UNIVERSITY MALAYA BANKRUPT IN 3 TO 5 YEARS? HOW SILLY OF NAJIB TO PROPOUND VISION 2050 WHEN UM ONLY HAS MONEY TO PAY LECTURERS UP TO AUGUST 2017

TN50 APA PULA ? BAJET BAYAR GAJI PROFESOR / LECTURER IPTA SAMPAI OGOS SAHAJA.
Remember the most recent news about University Malaya  laying off over 700 contract staff? It is also going to affect University Malaya’s wold rankings because some (if not many) of those contract staff are researchers who conduct research and write papers which goes towards pushing up UM’s world rankings.
No salary no researchers.
No researchers no research papers.
No research papers downgrade in rankings.Here is something else folks. It is a fact that in Budget 2017 (which was tabled last October 2016) the Budget for the payment of salaries to all the IPTA’s permanent staffs (including professors and lecturers) is only until August of 2017.For September until December 2017 there is so far no “peruntukan” to pay monthly salaries. Meaning, technically, the IPTA staffs will be paid until August 2017.

This is no big deal. I believe these things have happened before. What will happen is that the relevant Ministry will raise the matter to the Minister who will then ask the gomen for extra ‘peruntukan’. A supplementary Budget can be passed and shortfalls made up during the course of the year. No big deal.

But the talk is that for this year there will be no more Supplementary Budgets. Jeng .. ..jeng  .. ..jeng.   This is what I heard.

Then I received the following.

 
 

The last part of Point no. 3  ‘predicted widespread unrest in the universities” is highly speculative.  This is Malaysia. Such things will not happen here.

As I said before, they will drive their cars until the petrol tank becomes empty and their cars stop running. Then they will get down and just stand there by the roadside not knowing what else to do.

Or the politicians will give them a kain pelikat or two, give them RM50 or give them BR1M and they will quietly go away.  There will be no widespread unrest.

I do not know the source of the above power point slide.  But lets take a look at it.

Point 1 and 2 are facts. All the public universities are suffering deficits in their Operating Budgets. This means they do not have enough money to cover all their expenses including paying salaries. Hence UM laying off over 700 staff. Lecturers are restricted to one ream of paper per year ! !

Public universities will be forced to use their savings, endowments or sell their assets.

(Property developers from China or local Chinese who wish to develop those old University Malaya owned bungalows along Jalan University can call the Vice Chancellor now.  His toll free number is 1-800-5555.  Ask for extra cheese ok.  They may be ready to sell those lands.)

I do not know if UM will be bankrupt in 2 to 3 years.   But when their expenses and cash outflows exceeds their revenues and cash inflows they will become cashflow negative or “technically bankrupt”.

Talk is the gomen itself has been in this “technically bankrupt” situation since September last year or earlier.  Yes maybe July as well. Cashflow negative. Talk is the gomen has been borrowing money to cover its operating expenses.

If University Malaya has retrenched 700 staff, surely it will affect their academic programs. Yes student intake will be affected. They will not be able to take in as many students.

What about the other public universities? They cannot be any better shape than University Malaya? So if the intake of students is reduced, where will our school leavers go  for higher education? Especially Malay and bumiputra students?

The Chinese students will go to Xiamen University, Taylors University, Nottingham, Segi, UCSI, Monash, Curtin, UTAR and so many more. All highly ranked, well staffed and efficient private universities.  Graduates of these private universities are highly sought after by the private sector economy.

I think this is a very good time to enter the ‘kain pelikat’ business.

Unlike point 6 above, I think the private sector universities will become even more sustainable. They will become the premier universities in Malaysia.

UTAR, Taylors, Monash and others are already building up a very good name for themselves.  Some of them are developing into research universities as well.

Those “private” universities that are dependent on the gomen in one way or another will suffer. For example those institutes that depend on gomen money to pay the fees of ‘Matrikulasi’ students or those universities that depend on the PTPTN loans for their students will see a big hit in the numbers for enrolment.  These universities and institutions will go bust or be put up for sale.

 

 

Yes private universities and private parties will be interested to buy up any of the public and private universities if they are put up for sale.

If any of them are interested to sell out,  please call this toll free number 1-800-5555. Please ask for extra cheese again.

Tuan-tuan do you know what is really happening? Kiamat sudah sampai.  This is the kiamat that has been promised. It is here.

You can continue to bungle along. You are about to lose everything. Sadly your children can become poorer.

Ideally every generation should become better than the previous generation. Except in the Islamic societies and Islamic countries.  With them the pattern is reversed.

Kekawan I dont need your money or your support. But do listen to me. Its free advice.

I am a selfish businessman. If you become wealthy and happy I become wealthy and happy too.  Its as simple as that.

Susah sangat ke nak faham?

– http://syedsoutsidethebox.blogspot.com/

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