Comparison of Two Compensation Plans (from SEC, 9-24-13)
Important criteria for UW-System:
 Must be simple to explain
 Must use CUPA data
 Must only provide pay to address market, equity, and retention (not a
pay plan), and must take merit into account
Additional important criteria for SEC:
 Must help as many people as possible
 Must help people who have "extreme cases" not of their own doing
 Must allow a mechanism to start addressing inversion/compression
issues
Things to note about any plan:
 Not all people will receive a base salary increase. While SEC
believes that we all deserve one, this cannot be a pay plan.
 No plan will ever be "fair" as no plan can address the lack of cost-ofliving raises in the past several biennia.
Plan described to Senate on 9-12-13 (aka “Group 85” Plan)
As described previously, the Group 85 Plan raises salaries for groups of
faculty/IAS who currently earn less than 85% of the CUPA median salary
for their departments so that the median salary in these groups will reach
85% of the CUPA median salary. Adjustments for any individual are
capped at a $4000 increase. Remaining funds will be used to address
inversion/compression and extreme cases via PTS Committee, Chairs,
and Deans. As an example, this would provide equity increases to 103
faculty and leave $105,000 for inversion/compression/extreme cases.
Plan passed by Senate & used in 2012-13 (Phase 1 only) (aka “PTS 80”
Plan)
The PTS 80 Plan starts with the CUPA median for each individual, and
then invokes a 1% slope to address time in rank to determine the
increases needed to raise ranked groups of faculty/IAS to around 80% of
the CUPA median (although the 1% slope changes that number for each
person so some will get more than 80% and others less) for their
departments, capping at $2000 per person, leaving the remainder to
address inversion/compression and extreme cases via PTS Committee,
Chairs, and Deans. As an example, this would provide equity increases to
38 faculty and leave $245,000 for inversion/compression/extreme cases.
Obviously, capping at $4000 to make the plans the same in this regard still
will affect 38 people but will leave less money for inversion/compression/
extreme cases.
If the PTS 80 Plan is modified to spend the same amount of money on the
first round, leaving the same amount at the end for inversion/compression/
extreme cases as the Group 85 Plan, this plan approaches a “PTS 83”
plan in that faculty/IAS equity adjustments would get most people to
approximately 83% of CUPA medians (plus or minus the differences that
are present due to the 1% slope portion of the formula).
Note that neither the PTS 80 (or PTS 83) plans will raise median salaries
to reach 85% of the CUPA salaries for specific ranks and departments, as
dollars are spent in addressing different goals in the PTS plan. In addition,
the Group 85 and PTS 80 plans do not identify the same individuals to
receive salary adjustments.
Note also that for any plan, those not receiving a salary equity
adjustment and whose salary is less than 100% of their CUPA median
will receive a 1% one-time lump sum payment. For people who
receive salary equity adjustments less than 1% of their salaries, they
will also receive a one-time lump sum payment so that the total
payment this academic year is 1% of their salaries.