April 11, 2018 MEMORANDUM TO: Chancellor Rebecca Blank Provost Sarah C. Mangelsdorf Vice Chancellor Laurent Heller Vice Chancellor Charles Hoslet Interim Vice Chancellor Norman Drinkwater FROM: Allison La Tarte, Academic Planning and Institutional Research SUBJECT: Faculty Salary Peer Comparison for 2017-18 In 2017-18, UW-Madison average salaries remained ranked 12th among our official salary peers for full professors, dropped from 6th to 7th place for associate professors, and rose from 11th to 9th for assistant professors. Compared to all AAU public institutions, UW-Madison full professor average salaries rank 28th out of 34 institutions. The comparisons come from the Association of American University Professors (AAUP) Faculty Salary Survey for 2017-18. Salaries reported to AAUP are affected by several factors, including: faculty turnover and promotions, individual salary adjustments for promotion, competitive market, or equity; and institutions’ announced annual increases. Inside Higher Ed has implemented a useful online interface to the 2017-18 faculty salary data, available at https://www.insidehighered.com/aaup-compensation-survey. The increase to faculty salary payroll needed to place UW-Madison faculty at the peer group median stands at 8.4 percent, which would be approximately $21.7 M based on current average salaries and number of faculty at each rank. While the average salary for UW-Madison associate professors has remained similar to the median average salaries of official salary peers, the average salaries for assistant and full professors continue to lag behind. The comparisons in this memorandum do not include any adjustments for geographical differences in the cost of living, and may differ somewhat from the information presented by UW System, which do include such adjustments. Please contact Allison La Tarte (allison.latarte@wisc.edu or 890-4701) or Jocelyn Milner (jocelyn.milner@wisc.edu or 263-5658) with any questions about these peer comparisons. c: Jocelyn Milner, Vice Provost of Academic Affairs Michael Bernard-Donals, Vice Provost for Faculty and Staff Wayne Guthrie, Associate Vice Chancellor, Office of Human Resources Steven Smith, Secretary of the Faculty John Lucas, Executive Director, University Communications Eden Inoway-Ronnie, Chief of Staff, Provost’s Office Matt Mayrl, Chief of Staff, Chancellor’s Office Scott Hildebrand, Special Assistant, Office of the Vice Chancellor for Finance and Administration Tim Norris, Associate Vice Chancellor, Office of the Vice Chancellor for Finance and Administration Mark Walters, Director, Office of Human Resources Anja Wanner, Chair of the University Committee Margaret Harrigan, Distinguished Policy and Planning Analyst, Academic Planning and Institutional Research Allison La Tarte ▪ Senior Policy and Planning Analyst ▪ Academic Planning and Institutional Research  University of Wisconsin‐Madison ▪ 170 Bascom Hall, 500 Lincoln Drive ▪ Madison, WI 53706  608‐890‐4701 ▪ allison.latarte@wisc.edu ▪ apir.wisc.edu  2017-18 Average Faculty Salaries by Professorial Rank UW-Madison's Official Faculty Salary Peer Group Full Professor Associate Professor Assistant Professor University Average Salary Rank Average Salary Rank Average Salary University of California-Los Angeles 204,017 1 133,723 1 University of California-Berkeley 191,177 2 131,487 2 University of Michigan-Ann Arbor 170,226 3 113,181 University of Texas-Austin 165,580 4 Michigan State University 154,629 University of Illinois-Urbana 150,478 Ohio State University Percent Change from 2016-17 Assoc Prof Assist Prof 4.6% 3.7% 4.6% 3.3% 6.3% 1.0% 6 1.2% 1.6% 2.8% 101,531 4 3.2% 3.8% 2.7% 8 82,616 12 3.0% 2.3% 3.7% 6 95,530 7 1.9% 4.8% 3.6% 101,286 9 89,445 10 0.3% 1.5% 2.4% 8 110,084 4 101,893 3 4.9% 6.0% 2.9% 143,422 9 100,540 11 88,992 11 1.0% 1.2% 1.6% 142,408 10 101,248 10 89,673 8 2.7% 3.4% 1.8% Indiana University-Bloomington 142,184 11 97,286 12 