What Budget Crisis?

The Detroit Free Press published a report on the sizable administrative growth at Michigan public universities over the last 5 years (link here).  Hard to believe that these institutions increased administrative costs 30% while faculty pay saw a 22% increase.  Meanwhile the state is faced with a terrible financial crisis and the universities have been pleading poverty to try and stave off budget cuts.

I don’t want to suggest that there is no justification for increased hiring and salaries.  However, with the lack of controls and business processes in place to measure effective hiring decisions, not to mention tracking employee value and contributions, I do believe that these numbers are excessive.  Universities should be streamlining their their focus as a result of the budget crisis not adding to the administrative/faculty bloat.

One other interesting point, with state funding going down universities will need to find the resources to fund these increases.  Hiking tuition rates anyone?

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