President Rochon Announces Additions to 2009-2010 Compensation
I am pleased to report that the Executive Committee of the Board of Trustees has authorized two compensation expenditures as additions to the current year (FY2009-2010) budget.
Based on the recommendation of the Budget Committee, and at my request, the trustees have authorized an immediate return to the 8.75 percent employer contribution to TIAA-CREF retirement accounts. This change will be made retroactive and will be reflected in the September 30 payments made by Ithaca College to your retirement accounts.
In addition, the Board Executive Committee affirmed our policy of paying all full time employees a minimum of $0.50 per hour above the living wage as calculated for this region. Employees for whom the salary freeze combined with increases in the living wage resulted in a wage below that threshold will see an immediate adjustment to their paychecks.
The Budget Committee continues its work this fall, the largest part of which involves formulating a budget proposal for next year (FY2010-2011). I have asked the Finance Office and the committee to begin developing a rolling five year budget, so that each year’s budget choices can be made and evaluated in the context of a multi-year outlook. We are determined to apply the principles of sustainability to the financial management of Ithaca College, as a way of avoiding budget crises and deep retrenchments that can be so painful to the community.
As part of their review of our multi-year financial outlook, I have requested that the Budget Committee consider the possibility of making an additional one-time compensation payment to all Ithaca College faculty and staff who are affected by the salary freeze this year, with a special emphasis on relief for those at the lower end of our salary scale. When I have reviewed the five year financial outlook and the Budget Committee’s recommendations, I will make a decision on whether to recommend to the Board of Trustees that we draw further on this year’s revenue to increase compensation on a one-time basis.
It is worth emphasizing that opening an on-going (current year) budget to add to compensation expenditures is not a normal course of action. This year, however, our material circumstances changed significantly compared to expectations when the budget was created. The Board of Trustees joins me in believing it appropriate to share these positive results with staff and faculty via restoration of last year’s level of TIAA-CREF contributions and via affirmation of our policy to pay more than the living wage for all full time positions.
Originally published in Intercom: President Rochon Announces Additions to 2009-2010 Compensation.