The New Zealand Initiative has recently published a report documenting grade inflation across the university sector, titled Amazing Grades: Grade Inflation at New Zealand Universities.
The research analysed results from 2006 to 2023 at all eight universities. Authors Dr James Kierstead and Dr Michael Johnston say the upward shift in marks cannot be explained by genuine academic progress.
Evidence of Grade Inflation Peaks in COVID Era
Researchers found the proportion of A grades growing from 22% to 35% over the period studied. The most dramatic increase occurred during the pandemic, when almost half the grades at the University of Auckland were As.
“An A grade today doesn’t mean what it used to,” said Dr Kierstead. “It used to signal exceptional work. Now that meaning has been diluted.”
The report said that while there was a slight fall in grades immediately afterwards, they soon rebounded.
Upward Trends Across All University Disciplines
Grade inflation was consistent across disciplines, the report found. Pass rates also reached historic highs, now above 90% and sometimes higher than 95%.
Researchers examined a range of potential causes — from demographic changes to resource levels — but rejected them all as insufficient.
Structural Incentives Driving Grade Inflation
The report identified university funding models as the main cause of grade inflation, noting that reliance on student numbers drives leniency.
One University of Auckland lecturer said, “Administrations have made it clear that students equal funding. If your programme is perceived as too tough, your programme may lose students to other programmes.”
Similar pressures were reported elsewhere, including a Victoria University tutor who said they were told to pass all submissions, and an AUT tutor who described full marks being awarded for any “proper attempt.”
Dr Kierstead concluded, “Many academics understand what’s happening but operate within a system that would penalise them for taking a rigorous approach to grading.”
Warning of Devalued Academic Achievement
According to the report, grade inflation has wider consequences for both the workforce and students. Employers could struggle to distinguish true ability, while top students may see their achievements diminished.
“If failure is impossible, success becomes meaningless,” said Professor Douglas Elliffe of the University of Auckland.
The authors stressed the need for systemic reform, with Dr Kierstead saying: “We need a national conversation about grade inflation and how to reduce it. Until we change the underlying incentives, academics and universities will continue to hand out higher grades. At the moment, they don’t have much choice.”
Report Calls for Cultural and Systemic Reform
The latest report from The New Zealand Initiative examines grade inflation in New Zealand’s higher education sector. It outlines possible measures to restore credibility, including statistical moderation, changes to funding incentives, and a cultural reset in marking practices.
The study also compared trends internationally, noting sharper increases in the UK and United States but finding clear signs of concern domestically.