99,948 5 1.5% 1.6% 3.8% University of Wisconsin-Madison 136,243 12 102,110 7 89,466 9 2.7% 1.1% 2.6% Peer Group Median (w/o UW-Madison) 150,478 104,242 95,678 10.4% 2.1% 6.9% Rank Full Prof 106,042 2 110,984 1 3 95,678 107,566 5 5 101,904 6 104,242 149,982 7 University of Washington-Seattle 144,847 University of Minnesota-Twin Cities Purdue University Percent Increase Needed to Reach Median Notes: Based on the annual AAUP Faculty Salary Survey. Faculty on 12-month appointments are included, but their salaries have been converted to 9-month rates. Medical schools are excluded. UW-Madison’s peer group for purposes of salary comparisons was established by The Governor’s Commission on Faculty Compensation in 1984. The peer universities include the University of California-Berkeley, University of California-Los Angeles, University of Michigan, Ohio State University, University of Texas-Austin, University of Illinois, Purdue University, Indiana University, University of Minnesota, Michigan State University, and the University of Washington-Seattle. Salaries reported to AAUP are affected by several factors, including faculty turnover and promotions, salary adjustments for promotions, competitive market adjustments, and equity adjustments, in addition to any announced annual increases Academic Planning and Institutional Research, Office of the Provost, UW‐Madison, arl, 4/11/2018  2    Average Faculty Salary Rank among Official Salary Peers by Faculty Rank Full  Professor  FY 09  UCLA  Berk  MI  TX  IL  MN  OSU  MSU  WA  IU  Purdue  WI     Associate  Professor   FY 09  Berk  MI  UCLA  WA  MN  MSU  TX  WI  OSU  IL  IU  Purdue     Assistant  Professor  FY 09  TX  MI  Berk  UCLA  WA  IL  OSU  MN  WI  Purdue  IU  MSU      FY 10  UCLA  Berk  MI  TX  IL  OSU  MSU  MN  WA  IU  Purdue  WI          FY 11  UCLA  Berk  MI  TX  IL  OSU  MSU  MN  Purdue  IU  WA  WI        FY 10  Berk  MI  UCLA  WA  MSU  WI  OSU  MN  TX  IL  IU  Purdue           FY 11  Berk  UCLA  MI  TX  OSU  WI  MSU  WA  MN  Purdue  IL  IU        FY 10  Berk  MI  TX  UCLA  OSU  WA  IL  MN  WI  Purdue  IU  MSU    FY 12  UCLA  Berk  MI  TX  IL  OSU  MSU  IU  MN  Purdue  WA  WI        FY 12  UCLA  Berk  MI  TX  OSU  MSU  WA  WI  Purdue  IU  IL  MN        FY 11  Berk  MI  UCLA  TX  IL  OSU  MN  WA  Purdue  WI  IU  MSU  FY 13  UCLA  Berk  MI  TX  IL  OSU  MN  IU  MSU  Purdue  WA  WI     FY 13  UCLA  Berk  MI  TX  OSU  WI  IL  MSU  Purdue  WA  IU  MN        FY 12  Berk  UCLA  MI  TX  IL  OSU  WA  MN  Purdue  IU  WI  MSU  FY 13  Berk  MI  UCLA  IL  TX  OSU  WA  MN  IU  Purdue  WI  MSU        FY 14  UCLA  Berk  MI  TX  IL  OSU  MN  MSU  IU  Purdue  WA  WI     FY 15  UCLA  Berk  MI  IL  TX  OSU  MSU  MN  IU  WA  Purdue  WI     FY 16  UCLA  Berk  MI  TX  IL  OSU  MSU  IU  MN  Purdue  WA  WI     FY 17  UCLA  Berk  MI  IL  TX  OSU  MSU  MN  IU  WA  Purdue  WI    FY 18  UCLA  Berk  MI  TX  MSU  IL  OSU  WA  MN  Purdue  IU  WI                 FY 14  UCLA  Berk  MI  IL  TX  OSU  WI  MSU  MN  Purdue  IU  WA     FY 15  UCLA  Berk  MI  IL  WA  TX  OSU  WI  MSU  MN  Purdue  IU     FY 16  UCLA  Berk  MI  WA  TX  WI  IL  OSU  MSU  MN  Purdue  IU     FY 17  UCLA  Berk  MI  WA  TX  WI  OSU  MSU  IL  MN  Purdue  IU    FY 18  UCLA  Berk  MI  WA  TX  IL  WI  MSU  OSU  Purdue  MN  IU                 FY 14  Berk  UCLA  IL  MI  TX  OSU  WA  IU  MN  WI  Purdue  MSU  FY 15  Berk  UCLA  WA  IL  MI  TX  IU  OSU  WI  MN  Purdue  MSU  FY 16  Berk  WA  UCLA  TX  MI  IU  IL  OSU  MN  WI  Purdue  MSU  FY 17  Berk  UCLA  WA  TX  IU  MI  IL  Purdue  MN  OSU  WI  MSU  FY 18  Berk  UCLA  WA  TX  IU  MI  IL  Purdue  WI  OSU  MN  MSU  Notes: Based on the annual AAUP Faculty Salary Survey. Faculty on 12-month appointments are included, but their salaries have been converted to 9-month rates. Medical schools are excluded. UW-Madison’s peer group for purposes of salary comparisons was established by The Governor’s Commission on Faculty Compensation in 1984. The peer