Eastern Michigan University unions reject President Susan Martin's call to forgo raises

Union representatives told Martin that asking union members to give back their raises was unacceptable, Moeller said in the release. “It’s unfortunate that President Martin has unnecessarily threatened employees, causing worry and anxiety among all the bargained for EMU employees.”

Martin last week said the university plans to make cuts to both the athletic department and administration. The university has said that it will likely need to cut 70 positions and lay off 50 people.

“We understand that this is a difficult time and that these issues present challenges to many of our faculty and staff,” EMU Vice President for Communications Walter Kraft said Thursday.

The press release said unions have already made “tremendous sacrifices” by shouldering more of the cost of their health insurance. In a phone interview, Moeller said the raises workers received in 2010 did not cover the increased insurance costs.

The release cited several examples of what it called “bloated administrative costs”:

• A raise of $30,000 for EMU’s police chief, bringing his salary to $169,000. Moeller said that raise alone would cover what the administration is asking the police union to give back in pay raises.
• The hiring of a health care consultant for $100,000.
• The recent hiring of a new basketball coach before the current coach's contract was up. The release said this hire incurred additional costs of between $300,000 and $500,000.

Kraft reiterated today that administrative costs would be cut.

“Administration and administrative areas are a definite focus of the restructuring that is taking place,” he said.

He also noted that non-bargaining employees will not get raises next year, as announced in April.

The release also criticized the university for “the cost of EMU’s excessively subsidized athletic program that is currently supported (to the tune of $16 million per year) from student fees and the General Fund.”

Kraft said athletics is among areas being targeted for cuts.

“The budget process we are undertaking is rigorous and we are looking at all areas, including the Athletic Department,” he said.

The state plans to cut university appropriations for next year by 15 percent. In EMU’s case, that translates to $11.4 million. EMU also projects a $12 million increase in expenses, leaving a $23 million to $24 million budget hole.

Moeller has challenged those numbers, saying the university inflates expenses and underestimates revenue.

The general fund budget for the current fiscal year is $280.9 million. The Eastern Michigan University Board of Regents is expected to approve the budget and tuition for next school year at its June 21 meeting.

EMU kept tuition, fees and housing rates flat for this school year, but expects to have a tuition increase for next year. EMU freshmen living on campus this year paid about $8,000 per semester for tuition, fees and housing.

EMU needs to keep any tuition increase under 7.1 percent or a provision in the budget appropriation allows the state to impose additional cuts beyond the 15 percent the university already must accept.

Besides Moeller, president of the faculty union, representatives of EMU’s clerical union, professional technical union, lecturers union and police officers association attended the meeting with Martin on Tuesday.