The Moon Room

A Community Forum on Guilford College Faculty Life

Raise comparison between faculty and administrators

May 7th, 2019

I asked for Guilford’s most recent IRS Form 990. I do this for several reasons, but I got started with the 990’s after the administrator bonus fiasco at the end of the Chabotar administration in order to have a look at our reported compensation for administrators. This most recent report allowed me to track the impact of the January 2017 raises for some of our administrators. I’ve shown the raises below, compared with changes in faculty compensation as reported to the AAUP for the same years.

Data

Data sources for administrators are 2016-17 and 2017-18 Form 990’s, which cover our fiscal year. Because of a change in our fiscal year start date, the 2016-17 report only covered 11 months, so I prorated the salaries reported in that document to 12 months before calculating the raises.

Data sources for faculty are our average salary by rank for the academic years 2016-17 and 2017-18 as reported to the AAUP by the college.

The 2016-17 numbers include part of the period covered by the large January 2017 raises. I think those raises are included in the 990 reports, because those report total dollars. I am not sure if they are included in the AAUP faculty salary reports, but I don’t think they were, because they show very little change from 2015-16 numbers. If the January 2017 raises were included in the 2016-17 data for administrators and not for faculty, then the difference between faculty and administrators is even more stark, and the faculty raise percentages should be decreased by about half to make them comparable.

For the administrators, I only included people who were working for the full year in both years and whose income was reported on the 990 in both years, with two exceptions:

  • Todd Clark, whose reported compensation dropped between the two years for reasons unknown to me, and
  • Kent Chabotar, whose compensation was set at $100,000 for five years following his presidency under the terms of his initial presidential contract

Barbara Lawrence is a special case, because her position changed from faculty to VP between those two years, so the high raise percentage shown probably mostly represents her new position. Her faculty compensation was high enough (>$100K) to be reported on the 990 in the earlier year, likely in part because of her involvement in the prison education project.

Analysis and Notes

With the exception of Jimmy Wilson, all of the administrators listed received higher raises (by percentage) than all faculty ranks. Jimmy’s raise percent was higher than all faculty ranks except Associate.

In dollar terms, all of the raises were higher than average faculty raises, in some cases much higher. Administrator raises for those on this list ranged from about $8,000 to $26,000, while the faculty averages changed by $2,000 to $4,300.

Jane Fernandes’ salary is set by the board and is not included in the compensation plan. The board granted her a raise during this time.

If the compensation plan was applied appropriately to all of these individuals other than Jane, for whom the plan does not apply, this outcome (higher raises for administrators than faculty) is possible if the administrators listed were all farther behind their targets than the average faculty member. I don’t know if that is true, because I don’t know the targets used for administrators, but do we know the faculty are far below their targets, so the administrators would have to be even worse off. That doesn’t seem entirely likely, given that faculty were at or near the 20th percentile among peers. However, setting targets for administrative positions is tricky, because the administrative positions we have don’t necessarily equate to similar positions at other institutions.

The raises for faculty were affected by the bad data used to set targets, as I’ve discussed earlier this year. That error was likely not made for administrators. All faculty ranks were affected by the improperly low targets in the first round of raises in January 2017, included in these data. However, the effect of these low targets is not big enough to account for the full difference in raise percentages between faculty and administrators.

Some faculty members who were farther from their targets received larger percentage raises than those who were closer. For example, my personal percent raise during this period was 8.9%, higher than the full professor average and higher than some of the administrators.

There is the potential for an apples-to-oranges issue here, because the faculty percentages are based on groups of 20-30 people, while the administrator raises are individuals. However, assuming the faculty salaries are reported correctly, that should produce no significant systematic difference in the numbers, with the possible exception that retirements, departures, or promotions of many high-salary faculty at any rank could depress the average salary for that rank to some extent, though likely not too much. When looking at the numbers, remember that the individual faculty raises are a range centered around the percentages reported, and are probably on average a little higher than the reported figure due to retirements/departures.

Updated compensation percentiles

April 13th, 2019

Back in February, I calculated an update to the Category IIB percentiles we used to publish in our Factbook. That post is here.

The AAUP has now posted data for the 2018-19 academic year. This year includes both the recent rounds of raises in January 2017 (in effect for the last half of 2016-17, although I don’t think that our AAUP salary reporting included the raises until 2017-18) and August 2018 (in effect presumably for the 2018-19 reporting).

I’ve updated each graph I made for the earlier post. Those are below, with interpretation:

Here are my interpretations of the additional year of data. Please see the earlier post for a more complete analysis.

