Overall Rating Gold - expired
Overall Score 70.07
Liaison Andrew Horning
Submission Date June 30, 2015
Executive Letter Download

STARS v2.0

University of Michigan
PA-9: Employee Compensation

Status Score Responsible Party
Complete 3.00 / 3.00 Donald Scavia
Director
Graham Environmental Sustainability Institute
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Number of employees:
42,100

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Number of staff and faculty covered by sustainable compensation standards, guidelines, or policies; and/or collective bargaining agreements:
42,100

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Does the institution have employees of contractors working on-site as part of regular and ongoing campus operations?:
No

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Number of employees of contractors working on campus:
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Number of employees of contractors covered by sustainable compensation standards, guidelines, or policies and/or collective bargaining agreements:
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A brief description of the sustainable compensation standards, guidelines, or policies; and/or collective bargaining agreements covering staff, faculty and/or employees of contractors:
We set pay in consideration of similar educational, research, and service organizations and recruiting markets while also within the University’s resources. We recognize market pressures in designing pay practices. Both internal and external competition are recognized factors. As part of the University-wide Career Family Classification System units may develop pay ranges that support their compensation philosophy using labor market referenced data available. The University expects units to ensure that all regular staff are paid at or above the minimum full-time rate of $22,320 per year or $10.73 per hour.

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Does the institution wish to pursue Part 2 of this credit (assessing employee compensation)?:
Yes

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Number of staff and faculty that receive sustainable compensation:
42,100

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Number of employees of contractors that receive sustainable compensation:
0

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A brief description of the standard(s) against which compensation was assessed:
The Compensation and Classification Office is responsible for developing compensation programs, policies, and approaches that meet the unique needs of our academic and business units. They facilitate the organization's leadership in developing and/or revising compensation philosophies; conduct labor market trends and analysis; deliver decision support research, analysis, data, tools and structures related to compensation and classification; develop the organization's competency in compensation and classification related matters; audit for legal, fair and equitable compensation practices; and maintain the University's classification structures. As part of the University-wide Career Family Classification System units may develop pay ranges that support their compensation philosophy using labor market referenced data available. The Federal minimum wage is $7.25 per hour for covered non-exempt employees. The Fair Labor Standards Act (FLSA) establishes the minimum wage, overtime pay, recordkeeping and child labor standards affecting workers in the private sector and in Federal, State and local governments. Where state law requires a higher minimum wage rate, the higher standard applies. Currently the state of Michigan established minimum wage rate is $8.15 per hour. Temporary employees are paid in accordance with this number as shown below. The University expects units to ensure that all regular staff are paid at or above the minimum full-time rate of $22,320 per year or $10.73 per hour. There are 42,100 regular staff members. The University uses the City of Ann Arbor living wage to establish our minimum salaries. University compensation specialists prepare market based salary and wage rates and post those annually for units to use. University of Michigan employee salaries are a matter of public record and are posted annually.
+ Date Revised: Aug. 31, 2015

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A brief description of the compensation (wages and benefits) provided to the institution’s lowest paid regular, full-time employees:
The University expects units to ensure that all regular staff are paid at or above the minimum full-time rate of $22,320 per year or $10.73 per hour.

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A brief description of the compensation (wages and benefits) provided to the institution’s lowest paid regular, part-time employees:
The University expects units to ensure that all regular staff are paid at or above the minimum full-time rate of $22,320 per year or $10.73 per hour. The same principal from part applies to part-time regular employees.

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A brief description of the compensation (wages and benefits) provided to the institution’s lowest paid temporary (non-regular) staff:
Temporary employees must be paid at or above $8.15 per hour.

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A brief description of the compensation (wages and benefits) provided to the institution’s lowest paid temporary (non-regular, adjunct or contingent) faculty:
Effective September 1, 2014, the minimum full time salary rate for Lecturers I/II is $34,000 and for Lecturers III/IV is $36,000.

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A brief description of the compensation (wages and benefits) provided to the institution’s lowest paid student employees (graduate and/or undergraduate, as applicable):
Effective September 1, 2014, the minimum full-time equivalent (FTE) salary rate for four (4) calendar months for Graduate Student Instructors (GSI’s) and Graduate Student Staff Assistants (GSSA’s) on the Ann Arbor and Dearborn campuses will be $18,971.

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The local legal minimum hourly wage for regular employees:
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Does the institution have an on-site child care facility, partner with a local facility, and/or provide subsidies or financial support to help meet the child care needs of faculty and staff?:
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Does the institution offer a socially responsible investment option for retirement plans?:
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The website URL where information about the institution’s sustainable compensation policies and practices is available:
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Data source(s) and notes about the submission:
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The information presented here is self-reported. While AASHE staff review portions of all STARS reports and institutions are welcome to seek additional forms of review, the data in STARS reports are not verified by AASHE. If you believe any of this information is erroneous or inconsistent with credit criteria, please review the process for inquiring about the information reported by an institution or simply email your inquiry to stars@aashe.org.