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Salary Study Update Issue


UMPSA ADVOCATE
Special Issue.............UMPSA/MEA/NEA..............May, 1998

The Salary Study Project has been completed and the Final Report from the joint Salary Study Oversight Committee will be issued shortly. Because the full report will not be distributed to everyone, the UMPSA Executive Board and the UMPSA members of the Salary Study Oversight Committee wish to provide unit members with an overview and update. Copies of the full report will be available at all campus libraries and campus Human Resource or Personnel offices.

A History of the Professional Salary Equity Issue

1985-1987: A joint UMS/UMPSA committee conducted an internal review of professional salaries. The committee issued a report in June 1987 citing questions raised by the study and the need for a more comprehensive study.

1987-1988: The firm of Hubbard and Revo-Cohen, Inc. conducted a study to determine the implicit compensation practices in effect within the University System. They issued a report in September 1988 indicating that salaries for professional positions were based more on education, experience, and longevity and less on job content than was expected or desired. There also appeared to be unexplained gender differences in salaries. This study clearly demonstrated the need for a salary system based more on job content and not at all on gender. Both sides agreed that a just compensation system should result in salaries that are equitable within the University System, incorporate market factors, and reflect no gender bias.

1990-1996: As per the 1990 UMS/UMPSA contract, the joint committee selected a compensation consultant (The Wyatt Company) and proceeded to design a salary system based on Wyatt’s software program WYCOMP. Questionnaires were

   

designed, refined, issued, and collected. Data was entered into WYCOMP, evaluated, and cleaned. Market data was collected. A mathematical model was built (using numerical methods) and incorporated into WYCOMP. A salary structure was designed to determine a salary range for a range of "predicted grades" output by WYCOMP. The committee also crafted a set of administrative guidelines for the salary system detailing the procedures to be used to set individual salaries. The joint committee issued a report in February 1996 for review and validation by the University community.

1996-1998: As per the 1995 and 1997 UMS/UMPSA agreements, a team of evaluators was hired to perform the "fixed-cost" portion of the committee report. They were charged to gather current job data and current market data, evaluate professional positions, thoroughly test the WYCOMP software, and produce an up-to-date database of professional jobs in addition to a report detailing their observations, methodologies, and results. Another joint UMS/UMPSA committee oversaw this project.

Salary Study Project Results

The project results showed that the WYCOMP software was not doing as good a job of predicting the market value of positions in today’s job market expected or desired. The problem seems to be based on a rapidly changing job market and a fixed numerical model built into the WYCOMP software. Attempts were made to update the existing WYCOMP model or to develop an entirely new model using multiple linear regression and neural network techniques. The results were not encouraging. (The best case produced an R2 in the 0.5-0.6 range, with residuals ranging from minus $6,000 to plus $7,000.) In other words, a program that was able to use questionnaire data to predict a "reasonable" salary for most jobs in 1990 is no longer able to predict a "reasonable" salary in today’s job market. Fixing the software does not appear to be a viable option.

The result is a report to be issued before the end of May detailing the inability of the WYCOMP software to keep up with the volatile job market and to accommodate the extensive changes

in professional positions within the University System over the last eight years. The approach was appropriate, the methodology was valid, and a lot of time, money, and energy were expended, but the WYCOMP software did not deliver the results the Committee expected or hoped for.

Some of the problem can be traced to the excessive length of the project brought about in part by the economic crisis that surfaced shortly after the election in November 1990 and started to affect the University in December. Committee members were laid off or left the University and/or the committee over this period as well. The remaining committee members, like all professionals who weathered this period, had more work to do and less time available to put into this project. The Legislature would not consider funding the salary increases necessary to correct inequities during this time period. All of these factors resulted in delays contributing to the current problem.

THE FUTURE

We now know that the WYCOMP software is not the answer. We also know that the time and effort put into this project have not been wasted. We have a set of administrative guidelines. We learned a great deal about the makeup of the unit and now have recent information about almost 600 unit positions including job descriptions. We also have market data on over 100 benchmark positions that can be used to analyze the state of unit salaries. The problem, however, has not magically The problem, however, has not magically disappeared. Inequities still exist. Many employee raises have been put off because "the salary study will correct the problem." This excuse has been used to keep professional salaries artificially low for over 10 years. The WYCOMP approach has not directly resulted in a system that can be implemented. Another way must be found to establish fair and equitable salaries in the professional unit and correct these long-standing problems.

NEXT STEPS

There is hope for change. The economic climate is brighter now than at any time in the last decade. A strong case can be made that inequities still exist within the University system and must be corrected to head off potential legal action or human rights complaints. Classified employees had an 8-year study in the 1980s resulting in salary adjustments funded by the Legislature; Faculty salaries have increased twice over the last 10 years over and above the negotiated across-the-board increases while professional salaries have stagnated. This problem was initially identified way back in 1985 and other than the salary study, there has been no organized effort to correct it since. We have expended huge amounts of time and effort (not to mention over $200,000) over the last 13 years to try to address this issue. Now is the time to fix the problem once and for all.

Suggestions for an action plan include the following:

  • Analyze the salary study project results for patterns of inequity.
  • Document grievances filed on equity grounds over the past decade.
 
  • Gather information and document existing and potential salary equity problems.
  • Begin negotiations with the University System over the implementation of fair and equitable salary setting policies, procedures, and guidelines. (The original administrative guidelines developed by the study might be a good basis for initial discussions.)
  • Prepare a fact sheet and other materials to be used to educate legislators and the general public about the problem and gain support for additional funding for professional salaries.
  • Consult with a compensation professional who has been working with the MEA and the technical college units recently (and who submitted one of the original proposals to the committee in 1990) about possible strategies.
  • You can help in this effort. Please contact an UMPSA representative if you have knowledge of any existing or potential salary inequity. We must document examples of salary discrimination to support our case. If you know or even suspect a salary inequity situation or simply wish to make suggestions, contact:

    Rolf Tallberg
    MEA UniServ Director
    1-888-942-2907 Extension 106
    rtallberg@nea.org
    Bruce Littlefield
    Chief Negotiator
    581-2238
    brucel@eece.maine.edu
    Mike Morin
    UMPSA President
    581-4371
    mmorin@umerl.maine.edu

    OTHER ASSOCIATION NEWS

    The UMPSA Executive Board has scheduled meetings at the end of May and again in June to discuss strategy and tactics to be used to continue the fight for fair and equitable salaries for Professionals. On other fronts, the Executive board has already voted to take the University to arbitration over the University’s unilateral language changes to the current Agreement after it was ratified.      We are also monitoring additional typographic(?) errors the University made in the printed version of the contract they recently distributed to unit members. A letter has been sent to David Lane pointing out some specific discrepancies and requesting that an addendum be sent to unit members with corrections. We are also pursuing a number of grievances to possible arbitration.
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