  • Of the four ranks at Guilford tracked here (heavy solid lines), all showed a modest increase in 2018.
  • Nationally, the AAUP median for Category IIB schools increased more than Guilford’s raises for Associate and Assistant, which means we lost some ground against the median of our peer group at those ranks. This is not a surprise given the small size of our raise pool last year.
  • Nationally, the AAUP median for Category IIB schools increased less than Guilford’s raises for Full and Instructor, which means we gained ground against the median of our peer group at those ranks.
  • For Instructors, our reported modest increase in salary contrasted with the drop in the national IIB median Instructor salaries.
  • For Full Professors, our reported increase in salary coming in slightly stronger than the increase in the median may have to do with the large gaps full professors had from their targets, which meant they may have gotten more of the raise pool under our formula than others who were closer – i.e., we’re still pretty far behind our peers, but we filled in a little of the gap. I suppose we could have had fewer retirements or departures than other schools, also – we lost so many folks in 2016-17 that we have fewer left to lose now, which might have elevated our numbers somewhat relative to others. This is all speculation, though.
  • Fundamentally, in 2018-19, we appear to have more or less kept pace with other IIB schools in terms of dollars, but we did not make progress on closing our sizable gaps with them except at Instructor rank, which we only did because of a national decline in Instructor pay. Though not the best outcome, this is better than period from 2010-2016, when we stagnated or even lost ground in real dollars (this was even worse if you take inflation into account, which was a total of about 10% over that period).

Here is the impact on our percentiles compared to other IIB schools:

Remember that these percentiles are tracking a different thing from the dollar values above. The percentiles are only about our ranking relative to other similar schools, while the first graph is raw dollars.

Here are my interpretations of the additional year of data on percentiles. Please see the earlier post for a more complete analysis of the history.

  • At all ranks except instructor, we lost ground in terms of percentiles.
  • This was most pronounced at Assistant rank, which grew more strongly nationally than other ranks.
  • That means that, unlike 2017-18, when we made significant upward progress in our ranking, other schools passed us, although this didn’t wipe out all of the progress we made with the January 2017 raises.
  • We are now back to similar percentiles from 2013, when we were already in the midst of our very steep decline, as opposed to our heyday in 2008-09, when we were still well below where we’d set our goals at the time but (unbeknownst to us) at easily the highest level we’d experience for the next decade.
  • If we reach the stated goal of our compensation plan, we will be up near the 50th percentile for IIB, which is close to both the original Compensation Plan peer group of 46 schools and to the revised peer group of ~350 schools proposed this year.

Here are the raw numbers and last year’s percentage change in table form.

Guilford 2017-18 2018-19 Percent  change
Full  $    74,700  $    76,200 2.0%
Assoc  $    60,000  $    60,500 0.8%
Asst  $    56,200  $    56,400 0.4%
Inst  $    46,300  $    47,100 1.7%
IIB Medians 2017-18 2018-19 Percent  change
Full  $    87,300  $    87,800 0.6%
Assoc  $    71,300  $    72,100 1.1%
Asst  $    61,200  $    62,300 1.8%
Inst  $    53,500  $    52,500 -1.9%

 

We need to have raises at least as big as last year’s not to lose ground. If we want to regain some of what we’ve lost, or even (heaven help us) reach our stated goal, we’ll need to have raises that average more like 4-5%.

Not all of that needs to come from new revenue. Every year we have some more senior, more highly compensated folks retire, and if they’re replaced, they are usually replaced with younger, lower-compensated folks, which creates room for raises for remaining faculty without adding to the overall budget.

That’s how I see it. Let me know if you have questions.

Looking back at Guilford faculty salaries

February 20th, 2019

I spent some time Tuesday collecting some numbers and looking back at Guilford salaries. My goal was to recreate some of the numbers that Guilford used to report in its annual Factbook. That Factbook no longer exists, as far as I can tell, and the reporting of salaries compared to standards fizzled out in about 2013. So, it’s been a while since we had a comparison like what we used to have.

The target group we used to use for salary comparisons was Category IIB, a classification that includes institutions that grant primarily baccalaureate degrees. Guilford far exceeds the minimum degree requirements for this category and is nowhere near the postbaccalaureate degree requirements for Category IIA, even with our new Master’s program, so it’s clearly where we belong. More on these categories is available here.

I collected and processed the last seven years of the AAUP Annual Survey, which collects reports from most higher education institutions and produces an annual report. These reports are here. I selected only the Category IIB institutions in these reports. Guilford consistently reports to the AAUP like every good institution should.

I also have a record of many years of Guilford’s self-reported salaries and comparative percentiles, which I collected from the Factbooks back when they were available. I have those covering the years 2007/8 to 2013/14. These included faculty salaries at different ranks (also reported to AAUP) and a calculation of percentiles compared to the Category IIB pool. These reports also included percentiles for two categories of staff – administrative and support staff. I don’t have the data to extend these staff reports to today, and I’m not sure what data sets were used to created the reported statistics.

