Four Corners Response – International Agents

Four Corners Response – International Agents
1. What is the university’s current commission structure for its international agents? (For example, 12.5 per cent of first-year tuition)
UWS currently works with 176 education agents worldwide. The rate of commission paid by UWS to education agents varies depending on the country(ies)
and region(s) they are approved to represent UWS and the negotiated contract terms. A one off payment is made, post Census, based on the first year of
tuition fees. Commission is in the range 10-15% for UWS and up to 20% for English Language courses delivered by UWSCollege.
2. What was paid by the university and all its subsidiaries on commissions to agents in each financial year 2010, 2011, 2012, 2013 and 2014? What
was paid in hospitality, entertainment and other ancillary expenses with respect to relationships with international agents in each financial year
2010, 2011, 2012, 2013, 2014?
University of Western Sydney
Agents Fees & Related Expenditure as a % of International Student Revenue
Consolidated
2010
$'000
Agents Fees*
Related expenditure
Total Expenditure
Course Fees & Charges - Overseas
students**
Agents Fees as a % of International
Student Revenue: ***
Related expenditure as a % of
International Student Revenue:
Total expenditure as a % of International
Student Revenue:
2011
$'000
2012
$'000
The University of Western Sydney
2013
$'000
2014
$'000
2010
$'000
2011
$'000
2012
$'000
2013
$'000
UWSCollege
2014
$'000
2010
$'000
2011
$'000
2012
$'000
2013
$'000
2014
$'000
4,458
333
4,791
4,034
410
4,444
4,296
325
4,621
4,413
519
4,932
6,057
528
6,585
3,267
333
3,600
3,234
410
3,644
3,287
325
3,612
3,333
519
3,852
3,775
528
4,303
1,191
1,191
800
800
1,009
1,009
1,080
1,080
2,282
2,282
65,844
63,929
64,196
66,436
81,869
56,950
56,739
57,791
57,669
68,566
8,894
7,190
6,405
8,767
13,303
6.8%
6.3%
6.7%
6.6%
7.4%
5.7%
5.7%
5.7%
5.8%
5.5%
13.4%
11.1%
15.8%
12.3%
17.2%
0.5%
0.6%
0.5%
0.8%
0.6%
0.6%
0.7%
0.6%
0.9%
0.8%
0.0%
0.0%
0.0%
0.0%
0.0%
7.3%
7.0%
7.2%
7.4%
8.0%
6.3%
6.4%
6.3%
6.7%
6.3%
13.4%
11.1%
15.8%
12.3%
17.2%
* Includes actual payments and accrued expenses
** Includes fee-paying onshore and offshore overseas students
*** Agent commisions for English Language courses delivered by UWSCollege range up to 20%.
3. Many universities do not disclose commissions they have paid in their financial statements; there are 12 universities that do. If your institution is
one that has failed to disclose this expense, please justify this decision.
UWS expenses relating to payment of agent commissions is not separately reported as a discrete line item in financial statements. This is because it is not
considered a material amount in the context of the larger costs that relate to UWS and is therefore included as part of advertising, marketing and
promotional expenses. Such reporting conventions are in line with Australian Accounting Standards, Guidelines issued by the Department of Education and
Training and are all subject to independent audit by the Audit Office of New South Wales.
4. Has the university ever terminated its contract with an agent over integrity concerns of any nature? If so, please detail the circumstances.
UWS has terminated agreements with 4 international education agencies over the past 12 months.
The University took action to terminate agency agreements in response to inadequate Genuine Temporary Entrant (GTE) screening of applicants.