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NSW parliament launches inquiry into university ‘crisis’

Upper house committee to ask ‘hard questions’ about governance, transparency and accountability

Published on
August 19, 2025
Last updated
August 18, 2025
A plane flies over Sydney Opera House
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The government of Australia’s most populous state has emulated its federal counterpart in launching a parliamentary inquiry into the “crisis” afflicting the university sector.

The probe by a committee of the New South Wales (NSW) parliament’s upper house will examine the legislative frameworks and governing councils of the state’s 10 public universities.

Sarah Kaine, chair of the Legislative Council’s Standing Committee on Social Issues, said the inquiry came at a “critical moment” as NSW universities faced “mounting pressure” in the form of financial instability, governance challenges and questions over their ability to uphold academic freedom and meet student welfare obligations.

“This is a chance to ask hard questions,” Kaine said. “Are universities being run in the public interest? Are they accessible, inclusive and accountable? Are they fulfilling their promise to serve society – not just markets?

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“This inquiry is about building a stronger, fairer university system for future generations. We want to hear from those who live and work within these institutions every day. Their views…can help shape the path forward.”

A federal Senate committee has resumed its inquiry into the governance of what its former chair described as a “lawless” university sector, amid plans to make about 2,000 staff redundant from six institutions in NSW and the Australian Capital Territory. Six NSW institutions recorded deficits last year.

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In a statement, Kaine’s office said her committee’s inquiry would focus on the governance, transparency, accountability and public benefit of the 10 institutions. “It will consider how university councils operate, how decisions are made and reported and whether current arrangements reflect best practice and serve the interests of students, staff and the wider community.

“The inquiry will also explore the balance of responsibilities between state and federal governments and whether existing oversight mechanisms are sufficient to ensure universities remain responsive to public needs and democratic values.”

Kaine said universities were public assets, “civic anchors” and engines of social progress. “This inquiry will ask whether our current laws and governance structures are helping or hindering them in that mission.”

john.ross@timeshighereducation.com

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