Ross questions accuracy of Free Press administrative pay report, supported by WSU, WMU

 

University President George Ross said he is extremely critical of Sunday’s report in the Detroit Free Press that stated administrative pay rose 30 percent since 2005-06.

The Free Press used Faculty and Compensation data from the Higher Education Institutional Data Inventory to determine the numbers. Each of the 15 public universities self-report their financial information to HEIDI.

According to HEIDI and the CMU 2009 salary list index, CMU had 584 full-time equivalent, or FTE, administrative/professional positions in 2009-10 and 40 senior officers. The categorization of administrators is not limited to senior officers.

There are three categories of FTE at the 15 public universities in Michigan: faculty, administrative/professional and service. In 2005-06, administrative and professional FTE positions earned $41,024,904. In 2009-10, the university spent $53,369,565 — a 30-percent increase.

Ross said the figures are “misleading” because the Free Press did not properly define “administrator” in the article.

“The Free Press is one of the ones I read every day, and my first reaction was shock,” Ross said “I couldn’t speak to other people’s numbers, but there was no way in five years we’ve increased 30 percent.”

Ross said the term “administrative” implies senior officers on campus. But in an email sent by Ross to the campus community Wednesday, he said the Free Press numbers included all campus employees.

“The administrator figures reported include all university staff employees — a total of approximately 6,000 employees, including more than 3,600 student employees and excluding custodial staff — not just senior university officers,” Ross said in the email.

Of the three staff categories documented in HEIDI, the Free Press wrote about administrative and faculty FTE, but did not reference the service FTE category.

CMU had 1,285 faculty FTE in 2009-10 that earned $98,998,270, which was a 23.8 percent increase from 2005-06, according to the data.

The disconnect comes from the FTE term, said Carol Haas, director of Financial Planning and Budgets. FTE is a different measurement than head count, she said.

FTE does not measure the number of people, but the number of hours an employee works, Haas said. Therefore, one employee can equal more or less than one FTE, whereas multiple part-time employees can equal just one.

Thus, CMU reported 584 FTE administrative/professional employees in 2009-10 to HEIDI.

“The administrative numbers include executive, professional-other, technical, skilled, service and clerical employees,” Haas said.

Ross said when he spoke with the presidents of Wayne State University and Western Michigan University following his testimony before state legislators Wednesday, they shared the same concerns.

“They reacted the same way at Western and Wayne State,” Ross said. “It was misleading.”

Cheryl Roland, executive director of University Relations at WMU, said her campus was “disappointed” with the Free Press’ report.

“The result of that article is people were left with an erroneous viewpoint with what happens at our universities,” Roland said.

 
 
  • Anonymous

    That may be, but all I need to know is that tuition has increased by 50 percent in recent years, universities are cutting programs, and the president’s salary gets jacked up every year. Try and question that, George.

  • Michmediaperson

    George Ross is embarrassing all of us alumni of CMU with his tirade toward the Free-Press.

    George, you’re parcing words like Bill Clinton’s famous “what does is mean.”

    I don’t know what FTE or HEIDI is. Doesn’t matter.

    Here’s the bottom line, George.

    The president of CMU, its senior officials and all employees including all the way down to the bottom of the pay scale and all faculty members were given too big of pay raises when the rest of Michigan taxpayers were losing their jobs, homes, taking pay reductions, etc. That’s the bottom line. Plus, tuition has skyrocketed! And, to be fair, CMU is not the only Michigan college guilty of this. They are all guilty. The difference is: how do the universities react when they get caught?

    George, there are two ways to play this:
    1. Mount a fight with the Free-Press and Lansing which you and all of us at CMU will lose. You’re not dealing with a dunce like Jennifer Granholm. You’ve got professional businesspeople running Lansing now. You can’t fool them. And, the Free-Press broadcasts out to the entire state.

    2.Do what President Simon is doing at MSU……she said she has the cuts ready to go. She’s playing this smart PR-wise. She spent way too much money, too but when caught, she said she’s ready to cut.

    But, if you want to blame all the crazy spending the previous president and the Board did on the Detroit Free-Press, then I suggest the Free-Press do the following:

    Do a story on how much the CMU President (Mike Rao) made in 2006 and compare the increase to what you’re making today. Better yet, why doesn’t CM LIFE do this for next week so the undergrads will know. Surely, with the bad economy Michigan has suffered in the past 5 years,
    surely the pay of the CMU president, senior officers and faculty have gone down. I’d bet the farm they’ve gone up and up a lot! CM LIFE should do a comparison.

    George, I’d do what Simon is doing at MSU. Get the cuts ready and quit blaming the media for all the crazy spending CMU has done in the past 4-5 years. Tell the media the cuts are ready to go.
    In fact, you’d look like a hero if you cut your salary back to the 2006 levels.

