Cal State faculty criticize presidents' hefty pay boost amid layoffs, budget shortfall

"Top administrators across the California State University system will receive more than half a million dollars in pay raises in what trustees said is an effort to improve recruiting for executive-level candidates but the policy change sparked outrage from faculty and staff who said it comes as they face tsunamis of layoffs. Trustees approved pay hikes and eliminated salary caps for the system's executive employees presidents, vice chancellors"

"The new executive compensation policy also includes a performance-based pay incentive up to 15% of the executive's base salary, a more competitive retirement plan and increased housing allowances ranging from $60,000 to $80,000. The 22-campus university system said the previous policy which capped president salaries at no more than 10% above the predecessor's salary prevented the system from offering competitive compensation and significantly constrained the CSU from recruiting candidates and filling vacant positions."

"But the policy change quickly sparked outrage across the state. Faculty and staff in the CSU system condemned the change, arguing it comes amid widespread layoffs, tuition increases and a staggering $2.3 billion budget shortfall. The system's faculty union contended that most of the new compensation policy's funds come directly from state funding and tuition dollars. California Faculty Association president Margarita Berta-Avila likened the pay boost to (President Donald) Trump's construction of a new ballroom while working people were unable to provide for their families during the shutdown at the system's board meeting last week."

CSU trustees approved substantial pay raises and removed salary caps for presidents, vice chancellors and the chancellor to improve executive recruitment. The new policy adds a performance-based incentive up to 15% of base salary, a more competitive retirement plan and housing allowances between $60,000 and $80,000. The system cited a Segal analysis finding about 75% of comparable institutions pay executives more than CSU and noted prior caps limited recruiting and filling vacancies across campuses. The decision prompted faculty and staff outrage amid layoffs, tuition increases and a reported $2.3 billion budget shortfall, with the faculty union criticizing funding sources.

Read at www.mercurynews.com