'competitive' salaries in academia

In both the Netherlands and Australia the salaries of the top university leaders lead to controversy. The Australian reports that all but one of the leaders of Australia’s Group of 8 Universities earn more than 600,000 Australian Dollars (378,000 Euros). Top earner was John Hay of the University of Queensland with 655,000 Euros. But the Australian found even higher figures for La Trobe University where someone (probably the former VC) received over 930,000 Euros!

In the Netherlands, the salaries and bonuses in the public sector are a hot issue as well. Many claim that the Prime Minister’s salary should be the norm for others in the public sector. In the Netherlands that is a mere 171,000 Euros (John Howard’s salary was recently increased to 208,000 Euros). But most university leaders in the Netherlands make significantly more than that.

The new Dutch Minister for Education this week showed his discontent about the managerialism in education and the accompanying rise in salaries. He observes that most of them enjoyed enormous salary increases when they came into their current positions. And I am sure he is right about that (although that is not the case for all of them). One of the most visible cases has been the one in my own Alma Mater. Their top level managers were given a 31% salary increase, which sparked a reaction of the Minister claiming that this was ‘unbelievable’. This increase brought the salary of the Chairman of the Executive Board (more or less the CEO of the University) to 171,000 Euros. In comparison, the lowest earning VC in Australia, David Battersby of the University of Balarat (poor guy), earned over 200,000 Euros!

So how do the Dutch university CEOs compare with the Australian Vice-Chancellors? Basically, compared to Australia, the Dutch salaries are still very modest. Here is the list of the top 6 for both countries:

Netherlands (Source: Intermediair (pdf); in Euros)
1. Aalt Dijkhuizen	University of Wageningen	307,520
2. Sijbolt Noorda	University of Amsterdam	284,400
3. Rene Smit	Vrije Universiteit	245,900
4. Hands van Luijk	Delft Univ. of Technology	240,000
5. Yvonne van Rooy	University of Utrecht	233,000
6. Jos Elbers	Hogeschool Inholland	228,928
Australia (Source: The Australian; converted to Euros)
1. John Hay	University of Queensland	655,000
2. Gavin Brown	University of Sydney	454,000
3. Fred Hilmer	University of NSW	378,000 (+95,000)
4. Steven Schwartz	Macquarie University	378,000 (+63,000)
5. John Rickard	Central Queensland Univ.	425,000 - 434,500
6. Glyn Davis	Melbourne University	384,000

Don’t get me wrong! This is no justification for the Dutch salary hikes. More like a condemnation of the Australian salaries. The argument is usually that salaries have to be competitive. This argument is put forward just a bit more often when people talk about managers than when they talk about academics and professors. Australian professorial salaries average A$120,000 (75,600 Euros). I am not sure how much it is in the Netherlands but I think it will be slightly higher, or at least similar. Let’s just say that the huge gap between managerial and academic salaries in Australia better not be taken as an example for the Netherlands.