Vice-chancellor Professor Stephen Parker said the university council had signed an offshore tender to handle some of its information technology, student admissions, payroll and finance functions and the jobs would move to the subcontinent by the end of next month.

The move would save the UC about $8 million over the next five years which would be directed into teaching and learning.

He said while he knew moving jobs to India would be an unpopular decision among staff, it was the conclusion of his administrative reform agenda started in early 2007.

The National Tertiary Education Union said yesterday sending university administrative functions to India was unprecedented in the higher education sector.

The union's UC president, Craig Applegate, said not only did it undermine the Federal Government's financial crisis strategy of sustaining local employment, but also came on top of other rounds of job losses at the UC.

''UC staff have borne cut after cut in jobs,'' Dr Applegate said.

''Large reductions in support staff have already affected staff morale and our capacity to perform key functions of teaching and research. In 2007 UC reduced administrative staff by a hundred. Again in 2008 further positions were lost through outsourcing.

''The latest announcement has left change-weary staff distressed and frustrated. The university has not provided staff with financial arguments to support the current decision to send jobs offshore.''

The union said it would fight offshoring and outsourcing of jobs.

Professor Parker said staff were aware of the university's deliberations on the issue, and he had flagged the possibility of moving jobs offshore as long ago as six months.

''Back in 2007 I said about 150 jobs would need to go and with this number [between 45-50] that takes it pretty much dead on to 150.'' Until now, Professor Parker who inherited a massive deficit carried over from the previous administration has largely enjoyed union and staff support for his administrative reforms.

Professor Parker confirmed the council had ditched a proposal to send its switchboard operations to India and stressed ''only back-room office functions'' would be affected.

''There will be no change for students and if anything, an enhanced level of service for academics in terms of extended hours of support for them.''

''It is not as if it hasn't been a difficult decision but it rests on three arguments, the financial argument, which is to get as much money into teaching and learning, the capability argument, which is that we are buying into larger scale of service provision than we can provide, and a risk argument, which is that we currently run on a thin enterprise system with relatively small numbers of staff carrying out functions, and this way we are reducing the risk of anything going wrong.''

Professor Parker said the job losses would save money for greater academic functions.

''Our academic renewal program is continuing and we anticipate jobs growth in the academic areas because of the increased popularity of our courses with students.''

After a government grant under the Workplace Productivity Program in 2007, the UC engaged professional advisers to improve its administrative processes. Their advice was to move jobs offshore.

Professor Parker said, ''Our preferred supplier is a long-established company based in India, but we are unable to release their name until we have finalised negotiations.

''It provides services to a number of Australian and international clients and we have consulted other clients as part of the selection process.''

Staff whose positions had become redundant would be offered separation arrangements more generous than those in the enterprise bargaining agreement and all staff were eligible for counselling and job-seeking support, Professor Parker said.

The union said it had not been fully consulted during the decision-making process and staff on campus were distressed at the developments.

Professor Parker said he would address a university forum next Friday.