Sent on behalf of Dr. Tyler Forrest, Vice Chancellor for Finance and Administration:
Members of the campus community,
As you may know, the University of Tennessee Board of Trustees approved the UTC budget for the upcoming fiscal year at its annual meeting earlier today. UTC’s budget accounts for a salary increase plan in the new fiscal year that begins July 1 to recognize our dedicated faculty and staff and make progress toward remaining market-competitive in employee compensation.
The plan calls for a 3% market-merit pay increase to base salaries for all eligible employees who are regular staff or faculty, as well as an increase in the minimum pay rate to $13.00/hour for regular staff. Eligibility for the 3% increase requires a record of satisfactory work performance without being under active discipline and having been employed as of June 30, 2022.
Eligible increases will be processed in July with a retroactive effective date of July 1, except for nine-month faculty and flex-year staff whose increases will be effective Aug. 1.
Tenured, Tenure-Track and Non-Tenure Track Faculty Promotions
A funding pool has been established to implement increases to the base annual salary associated with promotions for the 2022-2023 academic year for regular tenured, tenure-track or non-tenure track faculty. Increase amounts will be based on promotion criteria established for tenured, tenure-track and non-tenure track faculty. Approved increases will be effective July 1 for 12-month faculty and August 1 for nine-month faculty.
UC Foundation Professorship Rollover Pool
A funding pool will be available as of July 1 to implement increases to the base annual salary associated with UC Foundation Professorships for the 2022-2023 academic year. Each UC Foundation Professor, except those who received a total of $2,500 added to their base pay in prior years, will have $500 added to their base pay.
Regular Faculty Market/Merit Increases
A limited market/equity funding pool has been established to implement increases to address market and internal equity needs identified for regular faculty. Academic Affairs is collaborating with the Deans to identify regular faculty for potential funding. Academic Affairs will compile and review all requests to present final recommendations for funding to the Provost by July 31, 2022. Approved increases will be implemented in August with a July 1, 2022 effective date for 12-month faculty and August 1 effective date for 9-month faculty.
Regular Staff Market/Equity Increases
A limited market/equity funding pool has been established to implement increases to address market or internal equity needs identified within the new UT compensation structure, as well as compression adjustments necessary as a result of increasing the minimum hourly rate for regular staff to $13.00. Human Resources is collaborating with senior leadership to identify regular staff positions for potential funding. Human Resources will compile and review all requests and present final recommendations for funding to the Executive Leadership Team by July 31. Approved increases will be implemented in August with a July 1 effective date for regular staff and an August 1 effective date for regular flex-year staff.
Increase to Minimum Hourly Rate
Following the 3% market-merit increases effective July 1 as outlined above, the minimum hourly rate for regular staff positions will be increased from $11.30 to $13.00/hour. The new minimum hourly rate of $13.00 for regular staff will be effective July 1, and all regular staff hires after that date will be paid a minimum hourly rate of $13.00.
Temporary and student employees will not be impacted by the new minimum hourly rate and will continue to be compensated at the required federal minimum wage rate of $7.25/hour or an appropriate rate based on work performed and market data.