Sense of the University of Nevada, Reno Faculty Senate Regarding Pay Cuts for Faculty and Staff

May 8, 2009

The Nevada State Legislature is currently proposing that pay cuts for state employees be part of budget reductions for the 2009-2011 Biennium. On May 6, 2009, the Faculty Senate of the University of Nevada, Reno passed the following three resolutions regarding the sense of the senate, should there be a mandate to cut wages and salaries due to budgetary constraints.

1. While some have suggested that all employees be subject to a uniform policy for symbolic or historical reasons, it is the strong sense of this senate that any portion of faculty salary and benefits from non-state funded sources should be immune from reductions to state-funded salaries. Faculty and staff who are funded entirely from sources other than state funds, such as grant-funded researchers, should be exempt from reductions in pay if they are able to maintain current or projected salaries using such funds. We believe that it hurts the university and the state if we turn away income that costs Nevada taxpayers nothing. We also believe that any policy that reduces the incentive for seeking extramural funding is antithetical to the long-run goals of the university.

2. Next, it is the sense of this senate that reductions in full-time equivalency (FTE) or other similar approaches are strongly preferred to reductions in the base rate of pay. Reducing FTE makes it easier for some faculty to make up lost income through other sources such as grants and contracts, it ties pay to performance expectations, and it allows incomes to be more quickly restored once revenues recover.

3. Finally, it is the sense of this senate that the Legislature and the Nevada System of Higher Education should allow the university to determine how funds are cut, and if wages and salaries must be cut then the university should be allowed to reduce average pay, rather than requiring uniform reductions across the board. Such flexibility should strive both to protect lower-salaried faculty and staff and to serve the long-run goals of the university.