Universities across the United States are continually evaluating and refining their compensation structures to ensure fairness, equity, and competitiveness. For institutions accredited by bodies like the Higher Learning Commission (HLC), these considerations are paramount. This article delves into the complexities of university compensation, drawing insights from a recent salary study conducted at the University of North Dakota (UND), an HLC-accredited institution, to shed light on how universities approach salary benchmarking, equity, and the broader implications for faculty and staff.
Decoding the University Compensation Study
UND recently undertook a comprehensive compensation study, guided by the Huron Consulting Group, to augment its existing salary analysis processes. This initiative comprised three interconnected components, each focused on salary as the primary element of employee compensation. While benefits like retirement contributions and health insurance premiums are valuable, market comparisons in this study centered on direct salary levels against similar institutions.
Minimum Salary Benchmarking: Ensuring a Fair Starting Point
The first phase of the study aimed to establish a minimum salary threshold for all UND employees. This involved an employee-by-employee analysis to guarantee that every individual’s salary met or exceeded a defined minimum standard relative to comparable roles at other educational institutions. UND set its “minimum salary” benchmark at the tenth percentile of the market comparison. This means the university aimed to pay all employees at least as much as the lowest-paid 10% in similar positions across the market.
Initial findings from UND Human Resources indicated that for staff employees within the School of Medicine & Health Sciences (SMHS), all salaries were at or above this established market minimum. The faculty analysis was ongoing at the time of the original report, but preliminary reviews suggested no significant discrepancies were apparent. This proactive approach to minimum salary benchmarking demonstrates a commitment to ensuring a basic level of fair compensation for all employees within the university system.
Equity Analysis: Addressing Protected Class Status
The second critical component of the Huron Consulting Group’s study focused on identifying and rectifying any potential salary inequities related to protected class status. This included factors such as gender, race, veteran status, age, and disability status. The goal was to ensure that compensation decisions were free from bias and discrimination.
The report from UND SMHS highlighted a significant positive finding: Huron’s analysis did not uncover any material differences in salary based on protected class. This suggests a robust system at UND for maintaining equitable pay practices across diverse employee groups, a critical aspect of fair compensation within higher education.
Parity Across Job Bands and Titles: Ensuring Internal Consistency
The final, ongoing phase of the compensation project is examining job bands, titles, and market alignment to ensure equity and parity across the entire university. This involves comparing compensation for individuals performing similar work in different schools, colleges, and units within UND. The aim is to establish consistent compensation standards for equivalent roles throughout the institution, mirroring the commitment to equity regarding protected class status. This internal parity is crucial for maintaining fairness and transparency within the university’s compensation framework.
The Significance of HLC Accreditation and Compensation
The mention of the Higher Learning Commission (HLC) in the original article is not accidental. HLC accreditation is a crucial marker of institutional quality and accountability for universities in the North Central region of the U.S. Accreditation by the HLC, recognized by the U.S. Department of Education, signifies that an institution meets rigorous standards across various aspects of operation, including fair and ethical treatment of faculty and staff.
While the HLC does not directly dictate specific salary levels, its accreditation criteria implicitly support the principles of fair compensation and equitable practices. A university seeking or maintaining HLC accreditation must demonstrate a commitment to operating ethically and responsibly, which includes ensuring fair treatment of its employees through just compensation practices. The UND Dean’s report on the positive HLC accreditation visit underscores the university’s commitment to these broader institutional standards.
Addressing Post-Doctoral Fellow Compensation
One specific area identified for improvement in the UND compensation study was the establishment of consistent minimum salary expectations for post-doctoral fellows. The study revealed variability in minimum salary levels for post-docs across UND and within SMHS. Recognizing the vital role post-docs play in research and academic advancement, the university is working to establish clear minimum salary standards for these positions, similar to those in place for other employee categories.
This move towards standardized minimum salaries for post-docs aligns with broader efforts to ensure fair and livable wages for all university personnel. It also resonates with UND’s strategic plan, UND LEADS, particularly the emphasis on “affinity,” fostering a sense of belonging, and celebrating contributions to the university community. Fair compensation is a tangible way to demonstrate this commitment to valuing all members of the university.
Conclusion: Moving Towards Fairer University Compensation
The UND compensation study, as detailed in the Dean’s report, exemplifies the multifaceted approach universities take to ensure fair and equitable compensation. By focusing on minimum salary benchmarks, equity across protected classes, and parity across job roles, UND demonstrates a commitment to just compensation practices. The context of HLC accreditation further emphasizes the importance of these efforts within the framework of institutional quality and ethical operations in higher education. As universities continue to navigate the complexities of compensation, studies like this provide valuable insights into the ongoing pursuit of fairness and equity for all faculty and staff.
