Rising Student Debt Linked to Higher-Paid University Presidents
A new report published by the Institute for Policy Studies (IPS) finds student debt is rising faster at state universities with the highest-paid presidents.
In addition, these schools have higher numbers of low-wage adjunct faculty labor – meaning part-time and contingent instructors.
The report, titled “The One Percent at State U,” is the result of a study looking at the 25 public universities with the highest executive pay when compared to the nationwide four-year university average.
It examined statistics from 2006 through 2012 and found a disproportionate compensation structure for executives at the top 25 schools.
Points of interest:
• The sharpest rise in student debt levels occurred in schools where executive compensation rose the fastest.
• At state schools with the highest-paid presidents, administrative spending outpaced scholarship spending by more than two to one.
• Part-time adjunct faculty grew 22 percent faster at schools with the highest-paid presidents when compared to the national average (adjunct faculty costs the university far less).
• Executive pay at the top 25 schools increased more than twice as fast as the national average to nearly $1 million on average.
Where does your alma mater’s president rank?
|Rank||Institution||Total Compensation Awarded to Top Executive of Main Campus
FY 06 — FY 12
|Average Yearly Total Compensation in 2012 dollars
FY 06 — FY 12
|1||Ohio State University||$10,223,733||$1,533,286|
|2||Pennsylvania State University||$7,658,372||$1,134,067|
|3||University of Delaware*||$7,083,950||$1,089,663|
|5||University of Virginia||$5,774,436||$873,488|
|6||University of Michigan||$5,659,043||$858,333|
|7||George Mason University**||$5,636,489||$844,265|
|8||University of Washington||$5,404,009||$821,315|
|10||University of Texas||$4,733,280||$716,644|
|11||University of Central Florida**||$4,712,161||$714,369|
|12||University of Minnesota||$4,425,889||$669,874|
|13||Arizona State University||$4,382,001||$664,503|
|14||University of Florida||$4,327,277||$656,238|
|16||Washington state University||$4,301,950||$652,655|
|18||University of Kentucky||$4,284,203||$647,349|
|19||University of Houston||$4,273,040||$648,216|
|20||Georgia State University||$4,199,291||$641,036|
|22||Georgia Institute of Technology||$4,116,997||$625,918|
|23||University of Georgia||$4,088,151||$620,958|
|24||University of Connecticut||$3,925,372||$595,586|
|25||Florida State University||$3,694,233||$561,876|
According to The Institute for College Access and Success (TICAS), student loan debt reached $1.2 trillion in 2012, overtaking total credit card debt for the first time in history.
And with part-time adjunct faculty at universities making an average annual wage of just more than $22,000 per year, we know the increasing costs aren’t going to them.
So one has to ask — are university professors worth the salaries they receive?
*FY 2009 compensation was unreported. Total compensation for FY 06 – FY 12 reflects an FY 09 estimate based on the yearly average of total compensation reported for Patrick Harker in FY 08, FY 10, FY 11, and FY 12.
**FY 2006 compensation was unreported. Total compensation for FY 06 — FY 12 reflects an FY 06 estimate based on average of 23 other top 25 compensation figures for FY 06. Given subsequent year totals at this institution, the FY 06 — FY 12 total is likely an underestimate.
Photo credits: Flickr/Backbone Campaign; credit.com