Australian Universities’ Review - Part 1 - An analysis of problems associated with the privatised university

Oct 15, 2026

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An analysis of how withdrawal of government funding and fee deregulation drive the privatisation and marketisation of Australian higher education. The discussion links deregulated fees to a shift toward capacity to pay rather than merit, strengthening hierarchies between better-resourced and weaker institutions. It critiques neoliberal reframing of vice chancellors as CEOs and students as clients or customers, arguing that commodification undermines the integrity, standing, and community responsibilities of public universities.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages6

Reading Time15 min

AccessFree to download

Part 1: An analysis of problems associated with the privatised university

Critiquing neoliberalism in Australian universities

Marketisation and commodification of higher education

A U S T R A L I A N U N I V E R S I T I E S ’ R E V I E W Part 1: An analysis of problems associated with the privatised university Critiquing neoliberalism in Australian universities Jeannie Rea National Tertiary Education Union While students chanting ‘No cuts, No fees, No corporate universities’ may be dismissed as youthful hyperbole by some, it is not as superficial a characterisation of the state of our public university system as it seems. Keywords: fee deregulation, privatisation, commodification, governance, governmentfunding, government policy The withdrawal of government funding and fee deregulation is the core issue for Australian higher education. It is even more stark because we have a largely government founded system. Colonial and state governments established universities, as well as teacher training and technical institutes and further education colleges. Unlike in some countries, our tertiary institutions have historically been overwhelmingly publicly funded with staff often directly on the public service payroll. Private, including for-profit, and religious institutions have been few and catered for few students. This is unlikely to change unless governments weaken the registration requirements for universities and other providers and start handing out HECS-HELP funded (Commonwealth Supported) places to private providers, as is current Turnbull Coalition Government policy. Ironically for the free market ideologues, it would be state subsidisation that would facilitate a viable private higher education sector in competition with public institutions. Australia’s level of public investment in higher education is low compared to other industrialised economies. Deregulated international and postgraduate course fees are now a critical source of income, as government grants account for only about one third of university income. In recent times, most vice chancellors did not oppose the Coalition Government’s undergraduate fee deregulation policy, despite Australian undergraduate domestic vol. 58, no. 2, 2016 students already paying higher fees than most comparable OECD countries. Fee deregulation compromises the integrity of our public university system, with better resourced universities able to charge higher fees. Capacity to pay rather than merit would increasingly determine access to courses and universities. The existing hierarchy of universities would be exaggerated as the wealthy filled the places at the better resourced, along with some scholarship students, while the standards and viability of other institutions would erode. No longer would a degree from any of the members of our public university system have standing locally and internationally. Therefore, when we talk of the privatised or privatising university, it is not a discussion about private universities,it isabout the process and consequences of the marketisation of public universities and the commodification of higher education learning and research. Marketisation of our public universities is emblematic in public university vice chancellors no longer being seen as leaders of a community of scholars but re-cast as CEOs answering to university councils (which are now more akin to corporate boards of management overseeing the operation of large enterprises) . Commodification is symbolised by students considered at best as clients, at worst as customers. Despite UNESCO protocols recognising our unique rights and responsibilities, as university staff we struggle to hold onto to our status Critiquing neoliberalism in Australian universities Jeannie Rea 9 A U S T R A L I A N U N I V E R S I T I E S ’ R E V I E W as stakeholders. Instead, we are treated as a cost of production, a variable input from which maximum productivity is extracted. A university is not just another enterprise, and‘education’is not a commodity to be bought and sold. A university qualification requires work by the student, not just the purchase of

FAQs

What is identified as the core issue for Australian higher education?

The withdrawal of government funding and fee deregulation are presented as the core issues driving change in Australian higher education.

How does fee deregulation affect access to courses and universities?

Better-resourced universities can charge higher fees, so access increasingly depends on capacity to pay rather than merit.

How does the text describe the shift in university leadership and student roles?

University vice chancellors are recast as CEOs answering to corporate-like councils, while students are treated as clients or customers rather than stakeholders.

Oct 15, 2026

Upload by Ben