WFSU News Team
Tue July 5, 2011
FSU raises salaries to cushion pension payments
By Lynn Hatter
Tallahassee, FL – Florida State University President Dr. Eric Barron is proposing a three-percent salary increase for university employees. Lynn Hatter reports, the increase will partially offset the state-mandated three percent employees pay into their retirement starting on the first. But Barron says the increase make good on a promise he made last year.
Barron is also looking to give bonuses between 500 and two-thousand dollars to some employees. The university's 31-million dollar deficit would be reduced by cutting administrative costs and not people, leaving the school with a deficit of between 7 and 10 million dollars at the end of the 2012 fiscal year. That will require the university to dip into its savings. But Barron says there's no doubt in his mind that the pay increases are worth it.
"My believe is that if we can stabilize our budget and not sustain any more cuts from the state, then we can reach a point where we're starting to invest in innovation and making sure that other university's don't come in and take our talent."
Florida State has lost more than 104-million dollars in the last four years.