SUBJECT:  Proposed 2001-02 Academic Salary Plan

As you may know, state revenues have been declining due to the recent economic downturn. One consequence of this drop in state revenues has been a shortfall in funds provided to the University for academic and staff salary increases. This shortfall for salaries was particularly disappointing given the momentum we had recently begun to build in this area.

The University has sufficient funding, based on the 2001/02 California state budget, to provide a 0.5% general range adjustment for academic employees effective October 1, 2001. Please note that salary actions for exclusively represented UC academic employees (Non-Senate Instructional Unit 18 and the University Federation of Librarians Unit 17) are subject to the terms of existing collective bargaining agreements or to meeting and conferring in accordance with provisions of the Higher Education Employer-Employee Relations Act (HEERA), as appropriate.

The University will continue to impress upon the Legislature and the governor the importance of full partnership funding for academic and staff employee salaries, and that it is critical to UC's ability to continue to attract and recognize the kind of talent necessary to maintain UC as a leading educational institution. Improving salaries for UC employees remains one of the University's top priorities and we will continue to pursue that goal diligently with the state's leaders.

Thank you in advance for your understanding of the situation confronting us, and as always, for your continued dedication and contributions to UCSD.

If you have any questions or comments, please contact Stephanie Navrides, Director of Academic Compensation, snavrides@ucsd.edu.

                                                Marsha A. Chandler
                                                Senior Vice Chancellor