  • Michmediaperson

    George Ross is embarrassing all of us alumni of CMU with his tirade toward the Free-Press.

    George, you’re parcing words like Bill Clinton’s famous “what does is mean.”

    I don’t know what FTE or HEIDI is. Doesn’t matter.

    Here’s the bottom line, George.

    The president of CMU, its senior officials and all employees including all the way down to the bottom of the pay scale and all faculty members were given too big of pay raises when the rest of Michigan taxpayers were losing their jobs, homes, taking pay reductions, etc. That’s the bottom line. Plus, tuition has skyrocketed! And, to be fair, CMU is not the only Michigan college guilty of this. They are all guilty. The difference is: how do the universities react when they get caught?

    George, there are two ways to play this:
    1. Mount a fight with the Free-Press and Lansing which you and all of us at CMU will lose. You’re not dealing with a dunce like Jennifer Granholm. You’ve got professional businesspeople running Lansing now. You can’t fool them. And, the Free-Press broadcasts out to the entire state.

    2.Do what President Simon is doing at MSU……she said she has the cuts ready to go. She’s playing this smart PR-wise. She spent way too much money, too but when caught, she said she’s ready to cut.

    But, if you want to blame all the crazy spending the previous president and the Board did on the Detroit Free-Press, then I suggest the Free-Press do the following:

    Do a story on how much the CMU President (Mike Rao) made in 2006 and compare the increase to what you’re making today. Better yet, why doesn’t CM LIFE do this for next week so the undergrads will know. Surely, with the bad economy Michigan has suffered in the past 5 years,
    surely the pay of the CMU president, senior officers and faculty have gone down. I’d bet the farm they’ve gone up and up a lot! CM LIFE should do a comparison.

    George, I’d do what Simon is doing at MSU. Get the cuts ready and quit blaming the media for all the crazy spending CMU has done in the past 4-5 years. Tell the media the cuts are ready to go.
    In fact, you’d look like a hero if you cut your salary back to the 2006 levels.

  • George Gipp

    Does George’s “reported” pay include the following “benefits” of his privileged position:

    Fully paid living quarters, including all utilities and taxes
    Housekeeping staff for living quarters
    University car and driver
    “decorating” allowance
    “furnishings” allowance
    landscaping and maintenance services on his provided housing

    Probably more but you get the point….he costs the university much, much more than just a salary amount. The other senior administration members do not get quite as much in fringe benefits, but the amount does add up quickly.

  • George Gipp

    He as all those expenses to take care of…well…since the university pays for pretty much everything for him…why is his salary increasing so much every year?

  • George Gipp

    Ok, maybe the driver has been dropped. I seem to remember Ellis, Jakubauskas, and Plachta having drivers. For sure the gas, maintenance, and insurance for this car is covered.

  • Anti Maddow

    Is “informed liberal” an oxymoron?

  • fedup

    “… and all employees including all the way down to the bottom of the pay scale and all faculty members were given too big of pay raises …”

    This is partially false, or downright lying. I’ve worked at CMU for over 10 years in one of these so called administrative positions, moreso than even the ones being counted, and my aggregate salary increase has been 27%.

    For the mathematically challenged, that computes to a 2.4% annual raise, hardly keeping up with the inflation perpetuated by The Ben Bernank that GreedSpan started.

    Last year my raise was vapor, this year I’m expecting the same, zero. That will make the average annual raise in the 11 years I’ve been here 2.2%. I don’t complain even though I know I can get paid 40 to 70% more in other parts of the US because rather than leave Michigan I try to stay and make a difference.

    Instead of whining to Dr Ross and misrepresenting me as someone who was given too big of pay raises, why don’t you do something about the larger picture plaguing the US? FedUpUSA.org would be a great place to start and it was founded by one of us overpaid Michiganders as well who’s son is serving for both of us in Kandahar.

    You expect any sector in the US, including universities, to be completely honorable and efficient, instead of somewhat greedy and misrun when almost zero of the fraud on Wall street has seen jail time?! That’s the epicenter of this mess, greed, fraud, dishonest, etc, is winning, everything else is far down stream.

  • George Gipp

    If you do not like working for CMU…please leave…someone could probably be hired for less than what you are being paid. There are 39 senior officers at CMU…that is likely where the massive increases came. Too bad if you were in a P&A band that did not get their raises. There are 700+ Professional & Administrative positions, ranging from OP-3 with a minimum salary of $9.07 per hour all the way up to a P&A 6 a minimum starting salary of $66,300.
    That does not include the benefits (including 10% of salaried base pay being paid into a retirement account for you, 20 days of vacation, and 24 free credit hours, among others).

    Oh, and your “administrative” position must not include the use of proper grammar. In your fifth paragraph, you stated, “as well who’s son” (sic). You must have meant to say “as well as whose son”, since the contraction who’s is short for who is or who has, not the possessive form of who.

