It is my valedictory duty, as President of the Australian Mathematical Sciences Council, to provide a report on activities for the year 1998. Wherever possible, I'll emphasize positive aspects of our volunteer activities, although I do not wish to and shall not gloss over less satisfactory aspects.

My report will cover the themes of good and bad news, achievements during the past year, the business condition of AMSC, and messages and challenges for the future.

It is still easy to find unequivocal good news for the mathematical sciences in Australia. Two examples:

• Australia still has a seat at the international table for mathematical sciences. I travelled abroad three times in 1998 and was constantly and pleasantly surprised by the international esteem and respect we enjoy. The American Mathematical Society will share a joint meeting with the Australian Mathematical Society in 1999; ANZIAM is planning hard to host ICIAM 2003 in Sydney; and we are well-integrated with the activities of the IMU and ICMI.

• A mathematician (Prof Broadbridge) stood for the Senate in the recent election for the "Make Australia the Clever Country Party"

But, on the negative side:

• Science and Technology, let alone the mathematical sciences, were for all practical purposes non-issues in the election. Our peak lobby group, FASTS, did what it could to promote our interests, but was hampered by illness and absence of key individuals at important times.

• The ARC is currently under attack. The Minister proposes to replace ARC funding by direct grants to universities. This issue is strongly opposed by most and FASTS is leading a vigorous counter attack on the Minister's proposal.

• There is no relief for the beleaguered university sector. More teaching jobs have been lost. There is very little prospect of an academic mathematical career for topline PhD graduates in the mathematical sciences.

• The education sector is a cause of great concern. The teaching force for mathematics has become progressively less motivated and less trained for the job. Students are opting out of the challenging mathematical subjects in favour of easier alternatives that leave them less prepared for university courses in engineering, finance and the sciences.

• The education sector is also beset by the introduction of numeracy benchmarks. These aim to provide a safety net to check whether education systems are reaching minimal standards of teaching. Regrettably, the benchmarks seem to be driving standards yet lower. The methodology and implementation of the benchmarks is not up to international best practice. AMSC has fought long and hard over this issue, but generally has only been able to make improvements at the edges, not at the heart of the issue.

• Quiet and threatening change is taking place in CSIRO. Funding for the next triennium will be allocated according to plans for various sectors of the economy. Fundamental generic disciplines, such as the mathematical sciences, are disadvantaged by the changes. There is inadequate recognition of the fact that the mathematical sciences can be applied across all industry sectors.

The items listed above allude to various activities of the AMSC, particularly those combatting various negative issues.

It is appropriate also to highlight the following:

• In conjunction with AustMS, AMSC coordinated a survey of job losses in academic departments and then distributed a Press Release on the issue in October. Job losses in the mathematical science departments of Australian universities amount to about 20% over a 2-3 year period. Grim news, although not as severe as in some other professions. Congratulations to Paul Lochert for taking the leadership on this issue.

• The mathematical sciences were declared a priority area for funding under the government's Science and Technology Awareness Program (STAP). Many were dissatisfied with the few successes obtained as a result of this declaration, but I see it as a positive that must be grasped.

• AMSC has played its full role within FASTS and received benefits in return. Here, I pay tribute to Jan Thomas, former President of AMSC and now FASTS Vice President. Our mathematical science community has featured in FASTS policy and press campaigns. Jan Thomas also played a major role in organising a FASTS forum on the crisis in the universities in Australia.

I'm pleased to report that AMSC is in a stable financial condition. Our resources are modest, but appropriate for the role that we play as an umbrella organisation that spearheads to FASTS the interests of our members (ASOR, AustMS, MERGA and SSA).

The structures that we have established (professional societies, AMSC, FASTS) are valuable and need to be nurtured. Note that whilst AMSC relies on volunteer support, both AustMS and FASTS have paid professionals on their staff to promote our interests.

• Other disciplines are becoming increasingly mathematised. Whilst this development is welcomed, it means that the mathematical sciences must continually reinvent themselves at the core.

• The changes sweeping through the university sector will continue. Unpalatable though it is, I foresee more competition for funding, harder work, and greater difficulties to preserve a corpus of central activities in the mathematical sciences.

• School mathematics is still under serious threat. In my pessimistic times, I see mathematics going the way of Latin as a subject.

• The central findings of our recent review of the mathematical sciences remain true however. Mathematics is a critical enabling technology that is vital to economic competitiveness. It is still a supreme creation of the human spirit.

To conclude, I'd like to acknowledge the assistance and hard work of the AMSC Executive: Marj Horne (Secretary), Tony Guttmann (Treasurer) and Helen McGillivray (Vice President). Representatives of member societies made many valuable contributions. Jan Thomas was always available for advice, intelligence and assistance.

I wish Helen McGillivray every success in her two year term as President.

Noel Barton

10 January 1999