this battle then it will be destroyed as a credible agent for the interests of the Auckland University staff. And once that domino has fallen, it will not be long before management in other NZ universities will follow suit and adopt the sledgehammer approach towards union branch-busting in the pursuit of academic Taylorism. At that point the notion of “the academe” will have ceased to exist in New Zealand.

PS: Less you think I am off track, check this out from someone who still works at Auckland University  (hence the diplomatic and deferential tone).