CSIRO to cut up to 500 jobs amid $100 million budget reduction
In a significant and distressing development for Australia’s premier science agency, the Commonwealth Scientific and Industrial Research Organisation (CSIRO) has announced that it will cut up to 500 jobs from its Enterprise Services branch. This move, driven by the need to trim at least $100 million from the agency’s budget, has been described by the CSIRO Staff Association as a “dark day” for the organization.
CSIRO Chief Executive Dr. Doug Hilton informed staff of the impending layoffs via an email on Tuesday. Hilton explained that the drastic measure is part of a broader effort to achieve substantial cost savings. The targeted $100 million reduction represents a 25 percent cut in the Enterprise Services branch, which encompasses a range of roles including technical, IT, administrative, financial, communication, and general management positions.
“To support CSIRO’s financial sustainability, we need to reduce costs across enterprise services by 25 percent – which is at least $100 million,” Hilton stated. “Up until now, it has been difficult to quantify this in terms of roles, due to the variety of factors at play. Based on modeling conducted as part of Wave 3, I can now share that the staff impacted during Wave 3 of the [restructure] is likely to be between 375 and 500 roles.”
The announcement has been met with considerable dismay from the CSIRO Staff Association. Secretary Susan Tonks described the situation as a “terrible outcome” and a “body blow” to the national science agency. “These cuts are a body blow for CSIRO and have the potential to cripple research output as scientists scramble to cover support gaps,” Tonks said. She also highlighted concerns about the future of research positions at the agency, suggesting that the cuts are part of a troubling trend.
“This is a confronting reality, but I also firmly believe in transparency,” Hilton added, explaining that the range of potential job losses reflects several variables. He assured that the organization will seek to minimize staffing impacts through various means, including additional savings in the operating budget, natural staff attrition, and, where appropriate, voluntary redundancies.
The Enterprise Services Reform project, which aims to restructure the agency’s operational framework, was announced in February following its commission late last year. However, the full extent of the job losses associated with these reforms had not been disclosed until now.
Hilton’s email also emphasized the agency’s commitment to transparency and the difficult reality of the financial situation. The initiative to cut jobs is part of a broader strategy to address financial challenges and ensure the agency’s long-term sustainability.
Broader Impact and Previous Cuts
The recent job cuts at CSIRO are part of a larger pattern of reductions within the organization. Over recent months, the Staff Association has reported cuts across various CSIRO divisions: 43 positions in health and biosecurity, 30 in agriculture and food, five in manufacturing, and up to 120 expected losses at Data61. This has raised concerns about the potential impact on the agency’s research capabilities and overall effectiveness.
Tonks has been vocal about the implications of these cuts, calling on the Minister for Science, Ed Husic, to intervene. “These current cuts are on track to be the worst since Tony Abbott slashed CSIRO funding in 2014,” she stated. “Staff can’t believe that a Labor government – with a pro-science agenda and interventionist industry policy – are set to preside over hundreds of job cuts to Australia’s top researchers.”
Despite calls for action, Hilton has rejected appeals to reverse the cuts, and Minister Husic has yet to take any steps to address the situation.
Wider context of layoffs
The situation at CSIRO mirrors a broader trend of significant layoffs affecting various sectors globally. Recently, US tech giant Cisco announced it would be reducing its workforce by 7 percent, equating to about 6,000 jobs. According to layoffs.fyi, nearly 135,000 employees have been laid off across more than 400 tech companies in 2024 alone, highlighting the widespread nature of the current employment challenges.
The cuts at CSIRO not only underscore the financial pressures facing scientific and research institutions but also reflect the broader economic climate impacting organizations worldwide. As the agency grapples with these difficult decisions, the future of Australian scientific research and the role of CSIRO remain in a precarious balance.