This first graph shows faculty salaries at four different ranks (indicated by colors), for Guilford (heavy dashed and solid lines) and AAUP Category IIB (thin dotted lines).

The dashed lines and the solid lines (representing Guilford salaries) overlap for three years, 2011-2013. As you can see, even though one was reported by Institutional Research and the other produced by me, they agree very closely, except for one blip in assistant professors in 2012. That gives me confidence that I’m doing this mostly right.

Here are insights I draw from these data sets:

  • Guilford’s faculty salaries rose from 2007-2009, then stagnated or dropped from 2007-2016. At the higher ranks, average salaries in unadjusted dollars dropped, probably due to retirements coupled with very limited raises. If we scaled salaries to cost-of-living, this drop would be even more severe, as there was a mostly consistent inflation rate of 1-3% during this time.
  • Probably in response to new hiring at nearer-to-market salaries, associate professors narrowed their gap with higher ranks as time went on.
  • The raises in the middle of the 2016-17 year are clear at the right side of the graph. The smaller summer 2018 raises are not represented in the time range covered.
  • During the period of salary stagnation, our Category IIB peers showed consistent growth in median salaries at all ranks.
  • The January 2017 raises (at least as represented here), though much bigger than in recent years, did fairly little to close the widening gap between Guilford and peer institutions, as they were only a bit higher than the overall Category IIB increase.

I also calculated percentiles, which I can also compare to past reported data. Those calculations are shown here:Guilford salary percentiles

 

The values for the two categories of staff are no longer reported, so they only extend to 2013. Again, there is mostly agreement between my numbers (covering 2011-2017) and the Factbook numbers (2007-2013) where they overlap, except for one year of assistant professor numbers.

Some observations from these data sets:

  • As one would expect from the dollar values shown in the first graph, our percent rank dropped at all faculty ranks.
  • Instructors, who were nearly at the Category IIB median in 2011, showed the greatest decline in percentile, although not the lowest overall percentile.
  • Associate professors hit bottom the hardest, reaching a low-water mark of 13th percentile in 2016-17. For reference, here are the five schools on either side of us on a ranked list of IIB associate professor salaries that year:
    • Saint Joseph’s College
      Baker University
      College of Southern Nevada
      Lewis-Clark State College
      Bethel College
      Guilford College
      University of Montana-Western
      Huntington University
      Dakota Wesleyan University
      Milligan College
      Ouachita Baptist University
  • Staff percentiles were nearly always higher than faculty percentiles when reported. This is likely due to several factors, such as (1) stronger market pressure for hiring new staff closer to peer salaries, (2) much higher rates of turnover, such that staff positions reset to market more frequently than faculty positions, because faculty tend to be much less mobile, especially following tenure.
  • Even with these structural factors, it seems likely that institutional leadership, budgeting, prioritization, and decision-making played a role in the growing disparity between the groups. My guess is that the percentiles for staff declined with faculty, but that they stayed stronger for the staff groups than faculty groups during the lean years. We lost more staff members than faculty due to layoffs during this time, but the reported salary numbers are an average that shouldn’t change with group size alone. I can’t think of a compelling reason why the average staff salaries and their percentiles would decline much even with the layoffs, as the layoffs were not focused among highly paid indiviuals.
  • Again, the raises in January 2017 provided a significant boost to faculty, but not enough to erase the previous eight years of wage stagnation and decline.
  • There were raises in August 2018 also, but those raises were small, not much more than inflation, and my guess is they would lead us to lose ground to our Category IIB peers during the 2018-19 year, as they likely grew more than we did. It will be interesting to see the 2018-19 numbers to see how it plays out.

One caveat – there was a very significant number of retirements (and, sadly, deaths) among senior faculty in the 2016-17 academic year – without looking it up, I think it was 8-10 people. By itself, that would likely be big enough to affect the average numbers for Guilford full professors, as would any year with a hiring freeze for assistant professors, but without specific numbers I can’t determine the magnitude. Obviously transitions and promotions at other ranks would have an impact as well.

Faculty salaries at the Board of Trustees

October 8th, 2016

Ione Taylor, chair of the Academic Affairs committee of the Board of Trustees, just noted to the full board in their public meeting the need for improving faculty salaries to match our peers and competitors. She referred to this as ‘deferred people maintenance,’ naming it as a need equivalent to the deferred maintenance of our buildings and physical resources.

This represents a change in focus and in role compared to past Academic Affairs reports, and gains us a level of advocacy on the board that I have not previously seen. Ione is not alone in this. The other members of Academic Affairs have also made very encouraging statements.

The Moon Room

A Community Forum on Guilford College Faculty Life