NSW universities should become more transparent and give staff and students a greater role in decision-making under a sweeping parliamentary inquiry into university governance.

The NSW Legislative Council Standing Committee on Social Issues tabled its final report on 22 September 2026 after a year-long inquiry. The 310-page report makes 23 recommendations aimed at changing the way the state’s universities are governed and strengthening their accountability to staff, students and the wider community.

A central recommendation is that elected academic staff, professional staff and students should make up at least 50 per cent of university governing councils. The committee also called for greater diversity among council members and increased participation by university communities in decisions affecting their institutions.

The report argues that university governance has become too distant from staff and students, with concerns raised during the inquiry about decisions being made behind closed doors. It recommends universities publish council meeting minutes and improve disclosure around conflicts of interest, consultancy spending and senior executive remuneration.

Universities would also be required to disclose in their annual reports how vice-chancellors and senior executives are paid, including the performance measures and key performance indicators used to determine bonuses and incentives. The committee recommended that universities report publicly on their performance against those measures.

The inquiry also proposed changes to the way councils operate, including stronger independent support for council secretariats and a greater role for elected staff and students on committees overseeing senior appointments and executive pay.

The committee heard evidence about workplace culture, restructuring and staff distress at several universities. Its report recommends legislative changes requiring university councils to promote psychologically safe workplaces, prevent bullying and harassment, and better protect staff from psychosocial risks and fears of reprisal.

The inquiry’s recommendations come amid broader scrutiny of university governance across Australia. The NSW Audit Office has also identified governance and transparency issues, including weaknesses in oversight of consultants and conflicts of interest. Its 2025 audit found NSW universities spent $139 million on consultants, while identifying more than 790 instances of employees holding directorships in companies appearing on university vendor records.

The CPSU NSW, which represents professional staff in the state’s universities, said it will welcome more transparency in the sector.

The NSW Government has until December 21 to formally respond to the final report.