Syracuse University is increasing tuition for the 2015-16 school year, but at least students know what they are paying for. An audit recently presented to the chancellor found that there are several hundred administrators who only oversee one or two employees apiece at the university.
The audit by consulting firm Bain & Company originally reported on by The College Fix, found that despite growing enrollment at Syracuse, operating expenses are exceeding revenues.
Bain compared Syracuse’s revenue, cost and academic metrics with a number of similar “peer schools” and found problems with the university’s organizational structure, suggesting “too many decision makers” as the primary cause of inefficiency.
“Syracuse has a higher ratio of staff to faculty, and senior administrative staff to line-level administrative staff, than peer averages,” the report said.
211 managers, or 30 percent, have only one employee reporting to them. 134 more managers have only two direct reports.
Additionally, the report found that “there is significant duplication of administrative functions across schools and central departments.”
For example, there are 283 employees across various departments at the university who listed “IT” as their job function. The report encourages centralizing the administration of routine tasks to increase efficiency and reduce costs.
To address the imbalance, university officials recently announced a new “Voluntary Separation Incentive Program,” encouraging some of its staff to retire.
Beginning July 1, staff members whose age plus years of service equaled 65 or more were eligible to receive “enhanced benefits designed to help them pursue new opportunities.”
Those who choose to participate in this program receive a single cash payment equal to 50 percent of their base annual salary as well as enhanced medical, dental and vision plan subsidies.
Meanwhile, the 3.5 percent tuition increase this year will probably be used to help fund the salaries of the excess administrators. Although, Syracuse does note in its press release that the tuition increase this year is lower than it has been in previous years.
h/t The College Fix
