TO: Michael New, Vice President of Human
Resources
For Distribution to Members of the Saint Michael’s College Cabinet
FROM: Saint Michael's College Personnel Welfare Committee
SUBJECT: Cost-of-Living Increase for Fiscal Year 2007
DATE: January 19, 2006
As we look toward fiscal year 2007, discussions in the Personnel Welfare
Committee have centered on concerns for staff who are struggling with
increasing costs for goods and services, while their salaries have not kept
up with rising rates of inflation. It is for this reason that the PWC would
like to take a proactive role this year in advocating for an equitable
cost-of-living salary increase for Saint Michael's College staff. The
Personnel Welfare Committee recommends that the Cabinet approve a 4% across
the board cost-of-living increase for staff.
We are sympathetic to the constraints placed on the College’s budget (in
particular in the areas of financial aid, health care costs, and capping
large tuition increases). As well, we are mindful of the College’s
commitment to increase faculty salaries as part of a three year incremental
plan. However, the Personnel Welfare Committee is deeply concerned that
staff on the lower end of the pay scales at Saint Michael's College are most
impacted by lagging cost-of-living increases, and concurrent higher
insurance premiums and fuel costs. Ultimately, this is likely to affect the
College’s ability to recruit and retain high quality employees. We would ask
that this year the College take into account the extreme spikes in costs
over the last 2-3 years, and give strong consideration to a fair and
equitable across the board increase that does not privilege faculty over
staff.
The rationale for looking toward a more equitable distribution of
cost-of-living salary adjustments is founded in the alarming increases
experienced in oil, gas and propane costs, and the recent increases in
insurance premiums and co-pays. These increases have affected all college
employees. Residential heating oil prices have increased on average 49.8
cents per gallon over last year. According to the U.S. Energy Information
Administration (EIA), homes that use natural gas for heat can expect to pay
41 percent more this winter compared with last year. Additionally, the cost
of gasoline has risen on average .569 cents per gallon (EIA-New England)
over last year. Typical Saint Michael's College annual cost-of-living
increases of 2-3% for staff for the past three years have been consistently
below the Consumer Price Index percent change for the Northeast.
Saint Michael's College staff are exemplary in their loyalty and high
standards of excellence. To our own disservice, our loyalty often takes
precedence over advocating and negotiating for salary increases. The
Personnel Welfare Committee is moved this year to give voice to a legitimate
request for the College to adopt an equitable distribution of FY2007
increases in salary compensation.
We are deeply appreciative for your time and consideration in this matter.
