What's On
Statement concerning the financial position of the University of Wolverhampton Students’ Union
Over the past few years the University of Wolverhampton Students’ Union (hereafter UWSU) has experienced growing economic concerns driven by a sustained period of extremely poor commercial performance.
There is now a very real danger that if nothing is done to rectify this, UWSU could become insolvent, effectively meaning that it would struggle to pay off all monies owed if immediately needed. This could result in total closure of UWSU. However, THIS WILL NOT BE ALLOWED TO HAPPEN and it is important that we work over the summer to identify realistic and economically viable solutions if we are to be up and running again in time for September and the return of students.
For UWSU to move positively forwards into the new academic year, we urgently need a balanced budget, appropriate structure and exciting new plan which clearly reflects the needs of our student membership.
UWSU must take action now.
The Students' Union and the University are now working together to develop an appropriate plan for the future.
At this point it is worth noting that the UWSU exists to represent its members, as set in law by the Education act of 1994 and receives an annual block grant from the University for the express purpose of representation and running its non commercial services.
Over the coming weeks the Students’ Union will be working with the University to produce a new business and organisational model for UWSU. This may include an organisational restructure to enable us to achieve best practice governance, operational standards and the implementation of more suitable management practices.
By doing this, we will be able to quickly and effectively:
· address the serious economic issues we face;
· become more responsive to the priorities and needs of our student membership;
· move towards securing our long term financial sustainability;
· take proactive steps towards becoming a best practice organisation with full charitable status when the directives outlined in the Charities Act 2006 (for all Student Unions) are enforced in the coming months.
How did we get to this position?
The position that UWSU now finds itself in has occurred through a damaging combination of poor commercial performance, fluctuating market demands and changing student demographics over the last few years.
This situation has not just happened 'out of the blue'. We understand that the situation UWSU is currently facing is not just a Wolverhampton problem; in fact it reflects a national issue for a growing number of Students' Unions across the UK.
The main reason the Students’ Union operates commercial services (e.g. bars and shops) is to raise money to fund and further develop our diverse range of non-commercial activities, such as representation, societies, sports and advice and support however, for the last few years the Union’s commercial services have been losing instead of raising money and the development of our core student activities has suffered. This situation cannot be allowed to continue.
What are the Students’ Union’s priorities?
As a result of the position we are now in, all UWSU staff were officially notified on 30 April 2008 that the organisation is now facing a serious financial crisis and that for economic reasons, all employee posts are considered to be at risk of redundancy or negotiated change.
UWSU is currently consulting with UWSU employees to ensure they are kept up to date with information and to make sure that we do the right thing and follow best practice employment guidelines.
We want to continue to independently run high quality core services which are important to the students who choose to study at this University. This is our top priority and we are currently looking at the services we need to deliver to make sure we offer an outstanding student experience that reflects our joint aim with the University to widen participation.
What we can confirm is that the following core services will definitely continue in some capacity:
- Representation
- Democratic processes
- Information points
- Societies
- Sports
- Advice and Support
What are we going to do to remedy this financial problem?
The first priority is to stop the current rate of financial loss. The easiest solution to do this is to shut all commercial services overnight. However, as UWSU has nearly £70,000 worth of stock, we will be holding a ‘closing down’ sale on all campuses in order to redeem what money we can.
It is intended that the bars and shops will therefore be open on all campuses until the end of May. At the end of term, UWSU will close the following services:
· all bars and the shop on City Campus whilst alternative, economically- viable, robust business solutions are identified.
· the bar and the shop on Telford Campus for the summer at least until the situation has been fully assessed, researched and a decision taken based on both student and economic need.
· the bar and the shop on Walsall Campus for the summer with the possibility of re-opening for trade in some form during Autumn 2008. The justification to continue trade at Walsall would be because its geographic profile is different from the City Campus. At Walsall there is limited availability and choice of ‘student-friendly’ bar and shop services close to this relatively isolated campus. However, when reviewed, these services will trade under strict, newly imposed financial management and will be under continual review.
Have your say
Over the coming months, and into the next academic year, UWSU will be consulting its membership (YOU) to find out what you would like to see in a future UWSU portfolio of student activities.
We will be seeking your constructive views so that we can:
· Build a more sustainable future.
· Provide services which are clearly in demand by the majority of our membership.
· Start to build a reputation as one of the best Students’ Unions in the country.
We would like UWSU to be accessible to all of our students and to sit at the centre of student life in Wolverhampton. We would ask for your support as we strive to achieve these goals.
If you would like more information, please access UWSU information points to formally approach one of the Trustees, who will try to fully and honestly answer your concerns.
The trustees will be holding an open meeting in MA202 at 3pm on Friday 16th May to answer any questions that you may have regarding this issue.
Yours in Unity,
The Students’ Union Trustees,
Richard Longfils President
Karl Stringer Vice - President
Leigh French Vice - President
Caroline Rose Vice - President
Supported by,
Jane Nelson Pro Vice - Chancellor Student Affairs
For and on behalf of the University of Wolverhampton
