6 percent pay bump for UW employees proposed

Citing a need to better compete for talent, especially top faculty, University of Wisconsin System President Ray Cross announced Monday he would seek a pay plan giving 3 percent raises to all UW System employees each of the next two fiscal years, starting July 1.

In five of the last eight fiscal years, UW System employees have received no pay plan increases, with increases averaging less than 1 percent between June 2011 and July 2019, according to a news release issued in advance of the UW Board of Regents meeting Thursday and Friday at UW-La Crosse.

Pay plan increases have trailed inflation and benchmark competitors during this period, according to the news release. At the same time, employees have faced higher health insurance costs. “As labor markets tighten, salaries rise, and inflation increases, reinvesting in UW faculty and staff with modest wage increases will ensure we are not falling behind and losing out on talent we need in Wisconsin,” Cross said in prepared remarks.

Cross said many UW employees are paid considerably below market rates, and that the UW must meet competitive pressures.

Faculty salaries, in particular, lag behind peers, Cross said.

The proposal, coming after six years of tuition freezes, calls for full state funding of the general wage increase. Typically, the state provides about 70 percent of the UW System pay increase, and the rest is funded by tuition.

“A fully funded increase will protect our educational investments that students rely upon,” Cross said.

Cross’ proposal will be considered by the Board of Regents on Thursday.

If approved, the proposal would be sent to the Administrator of the Division of Personnel Management, who would then submit a proposal on UW System employee pay to the Legislature’s Joint Committee on Employee Relations.