Nationwide university strike ballots set for September 6

The ballots, which will run until October 22, are aggregated, meaning a simple “yes” vote on a turnout exceeding the government-set minimum of 50 per cent will be sufficient to trigger strike action at all 151 universities balloted — an outcome the union characterised as “unprecedented action in the sector”.

Two ballots will be held, with the pensions dispute separated from that over pay and conditions. The pay and conditions ballot involves 145 institutions, while the Universities Superannuation Scheme ballot involves 68. 

We warned employers that unless they begin to address staff demands we would be forced to ballot for strike action

Jo Grady, UCU

Of the latter, the union demands a pay uplift of 12 per cent, or inflation (per the retail price index) plus 2 per cent, and an agreement to end zero-hours contracts and “dangerously high workloads”. 

It reiterated its criticisms of a 3 per cent pay offer made by universities earlier this year, arguing that “a decade of low pay awards” has left staff pay lagging 25 per cent behind inflation, at a time of an acute cost of living crisis.

On pensions, the UCU again demanded that the benefit cuts introduced in April in response to the 2020 valuation be reversed, and that benefits be restored to 2021 levels.

Universities ‘can afford to do better’

Employer group Universities UK struck an agreement with the USS trustee that pledged a moratorium on scheme exits and greater covenant support among a host of measures designed to stave off “ruinous” contribution rate hikes necessitated by the £14bn deficit revealed by that valuation, so the argument went.

The USS June monitoring report, published on August 22, showed that the deficit had transformed into a £1.8bn surplus in little more than 18 months, which the UCU hailed as vindicating its contention that the 2020 valuation was improperly conducted, and the employers’ deal with the trustee — including benefit cuts amounting to 35 per cent for a “typical member”, according to the union — was premature and unnecessary.

Both UUK and the USS trustee have cautioned against reading too much into the monitoring report figures, which are arrived at via a less rigorous process than is employed in valuations, and which are subject to continued market volatility. 

USS chief executive Bill Galvin did suggest, however, that were these figures to be borne out, they could form the basis on which to cut contribution rates and/or improve benefits, though all sides except for the UCU have argued that this should be discussed as part of the next scheduled valuation, and not take the form of interim benefit changes.

But the UCU argued that the scheme’s improved financial position, as well as “record income” of more than £41bn generated by universities, coupled with vice-chancellors’ plans to increase capital spending by 36 per cent, means that changes to pay, conditions and pension benefits are affordable and should be pursued immediately.

UCU general secretary Jo Grady said: “University finances are in rude health and there is no doubt the sector can afford to do much better.

“We warned employers that unless they begin to address staff demands we would be forced to ballot for strike action. Despite being given numerous chances to use the sector’s record income and its spare billions to properly raise pay, restore pensions and address rampant job insecurity, vice-chancellors have chosen to bury their heads in the sand.

“We urge vice-chancellors to put the sector first by addressing staff concerns and helping us to avoid industrial action.”

Raj Jethwa, chief executive of the Universities and Colleges Employers Association, said higher education institutions had "done their best to support jobs and staff in very difficult circumstances and against a backdrop of significant cost increases, with most experiencing falling income in real terms".

"UCU’s recent suggestions that a handful of institutions with surpluses can somehow cross-subsidise an increase in pay for staff at all institutions is not an option. Employers want to work with UCU and other unions to support staff and students, but yet more strike action over pay and pensions will simply hurt students and staff for no obvious outcome."

He said that UCEA is "concerned for those on lower incomes, who are disproportionately impacted by inflation," and that this concern resulted in the 2022-23 Joint Negotiating Committee for Higher Education Staff's pay award that "included an uplift of up to 9 per cent for those on the lowers points of the pay spine".

He added that UCEA "has worked with employers to implement the uplift at the earliest opportunity," but added that it was "unfair to students and staff that UCU members, representing a minority of the sector’s employees, were not given the chance to accept or refuse our offer".

A spokesperson for USS employers said: “Necessary reforms to USS have been implemented to avoid huge and unaffordable cost increases for both employers and staff. Employers have repeatedly made clear that their current contributions to the pension scheme – which rose to 21.6 per cent of salary in April - are among the highest in the country and at the very limit of affordability.

“Inflationary pressures and the real terms cut in tuition fees means universities are facing an uncertain financial future and with the 2020 valuation now concluded, we want to work collaboratively with the union to bring about meaningful reform by developing lower-cost options for members, considering alternative scheme designs, and conducting a thorough USS governance review."

They added that there is "a real risk" that further industrial action "may limit the union’s ability to engage with important discussions on the future of the scheme and impede efforts to accelerate the next valuation".