Thursday, February 21, 2013

No Salary Increase for UC

President Yudof sent off a letter yesterday informing faculty and staff that there would be no salary increases in 2012-13 despite the passage of Prop 30 and the governor’s plan to fund three years of UC budget increases. Here is Yudof’s main message: “It is my hope that the passage of Proposition 30 last fall, and the proposed reinvestment in UC in the Governor's budget proposal last month, mark a turning point for our university. After several difficult years, UC appears to be headed on the path to financial stability. Unfortunately, we still have a way to go before the University stands upon a firm financial foundation. As you know, since 2008, UC has been forced to absorb nearly $1 billion in State funding cuts. Re-balancing the University in the wake of those cuts is still a work in progress, and one that requires many of the ongoing measures that helped UC survive the last few budget cycles. As a result, I very much regret that we will not be able to implement systemwide salary increases for UC staff during the current 2012-13 fiscal year. This includes Chancellors and senior leadership.” The first thing to point out is that Yudof’s claim that there can be no salary increases because the UC has had to deal with a billion dollars of “state budget cuts” is simply not true. As I have previously written, tuition increases over the last five years have far outpaced state reductions. What may be true is that the state has not met the UC’s desired funding, but Yudof’s letter is false and misleading.

We were told about this letter during a meeting at the Office of the President where we were discussing bargaining over the lecturer contract. Lecturers have been negotiating with the university since March 2012 over salary and other issues, but the university refused to discuss any economic issues until after the vote on Prop 30. Once Prop 30 passed, we were then told that the university cannot discuss economic issues until we signed off on pension and retiree healthcare issues. Now we are being told that even if we agree to accept reduced retiree benefits, there is still no money for salary increases. In other words, the university has been bargaining in bad faith, and they have proven once again that they do not accept the basic foundation of collective bargaining.

We are left with no choice but to go to the governor and the legislator to show them that the university believes that none of the money from Prop 30 and the multi-year funding agreement should go to undergraduate instruction. Moreover, according to the university’s own budget documents, virtually none of undergraduate student tuition is going to faculty salaries.

Surely at a time when students are going into massive debt to pay for tuition increases, they and their parents will be interested in the fact that the university does not think that tuition should go to support the faculty doing instruction and research. Parents and students might also be alarmed by the following statement from an Associated Press article: “As of May, there were 2,129 UC retirees drawing annual pensions of more than $100,000, 57 with pensions exceeding $200,000 and three with pensions greater than $300,000, according to data obtained by The Associated Press through a state Public Records Act request. The number of UC retirees collecting six-figure pensions has increased by 30 percent over the past two years, according to Californians for Fiscal Responsibility, an advocacy group that has analyzed UC pension data.” Virtually all of these pensions will be going to administrators, coaches, and medical faculty with no direct connection to undergraduate education. In short, UC is cutting core faculty and staff benefits and freezing their salaries in order to support the high wages and pensions of the highest compensated UC employees.

71 comments:

  1. There could be a cap on pensions--say $150,000 or $175,000--but simply castigating faculty with 6-figure pensions would undermine the quality of UC education, as scientists, university physicians, senior humanists, and other faculty rewarded for their accomplishments would leave. Of course most retired faculty no longer have a direct connection to undergrad education. And of course the present tiered reward system stinks, but academic class warfare will not help.
    Cary Nelson

    ReplyDelete
    Replies
    1. If challenging inequities in compensation is engaging in class warfare, then creating, perpetuating, and defending those inequities must also be class warfare, no? You hold the person who points out those inequities responsible for the "warfare" and suggest that highly paid faculty can never support any effort to address inequities. I think you have a low opinion of your colleagues. Your comment would imply that you (and all highly paid faculty) oppose any unionization in academia and any attempt to change the status quo. Also, that maintaining the salaries of the highest paid faculty is essential to the quality of UC education, but continuing to exploit the lowest paid faculty and grad students will not hurt that quality and is an appropriate price to pay. Hmm.
      Michelle Squitieri

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    2. First, isn't it a little bit silly to suggest that nearly-retired senior faculty, coaches, medical professionals, and administrators would "leave" if they didn't get the full and enormous pensions they had initially been promised?

      Second, even if such folk have not already left, this is not a scary threat. a) If they are offered a better deal elsewhere...wait, would this be a "retroactive, compensatory pension"?..bully for them (good luck). b) Those who would leave a career of academic service at a PUBLIC institution mid-stream because they thought they might have to get by on a wealthy instead of ridiculously wealthy pension in their retirement are in the wrong business.

      Third, as many others have commented, it is highly suspect that anyone should choose this particular contractual item as the one to defend, when so many other contracts and aspects of intergenerational trust have been smashed to smithereens, from the Master Plan of Higher Education in California to Social Security to the UC Regents' plan for Cost of Living Adjustments and medical insurance costs in 2006.

      Fourth, I think low-paid faculty and grad students have always been "exploited," as have most staff. Nonetheless, UC employees have been willing and eager to be a part of these institutions because of the high caliber of people who are here AT EVERY LEVEL, the environment of creative problem-solving and investment in our work, and yes, the viability of living, even on the most modest of incomes and benefits. All of this is at stake, and it is at stake for all of us who are currently working here, who when we came here thought we had a career as well as a life purpose here, and who cannot count on a living wage or a secure future.

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  2. The faculty should not divide itself--this is what the administration wants, Michelle. Cary is right. Faculty who have been vested and have given their life and work to the university for 40 years deserve the pension they signed on for--if not, no contract between faculty and administration is respected. At the same time we need to defend the younger faculty. There should be no division. Remember Machiavelli--the administration certainly does!!

    ReplyDelete
  3. A little surprising to see Cary Nelson invoking the term "academic class warfare." Likewise, I think Bob could choose his wording a little more carefully. Nevertheless, highly paid administrators and faculty (especially those who enjoyed the very extended pension payment holiday that is now definitively over) will need to grapple with our new reality. A pension system is not simply (or even primarily) a reward for merit. It is a benefit of service and a contract between generations. If we want to avoid divisions among faculty we will need to recognize and deal with the actual divisions that exist (and here I'm thinking primarily tenure system vs. non tenure, and between faculty and other UCRP members).

    ReplyDelete
  4. As a staff member (who wonders if I can even afford to retire, ever), I was not overjoyed to see the statement that came out on Wednesday regarding the fact that there will be no salary increases during the coming year. I was even less overjoyed to receive an e-mail the next day from the Operational Excellence subgroup, the Advising Council, who have a budget of around 270,000 per year to come up with ways of measuring and improving performance of student advisors on campus. What they have to show for the first two year's of work is a 204 word "Advising Framework" (i.e., mission statement), that includes goals such as "empower student ownership of the Berkeley experience" and "cultivate a shared sense of belonging". I estimate that so far this mission statement has cost us $2,738 per word or $418 per letter (not counting spaces). So there is a budget for this, and for us to vote on bogus "Operating Principles" and for quotes to go on the walls of the new Shared Services off-campus building, but not a penny more for our salaries. Someone has the idea that people are more motivated by ideas and goals and praise than money. Let me tell you this: FIRST I have to be able to earn enough to live with a sense of security, and enough to provide for my retirement, THEN I'll start considering how I can cultivate a shared sense of belonging. Respect and cooperation need to go both ways!

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