Merit Pay - FY06
WU Salary Program - Merit or Discrimination
Washburn University has utilized a four-tier performance based salary program over the past several years. In theory, expectations have been determined and wage increases have been granted based on meeting or exceeding those expectations. However, the reality is that the application of this merit program results in discriminatory practices that create confusion and undermine morale.
A look at the distribution of the FY06 merit pay on an individual basis, shows some questionable results. In several academic departments, rank does not have any privilege, with Associate Professors receiving higher compensation than Professors or Lecturers earning more than Associate Professors. All of these individuals received salary increases that exceeded 1.5%, indicating that their performances exceeded expectations. So, the explanation for the pay inequity is not apparent from a review of the budget.
Overall, the faculty compensation seems meager compared to some of the administrative salaries. With 140 faculty members earning less than $60,000 per year, it is no wonder that some need to teach in summer school to better support themselves and their families.
On the administrative side, education is not particularly valued by this institution of higher education. Persons without degrees can earn more than those with degrees. Counselors earn less than secretaries and some classified employees earn more than professional staff. Support staff in some areas earn more than supervisors in other areas.
FY06 Merit Pay Program
On May 3, 2005, the Washburn University Budget/Finance Committee reviewed and accepted the proposed allocation of the approved 4% salary pool of $1,682,400 for fiscal year 2006. These funds were allocated based upon a 1.5% increase for those whose performance meets expectations, with the remaining pool available for merit pay given to those whose performance exceeds expectations. The salary pool (pdf) has been distributed in various amounts with Academic Support receiving the smallest percentage increase of 3.5% and General Administration receiving the largest percentage increase of 5.2%.
The Office of Institutional Research put together a Distribution of Merit Salary Increases by Employee Type (pdf) that was given to each Board member. Over 89% of the employees will get salary increases in excess of 1.5%, reflecting that their job performances exceed expectations. Although 30% of the employees will be awarded salary increases exceeding the 4.0% salary pool, a significant number of employees will receive a salary increase of less than 4.0%.
It would be interesting to see the faculty salary increases in a format that allows comparison to the American Association of University Professor's salary survey reports. That survey breaks down salary increases by faculty rank. With 7% of the faculty getting 1.5% or less salary increases and with 41% getting 4% or less, one has to wonder if more funds should be used to increase the base percentage given for meeting expectation so that the entire faculty can keep up with the salary increases at other institutions. While the faculty at Wichita State got an average increase of 5%, the faculty at Washburn University only got a 3.7% increase, if the Law School faculty average increase of 6.1% is removed from the formula.
It seems that the 4% salary pool has been funded with the FY05 excess sales tax receipts and the FY05 collected tuition revenues. So, the salary increases are not dependent on either the FY06 tuition rate or the final level of state aid.
Jerry Farley and Ron Wasserstein assured the Committee members that the faculty and staff are very happy with the revised salary schedule that makes the FY06 salary increases effective July 1, 2005. The Board members were also assured that most on campus had greater confidence in the merit pay system that has been utilized by this administration over the past several years.
President Farley's FY06 salary will be determined by the Board of Regents Presidential Compensation Committee. There was an executive session at the June 17, 2005 Board of Regents meeting for the President's evaluation. The FY06 budget includes a contingency amount of $21,320 to award the President a salary increase up to 9%.