Dear Colleagues:
We write to inform you of our plans should the University encounter budget shortfalls during the 2010 fiscal year that began July 1. We have been working hard to keep people employed during this very difficult economic period. We hope there will not be shortfalls. But we must be prepared in light of the financial challenges facing the state.
Most of the University's costs - more than 70 percent - are for people. Should we experience a significant budget shortfall, we must be ready to reduce personnel costs in ways that are shared and fair while minimizing disruptions to our work and the people we serve.
We have examined carefully the best ways to manage fairly a budget shortfall, should one develop, when it comes to personnel. There are several categories of employment at the University including people represented by unions, Civil Service members, faculty, and academic professionals. As a result, no single action to reduce costs in the case of a budget shortfall is right for all employee groups.
Therefore, we plan to take the following approach, should we need to reduce personnel costs.
Civil Service members will continue to be covered by layoff provisions of the Civil Service System. For union represented employees, we will, of course, follow contract and statutory obligations.
With regard to faculty and academic professionals, we are putting in place an interim policy to enable the University to declare unpaid furlough days, if needed, to cope with budget shortfalls. The policy and related information can be found at:
https://hr.uillinois.edu/PolicyCompliance/PolicyLibrary/HRPolicy/Furlough.cfm
Reflecting the interim policy, the Notifications of Appointment (NOAs) that will be issued effective August 16, 2009 (new and renewal), and all NOAs issued after that date, will include a provision allowing for unpaid furlough days for faculty and academic professionals. The revised NOA form will also include language shortening the appointment period for grants and contracts-funded positions in the event of a loss of such funds.
In line with our commitment to shared governance, we will consult with representatives of faculty and academic professionals should the need to declare furlough days arise. We will also confer with them as we consider making permanent the interim policy.
We reiterate that we are not, at this time, declaring furlough days for fiscal 2010. We hope that they, and other actions to reduce personnel costs, will not be needed. But we must be prepared.
Thank you for your membership in the University of Illinois community. Thank you also for your work at the University and on behalf of our students and all who depend on us.
President B. Joseph White
Chancellor Richard H. Herman, Urbana-Champaign
Chancellor Paula Allen-Meares, Chicago
Chancellor Richard D. Ringeisen, Springfield
