The Grilling: John Dewar Faces Tough Questions at NSW Parliamentary Inquiry
In a tense session before the New South Wales parliamentary inquiry into the university sector, former interim Vice-Chancellor (VC) of the University of Wollongong (UOW), Professor John Dewar, was pressed on potential conflicts of interest stemming from a lucrative consulting contract awarded to his firm. The inquiry, focused on governance, transparency, and the heavy reliance on external consultants in Australian higher education institutions, highlighted concerns over how UOW engaged KordaMentha – a restructuring specialist where Dewar was a partner – for a $3.8 million operational review shortly after his appointment.
Dewar, who served as UOW's interim VC from June 2024 to early 2025, acknowledged the 'perception' of impropriety but firmly denied any direct involvement. 'I agree that there is probably a perception of that,' he stated, responding to inquiry chair Sarah Kaine and Greens MLC Abigail Boyd. He emphasized that the procurement process was handled with 'a high degree of probity,' and he played no role in the tender decision or supervision of KordaMentha's work.
The hearing, part of a broader probe triggered by whistleblower complaints and media exposés, underscores mounting scrutiny on university leadership amid financial pressures. Dewar explained that bringing in external expertise was his initiative, telling Chancellor Michael Still that UOW's deep-seated challenges – including a $95 million deficit in 2023 – required more than one person to address.
UOW's Leadership Crisis and the Path to Dewar's Appointment
The University of Wollongong, a prominent regional player in Australia's higher education landscape with over 30,000 students across its NSW campuses, has been navigating turbulent waters. Established in 1975, UOW has built a reputation for innovation in engineering, health sciences, and creative industries, but recent years have seen it grapple with post-COVID enrollment drops, a collapsed public-private partnership (PPP) for student accommodation, and escalating operational costs.
In April 2024, long-serving VC Professor Patricia Davidson resigned amid internal tensions, paving the way for Chancellor Michael Still to spearhead a leadership transition. Dewar, previously VC at La Trobe University for 13 years and a seasoned higher education consultant, was appointed interim VC on May 30, 2024, effective June 24. His selection by the Interim VC Committee was positioned as a strategic move to stabilize the institution during a critical restructure phase.
However, Dewar's ties to KordaMentha – where he joined as a partner in early 2024 focusing on higher education restructures – quickly raised eyebrows. On unpaid leave from the firm, he was authorized a 'day a fortnight' for leadership duties, unpaid but with entitlement to a fixed percentage of the firm's overall remuneration. UOW implemented a conflict management plan, barring him from procurement or oversight roles.
Unpacking the $3.8 Million KordaMentha Contract
Just four days after Dewar's appointment, UOW invited KordaMentha to tender for a comprehensive operational review aimed at identifying cost savings and efficiency gains. The firm, known for its expertise in insolvency and turnaround strategies, secured the contract valued at approximately $3.8 million. This engagement covered reviews of operations, people, and culture, producing reports that recommended substantial cuts.
The contract's timing fueled suspicions, especially as KordaMentha's recommendations led to over 130 positions eliminated in an initial restructure, costing $29 million in redundancies, followed by around 200 academic roles affected in IT, media, and communications. Critics, including National Tertiary Education Union (NTEU) delegates, labeled the data used as 'garbage in, garbage out,' arguing it justified wholesale job losses without robust analysis.Four Corners investigation highlighted similar patterns across universities.
Dewar's Defense: Declarations, Denials, and Perceptions
Under oath, Dewar reiterated that he declared his KordaMentha partnership upfront and recused himself from all relevant decisions. 'I had nothing to do with that decision … nor the supervision of the work,' he told the inquiry. He described his fortnightly involvement as non-compensated leadership to maintain firm connections, insisting his focus was 110-120% on UOW.
When Boyd suggested a 'direct conflict' due to his revenue share, Dewar pushed back: 'No, I don't accept that … I can see how the perception might be very different.' He positioned the engagement as Chancellor Still's preference, given prior positive experiences with the firm. UOW maintains the process complied with conflict of interest policies, with no evidence of impropriety found.
Staff and Union Backlash: Chaos, Fear, and Poor Data
NTEU's UOW branch president Susan Engel described ongoing 'chaos and anxiety' from consultant-led restructures, questioning if council members grasp conflicts or complete mandatory training. Delegate Fiona Probyn-Rapsey criticized the sector's consultant addiction, noting UOW's $14 million spend in 2023 amid $730 million nationally.
Whistleblower Lisa Simmons, a 24-year staffer, alleged 'suspected corruption' to ICAC, citing centralized power under Still, a fear culture stifling dissent, and governance failures. Professors like Adam Lucas decried councils dominated by finance and Big Four consultants profiting from engineered crises.
Chancellor's Oversight and Broader Governance Lapses
Chancellor Still defended the appointments and contracts, rejecting conflicts and noting Dewar's exclusion from KordaMentha matters. However, whistleblowers portrayed a 'bizarre and chaotic' regime where Still assumed VC powers, prioritizing property ventures like a failed Lendlease PPP over core education. A $62,000 installation ceremony and executive perks drew ire amid cuts.
The inquiry probes these dynamics, echoing federal Senate concerns over 'revolving doors' between unis and consultancies.Senate report flags transparency deficits.
Australia's $1.8 Billion Consultant Addiction Exposed
UOW's saga exemplifies a national crisis: universities shelled out $1.8 billion yearly on consultants, per UOW Professor Corinne Cortese's analysis of 38 institutions. Examples abound – UTS paid KPMG $7 million for cuts slashing 143 courses; consultants sit on councils, peddling 'cookie-cutter' advice undermining public missions.
Federal Education Minister Jason Clare called it shocking, pledging governance principles mandating disclosures. Labor Senator Tony Sheldon decried opacity, as unis cut jobs while outsourcing expertise they ostensibly possess.
Human Costs: Job Losses, Student Impacts, and Anxiety
- Major restructures: 330+ jobs gone, affecting academics in key disciplines.
- Financial toll: $29m redundancies, ongoing debt from PPP fallout.
- Student fallout: Course closures, reduced offerings; one called it 'worst year of her life.'
- Workplace culture: Fear silences concerns, erodes morale.
These ripple through regional economies, where UOW anchors Wollongong's knowledge sector.
Towards Reform: Accountability Measures and Future Safeguards
The NSW inquiry, set to report, may spur changes like mandatory conflict training, tender transparency, and consultant spend caps. Federally, new principles aim to prioritize public interest over corporatization – a legacy of 1988 Dawkins reforms blending market forces with public funding.
Experts advocate internal capacity-building, diversified councils, and ethical procurement. For aspiring higher ed leaders, this underscores declaring interests rigorously and prioritizing stakeholder trust.THE analysis calls for systemic overhaul.
Photo by Simran Sood on Unsplash
Lessons for Australian Higher Education Leadership
This episode highlights risks in 'revolving door' leadership, where ex-VCs consult back to unis. Balanced governance – blending expertise with independence – is key. UOW's new VC inherits a stabilized but scarred institution; success hinges on inclusive recovery.
For the sector, curbing consultant overreliance could reclaim $1.8b for teaching, research. Stakeholders urge vigilance to protect higher ed's public ethos amid fiscal storms.