The Art Gallery of New South Wales (AGNSW) is preparing for significant layoffs as Director Maud Page navigates a $7.2 million budget cut that will impact dozens of positions. The gallery's government funding has dropped from $72.4 million in 2024-25 to $66.6 million in 2025-26, forcing the institution to make difficult decisions about its workforce and operations.
Page, who recently took over as director, announced that the gallery must reduce its structure and functions to meet the budget target. A Change Management Plan presented on August 12 outlined the elimination of 51 ongoing non-PSSE (Public Sector Salaries and Expenses) roles from the gallery's workforce. Currently, the AGNSW employs 382 people, with 310.9 of those being permanent positions rather than temporary or fixed-term roles.
The funding crisis stems from the gallery's expanded operations following the opening of its north wing, Naala Badu (Sydney Modern), without a corresponding increase in government support. Despite recording 2.37 million visitors across both gallery buildings in fiscal year 2024-25, revenue expectations have fallen short of projections. Page told staff that the gallery "explored every possible avenue to reduce operating expenses" but that staffing cuts were unavoidable to ensure the institution's long-term future.
Among the first positions to be eliminated was the Director of Program Delivery role, reducing the executive team from five members to four. This move addresses some staff concerns about the gallery becoming "top-heavy" with administrative positions, a trend that reportedly began during former Director Michael Brand's tenure from 2012 to 2025. Brand had pushed for the Sydney Modern project but resigned before implementing similar staff cuts that were planned for the previous year.
Page inherited this financial crisis after serving as Deputy Director for eight years before taking the helm five months ago. She acknowledged that beginning her directorship with layoffs was not how she had hoped to start, but emphasized that staff wellbeing remains a top priority throughout the transition process. The gallery is working with affected employees to provide support during the restructuring.
The Public Service Association of NSW has stepped in to represent workers and is collaborating with staff to develop alternative proposals that might reduce the impact on union members' jobs. However, the cuts appear to be moving forward as planned, with the state minister having approved the restructuring plan. The staffing reductions are being benchmarked against other state galleries, which typically operate with significantly fewer employees than the AGNSW.
Beyond job cuts, many remaining positions will see changes to their responsibilities and functions as part of a comprehensive streamlining effort. This restructuring comes at a challenging time for the arts sector, as the gallery must continue delivering exhibitions and programming at previous levels despite operating with reduced resources. The gallery now spans two buildings but faces pressure to maintain its relevance and programming quality with a smaller workforce.
The AGNSW's struggles reflect broader challenges facing arts institutions in New South Wales. Create NSW, the state's primary arts funding body, recently faced its own cuts of up to 25% of staff positions with the release of the 2025-26 NSW budget. The Museum of Contemporary Art Australia also continues to face funding shortfalls, painting a concerning picture for the state's cultural sector.
While government officials have assured the public that some Create NSW cuts target completed infrastructure projects like Sydney Modern and the Sydney Opera House renovations, the arts community remains anxious about upcoming funding announcements. A crucial Two-Year Funding Round is expected to be announced soon, but industry observers anticipate it will fall short of sector needs.
The situation has created a challenging job market for arts professionals, with approximately 50 specialists from AGNSW joining those leaving Create NSW in seeking employment within an already constrained sector. Page noted that while the gallery's net funding actually increased by $937,000 in fiscal year 2025-26, the overall decrease is due to reduced capital expenditure funding, which aligns with planned maintenance schedules.
Despite the financial pressures, many observers have noted positive energy within the gallery since Page assumed leadership. The institution continues to draw substantial visitor numbers and maintain strong community engagement with its exhibitions and programs. However, the revenue shortfall suggests that initial projections for the Sydney Modern project may have been overly optimistic, a responsibility shared between the previous administration and the gallery's board of trustees. The three-week consultation period for staff cuts runs through September 2, though the restructuring process is already underway, creating additional uncertainty for employees facing an unclear future in the arts sector.
