The University of Newcastle Student's Association (UNSA) has criticised the university's move to create an additional student-led body as "putting vital frontline services at risk".
Starting from 2027, the University of Newcastle will create a new student-led organisation, which management says will complement rather than replace UNSA.
UNSA pushed back at the decision via an online petition sent out to its members titled "Hands off UNSA", stating the move could divert more than $2 million in Student Services and Amenities Fee (SSAF) revenue away from UNSA.
UNSA is an independent, not-for-profit organisation that has represented Newcastle university students since 2020.
"While this proposal does not dissolve UNSA entirely, siphoning off millions of dollars in student funding directly undermines our operation capacity, putting vital frontline services at risk," UNSA said in the petition.
Since the petition launched on Friday September 11, it had more than 546 signatures.
University of Newcastle senior deputy vice-chancellor (academic) Belinda Tynan said the university was establishing another student-led organisation to expand services, programs and opportunities.
Professor Tynan said the organisation was intended to particularly address the needs of students outside the Callaghan campus, including at NUspace, the Central Coast, Sydney and Tamworth.
"We've been getting feedback from students from those particular cohorts that they would like to have a greater say in what services are delivered to them," she said.
She said students at the satellite campuses and those studying online wanted greater access to services including sport and recreation, health and welfare and career and future readiness support.
UNSA would still be home to the student representative council and university clubs and societies, Professor Tynan said.
"It is not meant to be duplicative and it won't be, it is very much specified as non-competing," she said.
UNSA president Imogen Reid, however, was concerned about how the student representative council would remain connected to students on campuses outside of Callaghan.
"We have been asking the university for support to expand our presence on those campuses and with extra funding, that would have helped us to be able to do that," Ms Reid said.
She said having multiple student associations meant multiple leadership, media and administration costs.
"I think there's a lot of overhead costs that are going to be duplicated and wasted," Ms Reid said.
Under federal legislation introduced last year, universities are required to distribute 40 per cent of SSAF funds to student-led organisations.
In 2025, the university allocated 24 per cent of its SSAF funding to UNSA as the only listed student-led group, amounting to about $2.3 million.
Ms Reid said the University of Newcastle had been on a transition plan where they agreed to meet the funding requirements for student-led organisations by 2027.
She said with the university now potentially splitting funding between UNSA, the University of Newcastle Law Students' Association and the new student organisation, UNSA would receive less than expected.
UNSA estimated that the move could mean missing out about $2 million in anticipated funds.
"The move to do this causes the greatest concern we've ever had about our funding and how reliable it is, that seems like a step backwards for us," she said.
Professor Tynan said UNSA would experience a small reduction in allocated funds and would receive the largest proportion of funds among the three organistions.
Ms Reid said she believed the law association would receive minimal funding while UNSA and the new organisation would receive similar amounts, with UNSA getting only slightly more.
Professor Tynan said 2027 funding across all three groups would probably amount to more than 45 per cent of SSAF revenue.
She said the new group would be independent with students holding the majority of positions on the board.
"We are at the stage where we're working through what a constitution would like for a new SLO [student-led organisation]," she said.
The new organisation was expected to begin operations from January next year.