universities include the University of California-Berkeley, University of California-Los Angeles, University of Michigan, Ohio State University, University of Texas-Austin, University of Illinois, Purdue University, Indiana University, University of Minnesota, Michigan State University, and the University of Washington-Seattle. The average salaries reported to AAUP are affected by several factors, including faculty turnover and promotions, salary adjustments for promotions, competitive market adjustments, and equity adjustments, in addition to the announced annual increases. Academic Planning and Institutional Research, Office of the Provost, UW‐Madison, arl, 4/11/2018  3    Trend in Average Faculty Salary by Rank UW-Madison’s Official Faculty Salary Peer Group1 Assistant Professor Average Salary $100,000 $90,000 $80,000 $70,000 $60,000 Associate Professor Average Salary $110,000 $100,000 $90,000 $80,000 $70,000 $60,000 Full Professor Average Salary $160,000 $140,000 $120,000 $100,000 $80,000 Peer Group Median UW‐Madison   Notes: Based on the annual AAUP Faculty Salary Survey. Faculty on 12-month appointments are included, but their salaries have been converted to 9-month rates. Medical schools are excluded. UW-Madison’s peer group for purposes of salary comparisons was established by The Governor’s Commission on Faculty Compensation in 1984. The peer universities include the University of California-Berkeley, University of California-Los Angeles, University of Michigan, Ohio State University, University of Texas-Austin, University of Illinois, Purdue University, Indiana University, University of Minnesota, Michigan State University, and the University of Washington-Seattle. The average salaries reported to the AAUP are affected by several factors, including faculty turnover and promotions, salary adjustments for promotions, competitive market adjustments, and equity adjustments, in addition to the announced annual increases. 1 Peer Group Median excludes UW-Madison. Academic Planning and Institutional Research, Office of the Provost, UW‐Madison, arl, 4/11/2018  4    UW-Madison Faculty Salary Deficit Percent Payroll Increase Needed to Bring Faculty Salaries to Peer Group Medians1 -5 UW‐Madison Pay Tools2  0 -0.5 0.4 1.7 2.7 2.8 4 4.2 4.4 4.7 5.8 6 6 6.1 6.9 8.8 7.5 7.2 7.4 7.3 14.1 8.4 8.4 8.8 Biennial Budget included increases for  compensation, separate from a pay plan, in  FYs 1985‐87, 1989‐91, 1997‐99, 1999‐01,  2001‐03, 2005‐07, 2007‐09, and 2009‐11  12.9 2.5 3.9 4.2 7.5 10 2.6 2.9 4.9 5.6 6.1 5 0.5 1.1 9.8 9.5 9.4 11.1 10.2 11.6 11.5 9.3 11.6 12.6         Years without a pay plan  15 1974 1978 1982 1986 1990 1994 1998 2002 2006 2010 2014 2018 Notes: Based on the annual AAUP Faculty Salary Survey. Accounts for the number of faculty at each rank for UW-Madison. Faculty on 12-month appointments are included, but their salaries have been converted to 9-month rates. Medical schools are excluded. UW-Madison’s peer group for purposes of salary comparisons was established by The Governor’s Commission on Faculty Compensation in 1984. The peer universities include the University of California-Berkeley, University of California-Los Angeles, University of Michigan, Ohio State University, University of Texas-Austin, University of Illinois, Purdue University, Indiana University, University of Minnesota, Michigan State University, and the University of Washington-Seattle. The average salaries reported to AAUP are affected by several factors, including faculty turnover and promotions, salary adjustments for promotions, competitive market adjustments, and equity adjustments, in addition to the announced annual increases 1 Peer Group Median excludes UW-Madison For more information on UW-Madison Pay Tools, view the report at https://apir.wisc.edu/faculty-staff/faculty-compensation/ 2 Academic Planning and Institutional Research, Office of the Provost, UW‐Madison, arl, 4/11/2018  5