Dundee University has been engulfed in crisis since a £30 million funding deficit and potential job losses were revealed last month.
The alarming headline was swiftly followed by Principal Iain Gillespie’s sudden resignation.
That decision followed tough criticism from inside the institution over his management and apparently expensive travel record.
Since then, angry staff have since had their say by supporting strike action over the threat of redundancies.
What is going on at this crucial city institution?
Our step by step timeline is set out below.
Resignations follow deficit revelation
On November 13, The Courier reported job losses at Dundee University were “inevitable” as bosses grappled with a £30 million blackhole in the finances.
Principal Professor Iain Gillespie wrote to staff warning there would have to be reduction in staffing levels.
This prompted a flurry of interest as many insiders reached out to share serious concerns.
The cause of the funding crisis is complex, though university bosses blamed a significant reduction in international students this year.
We also revealed how, as a result of recruitment problems, 300 empty student hall beds were costing around £2 million.
But the scale of the deficit prompted accusations that the university’s executive had allowed it to “balloon” overnight.
Cost saving measures appeared to include the merger of the university’s dental and nursing school – a plan put on ice after Mr Gillespie resigned.
Other universities have also revealed a deficit. Abertay University reported a loss of £576,000, also revealing it had under-recruited students.
5-star principal’s largesse
Tough criticism from inside the university was aimed at Mr Gillespie. Staff were critical that he booked first class flights to the Far East and enjoyed 5-star hotel stays at the university’s expense.
The high spending left many furious and prompted questions about how the university’s finances had been handled.
We also revealed that months before his email warning of job losses, the university’s governing body handed Mr Gillespie a pay rise.
It took his salary to £305,000, nearly double the amount paid to Prime Minister Sir Keir Starmer.
A team of vice principals also earn more than the prime minister.
Within weeks Mr Gillespie announced his sudden exit from the university.
Vice principal Wendy Alexander – who it is understood had been planning to leave before the crisis emerged – also confirmed her retirement.
This prompted an apparent exodus by senior figures.
Governance and management concerns
The confusion about how such a large blackhole could develop also prompted questions from local politicians about who knew what and when.
The powerful “court” which oversees the running of Dundee University has come under scrutiny as a result.
A small surplus had been reported in recent years, and minutes from the body reveal the scale of the deficit was not discussed at a meeting weeks before it was made public.
“The scale of this failure of governance is a scandal,” one insider said.
The Courier also revealed how the university hired a senior member of staff despite an ongoing misconduct investigation by her previous employer.
Judy Finlay – also known as Zhi Qiu Finlay – joined from Coventry University in July 2021, two months after whistle blower allegations prompted an internal probe.
Strike ballot
Staff have expressed a lack of confidence in the university’s management, with 89% backing a no confidence vote.
Trade union UCU also balloted staff on whether to strike over the management team’s response to the crisis.
Government bailout
The Scottish Government faced questions after concerns about the future of the university reached Holyrood.
This included queries from MSPs about the potential for a government bailout. In an interview with The Courier, SNP universities minister Graeme Dey refused five times to say whether he would pledge that the university would not go bust.
North East MSP Michael Marra has also asked Mr Dey and education secretary Jenny Gilruth if the Scottish Funding Council would consider providing a “bridging loan”.
SNP MSP Joe FitzPatrick has also called on the government to intervene. In a letter to First Minister John Swinney he said all options should be on the table.
Bank loan negotiations
On January 28, The Courier revealed bosses at the university were in negotiations to secure a bank loan to fund a redundancy scheme.
Securing the fund for a redundancy scheme would allow the institution to lay-off staff and make the savings required to close its £30 million deficit.
Sources at the university described the success of the discussions as “critical” to any financial recovery.
Fears of up to 500 job losses
Read more in detail on the twists and turns:
- Iain Gillespie: Downfall of the ‘five-star’ principal who could not escape Dundee University financial crisis
- How Dundee University crisis prompted major executive shake-up
- Dundee University staff overwhelmingly vote ‘no confidence’ in bosses over financial crisis
- Dundee University: Key ‘court’ roles under scrutiny as crisis deepens
- Dundee University’s China chief hired during misconduct investigation by previous employer
- 3 Dundee University successes achieved while bosses preside over financial crisis
- EXCLUSIVE: SNP universities chief refuses to commit to saving Dundee University
- Dundee University must reveal what went wrong, say SNP education ministers
- Dundee University union leader says Tay Cities Deal partly to blame for funding crisis
- EXCLUSIVE: Dundee University negotiating bank loan to fund redundancies
- Call to pause Dundee University vice principal’s £360-a-day ‘job for life’
- EXCLUSIVE: New Dundee University principal breaks silence on crisis facing historic institution – and his rescue plan
- EXCLUSIVE: Fears Dundee University job losses could hit 500 as John Swinney urged to step in
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