In 2011-12, the median salary of public university presidents rose 4.7%?to more than $440,000 annually. This increase surpassed the compensation growth for university professors and outpaced the speed of inflation and the earnings of the worker in america, according to Richard Vedder, an economics professor at Ohio State University, on Bloomberg.com
This median statistic conceals that there are presidents that earned more than double that quantity. At the top of their email list sits Graham Spanier, obama of Pennsylvania State University, who earned $2,906,721 as a whole compensation.
There doesn\’t seem to be any clear reasons or standards why certain presidents are being paid large volumes while students are struggling to pay for their education.
Factors such as university size and graduation rates, while they would seem like logical indicators of pay, don\’t hold any bearing on how much a president is compensated.
David R. Hopkins, obama of Wright State University — an unremarkable commuter school ranked rather poorly in major-magazine rankings — makes far more than the presidents of the much larger, and vastly more prestigious, University of California at Berkeley, University of?New york at Chapel Hill, or the University of Wisconsin.
There isn\’t any significant statistical relationship found between academic quality and presidential pay according to compensation and Forbes magazine’s rankings of best colleges.
Also, there is no general consensus on which should be used to determine the earnings of university presidents.
Fundamental questions, the answers to which could help determine consistent benchmarks for compensation, remain unanswered or kept secret. Nobody knows exactly how much students are learning compared to students at other institutions or maybe they are learning more now than students did 5 years ago. Without it information it can make it difficult to evaluate what presidents deserve their pay and raises.
University enrollments fell within the closing academic year nationally the very first time in more than a decade. Increasingly more individuals are questioning the value of American advanced schooling as it now exists — the benefits seem to be stagnating, while the costs are rising.
Mitch Davis of Purdue University realizes that higher education need to be made leaner and can include performance-based rewards for fulfillment. He devised a presidential contract that tied compensation to achievement goals. He took a pay cut compared to his predecessors, but made provisions that allows the president to earn significant performance bonuses.
He has additionally frozen tuition fees for two years and salaries for many administrators.
University presidents aren\’t executives. If advanced schooling wishes to maintain its privileged position in American society, it must contain its spending. A great place to start is at the top.