Charles Sturt University will "redesign its schools structure" this year in a continued effort to balance its budget.
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CSU has set itself a target to return to a balanced budget by the end of 2021 after the pandemic forced a forecast deficit of $49.5 million last year.
The 'Sustainable Futures' cost-cutting measures will affect at least 16 general jobs during this round of changes.
In a statement, the university confirmed it would "reduce the overall number of schools by forming eight new consolidated schools".
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It is understood up to 17 of the current 26 schools and centres across the university's campuses will be amalgamated into the new eight, while the remaining nine schools will be unchanged.
The school merges will mean the loss of some faculty head positions.
Those with administrative and professional roles that will be lost in the merging will be offered the chance to take "voluntary separation" packages, or will be offered priority when applying for other existing roles.
"It is important to emphasise that although we have had to reduce the number of positions, new roles have been created and there are also vacant roles, which impacted staff will have priority to apply for," said interim Vice-Chancellor Professor John Germov.