  • Joe

    If you really want to see greed, then start at the top. Someone comes back to more than DOUBLE his salary from another president’s job. Granted he did not ask for a job for his wife, but he got an increase of $17,000 MORE than what Monica Rao was paid and a signing bonus! A SIGNING BONUS in this day and age…if that is not the height of greed….well, other than Barney Frank and Chris Dodd protecting the people and organizations they ordered to start making loans to people who had NO chance of paying off the loan, all the while taking massive campaign contributions from the same banks and organizations.

  • Joe

    If you really want to see greed, then start at the top. Someone comes back to more than DOUBLE his salary from another president’s job. Granted he did not ask for a job for his wife, but he got an increase of $17,000 MORE than what Monica Rao was paid and a signing bonus! A SIGNING BONUS in this day and age…if that is not the height of greed….well, other than Barney Frank and Chris Dodd protecting the people and organizations they ordered to start making loans to people who had NO chance of paying off the loan, all the while taking massive campaign contributions from the same banks and organizations.

  • Joe

    Why complain “fedup”? Even without a huge raise in the past ten years, the people of this state have set aside an additional 10% of your annual salary into a retirement account. With nearly everyone else losing out on even a match to their 401(k) contributions, you are way ahead.

  • Joe

    Not complaining, eh? “I know I can get paid 40 to 70% more in other parts of the US…” and “My Total Compensation is severely lacking…” Your words, not mine.

    Please name a company that has profit and loss responsibility to its shareholders that is continuing to pay an ADDITIONAL 10% into a retirement account for each administrative employee (not counting union-mandated contracts). Most of us have had even our matching 401(k) contributions eliminated. The cafeteria plan that CMU gives you for medical insurance, prescription drugs, dental, vision, life insurance, long and short-term disability insurance does count under total compensation. However, the additional benefit of 10% of base salary added to your retirement account is nothing I have ever seen in the corporate world. My health care costs have increased exponentially as well, wiping out any salary increases for the past few years. The difference is that my salary is not paid for by taxing the citizens of this state. Those are my tax dollars that pay your total compensation. Your total compensation also includes funeral leave, 12 paid holidays, a “reasonable” amount of personal leave time, 13 sick days per year, 22 days of vacation time. Even without taking sick days, funeral leave, or personal leave, you have 34 vacation/holiday days. That is almost 7 weeks! Most of us get half of that.

    So what exactly is the bigger picture?
    A national leadership (Obama, Reid, Pelosi) that forced Obamacare on us?
    A state leadership (Mulhern) that through ineptitude or ambivalence has led to a crumbling infrastructure and massive debt? Yes, in less than five years we were blown away.
    A national leadership that has racked up nearly 4 trillion in debt in a little over two years?
    A national leadership that did not want to pass a budget before the mid-term elections, causing the looming shutdown we now face?

    Isn’t it interesting that McDonald’s announced it was going to be hiring 50,000 workers in one day? I’m *sure* that the exemption from Obamacare had nothing to do with this hiring spree. It is ironic that the same liberals who derided the previous President for creating “hamburger-flipping” jobs are hailing this as a sign that the economy is improving.

  • George Gipp

    Never said anything about outsourcing. There are many good workers in this state that could do your job and would be happy to be working (especially when they get a load of the benefit package that your job includes).

    39 SO’s would be just over 5% of the total of P&A and SO (39 and 736). It does make a difference. According to the Tax Foundation figures on IRS data released for the 2008 tax year: “The top-earning 5 percent of taxpayers (AGI over $159,619), however, still paid far more than the bottom 95 percent. The top 5 percent earned 34.7 percent of the nation’s adjusted gross income, but paid approximately 58.7 percent of federal individual income taxes.”

    Since you claim to be a “professional”, your misuse of standard language conventions calls into question your professionalism. I sure would not want to send an email to my boss with misused or misspelled words. When your words are all that you have, they must be carefully chosen. Don’t try to project your insecurities onto others or attempt to blame them for pointing out your mistakes.

    BTW, you misspelled grammar. Don’t think that one was on purpose.
    Your choice of “efficacy” leads me to wonder if you are in the health or finance areas.

    You might want to read Joe’s post on the “bigger picture”. I would have to agree with most of his points.

  • fedup

    I live in a fact based world, and these words aren’t complaints, just facts. My car’s torque is severely lacking also, that is just a fact. Why can’t you see this?

    Here’s 30 companies for you, as requested. Note Mcdonald’s contributes 131% for each dollar it’s workers contribute. UA is off the charts, and Nucor is at 400%.

