Deakin University vice-chancellor Iain Martin has quit with immediate effect amid restructure proposals that could claim 140 jobs.

Chancellor Claire Higgins offered no reason for the resignation, which the university council had accepted “with respect”. She told staff that Martin, who led Deakin for almost seven years, had guided the institution through “the most difficult period in our recent history” and left it “in a much stronger position”.

Matthew Clarke, deputy vice-chancellor for research and innovation, has been named “caretaker” boss pending the appointment of an acting chief. “We will then begin the process to appoint our next vice-chancellor,” Higgins told staff.

“Please remember that Deakin is in a steady position, and that is a credit to the great work you all do here every day.”

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Martin departed five days after the university announced that it was consulting staff on a proposed reorganisation of teaching to “focus our efforts and investment where they make the most difference for students, and to bring related services together so students experience more connected, responsive support”.

A separate infrastructure overhaul aimed to “make our physical and digital services more sustainable, with clearer accountability, so the university can continue to operate reliably”.

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A spokesman said Deakin, like other Australian universities, was responding to “significant” changes in students’ expectations around education delivery and support. He said the proposals were designed to ensure that the university’s teaching was “relevant, inclusive and trusted” and “supported by sustainable services and systems”.

The spokesman promised “genuine” consultation with affected staff, who have until 19 June to provide feedback.

The National Tertiary Education Union (NTEU) warned that the cuts would cause “major damage” and vowed to scrutinise the proposals in “forensic detail”. It said the plans would claim the jobs of 105 professional staff and a further 33 digital and technology specialists and campus facilities workers.

“This is a devastating blow for Deakin staff who provide critical support services that are the bedrock of a healthy university,” said union branch president Reece Walters. “Job cuts at universities with regional campuses cause pain right across the communities they serve.”

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Victorian NTEU secretary Sarah Roberts said it was “staggering” that a vice-chancellor would pursue cuts of this scale during a state parliament inquiry into university governance. “A dire lack of accountability and transparency means job cuts are too often the priority for increasingly corporatised universities,” she said.

Deakin is Australia’s seventh largest university and fourth biggest enroller of domestic students. Although its main campus is in Melbourne, not far from Monash University, it also operates two campuses in Victoria’s second largest city of Geelong and another in the western coastal hub of Warrnambool.

The university posted a A$56 million (£29 million) surplus in 2025, breaking a run of three consecutive deficits. While its wage bill increased 5 per cent last year, its overall revenue rose 10 per cent, fuelled by a 15 per cent surge in earnings from international students.

But despite the university’s “strong” financial position, its operating environment “remains challenging”, Deakin’s annual report warned. “Further constraint on revenue growth is expected from changes in government policy and geopolitical uncertainty impacting student growth.

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“[We] need to balance short term financial performance with strategic investments in areas critical to the future success of our students and research.”

john.ross@timeshighereducation.com