LA TROBE University has rejected reports it's at risk of going broke, but admits it's facing a significant financial shortfall because of the COVID-19 pandemic.
The Age newspaper reported the university's cash reserves were reduced to the minimum required to meet a single month's operating expenses.
But a La Trobe spokesperson said the reporting was incorrect.
"The university is not at risk of going broke," the spokesperson said.
"The university is in productive and on-going discussions with its three banks for increased facilities that we believe will meet our funding requirements in the short term.
"The COVID-19 pandemic has resulted in the entire higher education sector facing financial shortfall and uncertainty, and La Trobe is no exception."
The La Trobe spokesperson said the university was facing a significant loss of revenue this year and in 2021 and 2022.
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The university saved $87 million in 2020 costs, the spokesperson said, including through initiating a voluntary redundancy program.
The program is expected to deliver $20 million in savings this year, and $40 million in 2021 and 2022.
The university said more savings would come if staff adopted the Jobs Protection Framework. La Trobe Vice-Chancellor John Dewar said the framework could save the university $30 million in 2020 - the financial equivalent of 200 jobs.
The framework was put to about 250 La Trobe National Tertiary Education Union members at a meeting last week, where the motion to carry the framework was defeated.
The NTEU is this week taking the framework to all union members at La Trobe for a ballot vote. The framework will then be put to all La Trobe staff members.
"The university will continue to implement cost saving measures in the short and longer term," the spokesperson said.
"Where possible, we will endeavour to minimise job losses so that La Trobe can continue to make a profound difference to the lives of our students, our partners, and our communities."