    Are you being disingenuous when you say you haven’t seen this in the corporate world? What difference does it make if the 10% is an additional benefit? It is still included in our total salary at CMU? If my total salary was 70k with the 10% benefit, you can bet my base salary would be tuned down for a 30% benefit, ie, I’d still be making 70k. I don’t understand what the big deal is on this 10%? In fact, I’d much rather have my base raised by 10% and use the retirement money in a tradeable Roth. I wouldn’t be tethered to Fidelity or TIAA and I could invest in anything I wanted. Silver miners are doing quite well these days.

    The time off is gratuitous, I’ll agree, no one I know uses the sick time, I have 7 years worth and that seems low. They do have a sick leave bank that we can donate for others that fall ill. Vacation days roll off at 37.5 days, less than 2 years, which is very low (again, facts, not whining). I’ve had other employers that offered the option to cash out your vacation days instead of forcing you to take them or lose them. Now that was some real compensation! I know a lot of cmu employees that don’t take all of their vacation alloted, it rolls off and they are always pinged at 300 hours. I don’t know anyone that is gone anywhere near 7 weeks out of the year in my area and a few others that I’m familiar with. I know Coke here in town gives you maybe 10 to 12 vacation days and 3 sick days, and that’s it for the year.

    As far as tax dollars and university funding, it’s also my tax dollars that are helping to pay myself! I’m paying part of my salary with my own taxes, how do you think I feel? That being said, I think there is going to be a big shift in state universities coming across the US in the next 15 years. You will see less of them, collapsing into one another or disappearing altogether. Online learning and trade skills will continue to cut into the bottom lines for traditional universities like CMU and the increase tuition by multiples of wages cycle will hit critical mass for the consumer (students parents). We know the govt can’t afford to send students to higher learning.

    The bigger picture is the US is in dire financial straits and it started arguably in 1913 when the federal reserve was started. Clinton was praised for raiding SS and having a year where a budget balanced! We have the power to do something about the mess since we elect the officials in office. Granted the candidates are usually cut from the same cloth, I don’t believe in the 2 party system, most of the politics is theatre in my opinion.

    We need to cut entitlements since they are 43% of the budget. Trim down government, dept of education would be a nice start, but there are many others. Place the fraudsters in jail instead of bailing them out with 100′s of billions. Stop buying MBS with our own tax payer money (You did bring up tax payer money, you are losing far more due to the machinations of Bernanke and Geithner than you’ll ever lose to funding a misrun collection of state universities), and let housing fall another 20 to 30% where it belongs.

    If this doesn’t happen, and I have little faith enough of us will wake up in time to stop it despite a small collection of us trying (see the ORIGINAL tea party, not the one parading around with that moniker now), then the bond market will be the final blow. When rates begin to rise, there will be no stopping it, see the PIIGS for how this plays out.

  • fedup

    “There are many good workers in this state that could do your job and would be happy to be working (especially when they get a load of the benefit package that your job includes).”

    This is your opinion. We have many good workers in this state that are unemployed, this is very true. Ones that would be happy to try and to my job, yes, ones that could do it with the same efficacy, for the same wages, I disagree. I’ve been in on the hiring process for positions similar to mine and when candidates hear about the job responsibilities, the 24×7 on call, the requirement to be contactable from anywhere at anytime, calls in the night, calls on vacation, reprimands when you are ‘not reachable’, then the base pay and total compensation is brought to light, the candidates suddenly don’t return the calls anymore. We’ve gone thru the hiring process several times over the years and when it was done, we hired NO ONE. Unfortunately we also have quite a bit of resume fabrication going on, and once you vet that person, you find this out rather quickly.

    My point on the raises was, for example, if 39 SO’s get a 100% increase, 400 PA’s get a 3% increase, and 297 get no increase, the aggregate increase is not surprisingly no where near what the SO’s received, 6.93%.

    Harp on the spellllings, stay in the dark, maybe you’ll get rescued anyways.

    I responded to Joe.

  • Joe

    Interesting on the match provided by McDonald’s, UA, and Nucor. However, matching (or multiplying) an employee’s contributions is not the same as 10% given without any contribution by the employee. Say you are making $70k, that would be $7000 additional without any match. If you contribute 3%, you would take $2100 out of your total compensation. The company would have to match at 333% to bring you back to the additional $7000 plus what you took out of your pay.

    Good point on the original tea party, but at least there is a group out there trying to reign in the madness.

    Sorry to hear about your car’s deficiencies. Seems like the current national administration wants us all to drive around in Fiat 500s and Smart fortwos. Your car will seem like hot rod compared to those microcars.

  • fedup

    “The company would have to match at 333% to bring you back to the additional $7000 plus what you took out of your pay.”

    Not 333%, but 233%. Original 2100 plus a 100% match gets you to 4200. 200% match gets you to 6300, and 233% gets you to 7000. It’s a common mistake.

    Again, I’d rather have the 7k in base and 0% of the 10% so I could invest in something else.