Wednesday September 19, 2001

Shortfall will be subsidized with money from salary caps

UA officials say the university is $711,156 short of the $16 million needed for the 5 percent across-the-board employee salary increases promised for April 2002.

Larry Schooley, professor of electrical and computer engineering and a member of the University Compensation Advisory Committee, said there is a shortfall in the amount needed, but the money will be "made up somehow."

Schooley said the problem most likely resulted from not enough money being requested from the state legislature last spring.

He said the shortfall could be made up using a number of options including capping salary increases for vacant positions.

Normally salaries for vacant positions are increased on the same scale as other positions, Schooley said, but instead the starting salary for a vacant position would remain the same.

George Davis, University of Arizona provost and co-chair for UCATS, said the committee will review this option and may recommend it to the cabinet and finance committee.

Davis said the university realized the shortfall approximately two weeks after it received the approval from the state legislature for the $16 million last spring.

The increases come from a bill approved by the Arizona House of Representatives that gives state employees 5 percent salary increases for the next two years - a substantial increase from the 2 percent raise given in recent years.

UA President Peter Likins told members of the Faculty Senate last week that the decision was made to give $1,500 across-the-board increase so that those making less than $30,000 a year would receive a large increase.

Likins applauded the action the state Legislature took toward increasing wages, and said that everyone will receive their increases come spring.

Despite the shortfall, officials agreed employees will see their increases in April.