USU Update on Compensation Increases

Editor's note: The following message was emailed to all USU employees on Friday, April 11, 2025.

Dear Faculty and Staff,

With each email from my office lately I know that there is a lot to digest. I do not want to overwhelm you with communications yet believe during this unique time for us it is important to keep you updated about decisions and developments. Here I offer some context on forthcoming compensation increases.

During the recent legislative session, a 2.5% discretionary compensation pool was approved for higher education and other state-funded employees. In years that we have funds for discretionary salary increases, we consider how we will distribute funds in across-the-board, flexible, and other ways. The president customarily makes this determination after discussions with staff, faculty, and leadership.

Upon consultation with the USU Staff Employee Association, the Budget and Faculty Welfare Committee of the Faculty Senate, and the University Leadership Council, I have determined to distribute the compensation pool as follows:

1.75% across-the-board for those meeting performance expectations
0.50% flex to address exceptional performance, equity, compression, and retention
0.25% to support employees in lower salary bands

The across-the-board and flex components will be managed by unit supervisors as usual, whereas the portion to support employees in lower salary bands will be managed centrally by the Office of Finance and Administrative Services and in targeted ways to best support employees and institutional goals. This will not solve our structural compensation challenges, but I hope it signals a commitment to addressing the needs of our valuable team members.

For additional context, the salary pool dollars USU receives are tied specifically to state-funded positions. Also, higher education institutions receive just 75% of the dollars to cover the percentage increases approved by the Utah Legislature. This means that the university comes up with the dollars necessary to achieve the full pool for compensation increases and university units find dollars to offer raises to employees who are not funded by state monies.

Finding the funds to make up our 25% portion is achieved in a variety of ways, including tuition increases. Accordingly, thoughtful and strategic approaches to the use of flex dollars is expected of supervisors to honor the taxpayers and students who make our raises possible. Decisions should strategically advance our mission to meet the needs of our students and the state. Attending specifically to employees in lower salary bands with a portion of our compensation pool further aligns with this approach and attends to the well-being of our local community.

I am grateful that we are able to recognize the strong performance of our employees and to work toward addressing cost of living challenges affecting members of our team. I always wish we could do more, especially in light of the excellence and breadth of contributions we offer at USU. Please know that your work to advance our mission is deeply valued.

Sincerely,

Alan L. Smith

Interim President