Raises for UC execs on hold

A controversial proposal to boost top executive pay by 13 percent to 17 percent was yanked from the agenda Wednesday by a committee of the University of California regents, who said they endorse the salary hikes in principle but need more time for analysis.

The salary proposal, which has yet to be discussed in public, would provide pay raises of 33 percent over four years, with the aim of bringing the 10 chancellors' pay up to what regents say is the "market" level paid by similar institutions.

The regents' compensation committee, meeting in Los Angeles on Wednesday, postponed the matter to January. Meanwhile, the committee recommended that the full Board of Regents give the 10 chancellors the same 5 percent raise this year that all other senior managers are getting.

Critics of the proposed 33 percent hike contend the regents decided to duck the matter because political opposition is too hot at the moment.

"We caught them trying to sneak it through," said an incensed Leland Yee, a state senator who authored a new law requiring the UC governing board to discuss such business in public. It takes effect Jan. 1.

"They'll wait a little, hoping we've expended our energy," said the San Francisco Democrat. "But the workers, the faculty, the students and the lawmakers are upset and we won't let them get away with it."

Regent Judith L. Hopkinson, a former executive of Ameriquest Capital Corp., said Wednesday that the compensation committee simply needs more information.

"The committee felt that additional analysis and information is required before this comes to the regents, and therefore postponed action on this item until this additional information can be presented," said Hopkinson, who was filling in for the committee's chairwoman, Monica Lozano.

"But it's important to note," Hopkinson continued, "that the regents have also expressed their strong support and commitment to address competitive pay for the chancellors."

She said that the chancellors, who head the University of California system's 10 campuses, are paid 33 percent below comparable universities on average – "which is unfair to them and creates significant challenges in recruitment."

The now-postponed agenda item called for eliminating the lag within four years by giving chancellors pay hikes totaling $3 million.

For UC Berkeley Chancellor Robert Birgenau, a 33 percent increase would boost his current $416,000 annual salary to $553,280. For UC Davis Chancellor Larry Vanderhoef, the increase would raise his $300,000 annual salary to $399,000.

"We owe our chancellors a great debt of gratitude," said Hopkinson. "Their jobs are extremely complicated and require a dedication to the University of California that is beyond any reasonable expectation."

UC President Robert Dynes, whose office issued the pay hike proposal, has argued that the higher salaries are necessary to recruit new chancellors and to keep them once they are on the job.

At least one regent scoffs at that notion: Lt. Gov. John Garamendi, who serves on the board and is an outspoken foe of executive pay increases when student fees are rising and the state is facing a budget crisis.

"I think this is very bad timing, and inappropriate," Garamendi said Wednesday. "They talk about having trouble recruiting, but three of the 10 chancellors have just been hired. At Santa Cruz, UCLA and Merced. Apparently these new folks were willing to take the salary that was offered."

That point was not lost on William Schlitz, a representative of 21,000 UC workers who are members of the American Federation of State, County and Municipal Employees, including nurses, custodians and food service workers.

"It kills me when they talk about recruitment," Schlitz said. "What vacancies do they have among the chancellors? They're talking about 33 percent increases for chancellors when they can't keep their nurses and or fully staff their hospitals.

"The chancellors are looking at raises ranging from $30,000 to $60,000 – that's more than some of my members make for a full year's worth of work. That's mind-blowing."

Although the 10 chancellors will have to wait at least until January for further raises, the compensation committee did recommend substantial increases Wednesday for two top UC executives in the president's office.

If the full Board of Regents approves those recommendations today, Provost Wyatt Hume will get a 17.2 percent raise, bringing his salary to $425,000 a year. Anne Broome, vice president for financial management, will receive a 17.3 percent increase, for a salary of $305,000.

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