Union Research:  Managers at U Insulated from Layoffs and Pay Cuts!

The attached flier summarizes research on wages and staffing at the U conducted by your AFSCME bargaining committee and highlights University waste and the results of the U's budget decisions on students, staff and faculty. In response to requests under the Minnesota Data Practices Statute, the U provided us with staffing and wage lists from late October 2008 and early January of this year.  The U also provided a list of all wage increases paid in fiscal year 2011, ending July 1. 

Findings

The data showed significant disparities between employee groups, in terms of positions eliminated since the hiring pause began, as well as in wage increases given last year.  Most employee groups lost a significant number of jobs (an average of 10.9% across University employee groups), while Academic Administrators lost only 1.18% – only 26 jobs!  The expected wage increase last year was about .85% (see explanation below).  AFSCME 3800 members received an average wage increase of .95% (not including the 4% loss in step increases), but the academic administrative group received an average 2.15%!

Disparity in # of Positions Eliminated During the Hiring Pause

Since President Bruininks began the hiring pause in November 2008, the University decreased in size by 10.9% overall—more than 2000 jobs.  All the AFSCME locals combined lost more than 9% of our members, the majority from layoffs.  AFSCME Local 3800 saw more than 180 coworkers lose their jobs. 10.6% of faculty positions were eliminated.  One group escaped big hits, however—the academic administrative subgroup of the P&A employee group.  This employee group focuses on “Policy development and execution, and management” according to University documents, and includes titles such as “assistant, associate, assistant director, associate director, coordinator.”  This group shrank by a mere 1.18 percent—down only 26 jobs out of nearly 2200.

Disparity in Wage Increases

President Bruininks announced a budget of 2% for raises last year, along with pay cuts and furloughs amounting to 1.15%.  This would place expected wage increases in the ballpark of .85% on average for university staff (excluding promotions). Study of wage increases showed that, after accounting for the furlough, the average AFSCME increase was .95% (not including the additional loss of 2% steps in each year of our last contract).  The difference between the expected .85% and the .95% is due to a handful of in-range adjustments and adjustments paid upon lateral transfer to a new position.  Members of the academic administrative group received an average of 2.15%, more than twice what AFSCME did.

Where did the money come from to fund these wage increases above the allocated .85%?

Human Resources staff told AFSCME’s bargaining committee they don’t know.  Collegiate administrative units can augment the compensation budget from central with funds from any source of revenue they want.  Also HR managers did not deny the possibility that management merit increases were paid for, at least in part, with money gained from the AFSCME furlough. The funds captured from the furlough stayed in the collegiate administrative units, and colleges were allowed to use the furlough funds however they saw fit.

What we are asking for in negotiations

At the bargaining table, our union’s negotiating committee is arguing for fair wages, affordable healthcare and job security for Union staff.  Administration says that not only is money not available for raises for us, but that the administration wants to raise the percentage of the health insurance premium paid by employees so that an additional $10 million can be funneled into the general fund.

What you can do

The attached flier illustrates that despite the public pronouncements of U leaders, all U staff are not “sacrificing equally” in the current budget crisis.  Please print and distribute the attached flier to anyone who might be interested.  Ask them to call President Kaler to tell him to end the disparity in job security and raises at the U.

Your AFSCME bargaining committee:

Phyllis Walker

Mary Lou Middleton

Cherrene Horazuk

Andy Carhart

Polly Peterson

Doug Sembla

Mary Snyder

Ginger Nohl

Judy Borrell

Rick Castillo

Kem Tae Lynch

Kurt Errickson, Council 5 Negotiator