College
Scraps Positions as Endowment Dwindles
By John Byrne
Winter
is going to be a bit colder this year at Oberlin.
Eleven members of the College community were told their positions
were being eliminated Monday. Unless they switch to lower-paying
vacant positions, they will be forced to leave by Nov. 30. Administrators
eliminated six union positions, and five positions in the Administrative
and Professional Staff.
Figures provided to the Review from the Finance Office stated that
about $130,000 was saved by cutting and reducing union positions,
and another $300,000 by terminating non-union office workers. With
these cuts, and those positions vacated in the hiring freeze, the
College has saved $2.8 million.
A spokesperson for the President’s Office said that the terminated
A&PS employees, which include the College’s administrators
and their employees who are not unionized, will be receiving one
week’s salary for every year of service as a severance package.
The Finance Office said that employees would also receive a month’s
paid vacation.
Layoffs have not occurred at Oberlin since 1996, when College President
Nancy Dye sought to clear up deficit problems. “If you need
to shrink the size of your budget, it has to impact salaries and
benefits in some way,” Vice President for Finance Andy Evans
said.
The move, announced Monday at 9:00 a.m., was not wholly unexpected.
Dye told the General Faculty on the Tuesday before Fall Break that
layoffs were going to occur on Oct. 28. Union members said they,
however, did not receive word.
On Tuesday, the Administration called for a special General Faculty
meeting. It was the second in two weeks. Dye delivered a 50 minute
address to the faculty.
Oberlin’s finances have seen a difficult several weeks since
the Review last published. The Finance Office released information
before break stating that the endowment had sunk another $40 million,
from $519 million in June to $479 million in September. Most of
these losses came from the rapidly deflating stock market.
“For the first time in Oberlin’s history, we will have
had three bad years in a row,” Dye said.
“What we are experiencing is what every college and university
that depends upon an endowment is experiencing,” Dye said.
To save money, she will also shutter the Oberlin Community Partnership
office, she said. The President’s and the Secretary’s
Office will also be sharing staff, since the senior staff cut one
worker in the Secretary’s office. Another position was axed
in the Student Union.
Dye displayed a series of graphs which showed that many aspects
of Oberlin’s health are actually improving, despite the budget
crisis. Admissions, development and other statistics show that Oberlin
is on the upswing, she said.
“We are focused on keeping the many gains that we have made
over the last five years in admissions, financial aid, in salaries,
and in curriculum enrichment,” she said.
The General Faculty delivered resounding applause.
But union leaders delivered an angry response that same afternoon.
They slammed Dye for accepting a $100,000-a-year compensation package,
which, they said, could have saved the jobs of three of their members.
They chided the College for allegedly allowing staff members to
rack up personal frequent flyer miles at the College’s expense.
Some employees, they say, have made last minute changes to their
travel arrangements and allowed the College to take a serious hit
so that it can be placed on their personal frequent flyer balances.
And they condemned the College’s exorbitant holiday party,
saying it cost $75,000-a-year, as a “shrimpfest.”
“The College has heard the suggestion that OCOPE has made
and we have taken their advice and we are reducing the cost of the
parties and we are looking to reduce other costs across the board
in other areas as they have suggested,” Vice President for
Finance Andy Evans said.
OCOPE leaders said they were unhappy that the College had resorted
to layoffs. They stated that they had presented the Administration
with various other cost-saving measures, but that to their knowledge,
none had been adopted.
“We did factor in some of their ideas,” Evans replied.
“Travel is one; we’ve cut travel back significantly
across the board. We did listen to them. It was a good idea.
“We asked the leadership to canvas the membership with their
cost-saving ideas… and then we thought very carefully though
about them, in some cases rejected some ideas, and in other cases,
pursued them,” Evans added.
Some members, union leaders said, may soon be without jobs. Seventeen
OCOPE positions have been eliminated since the hiring freeze began,
they said.
“But Nancy’s going to have a nice Christmas,”
OCOPE Vice President Tracy Tucker said.
One of the terminated employees in the Secretary’s Office,
Executive Assistant to the Secretary Kristen Jones, expressed her
frustration Wednesday.
“The College is apparently in such terrible financial shape
that they are willing to ruin 11 peoples’ lives in order to
save that rather miniscule sum of $300,000, out of the total $2.8
million,” she said. “It certainly gives a good indication
of the priorities of this institution; it’s truly a shame
that integrity and empathy have been lost in an environment where
the almighty dollar means more than a human being and his or her
livelihood.
“Most certainly, the Oberlin men and women who risked their
lives and fortunes to rescue one individual in Wellington more than
a hundred years ago, would be turning in their graves to know that
the Oberlin College no longer seems to have empathy for the individuals
of its ‘community,’” Jones continued.
“A few less fancy dinners and Oberlin College cars would have
made up that shortfall,” she added. “I hope they’re
thinking about that when 11 people are out there struggling not
to have to sell their homes.”
A former College employee, Sue Bommer, who was fired from Oberlin
in 1996 when Dye took on the College’s “structural deficit,”
offered her two cents in an e-mail to Dye, Evans and the Review
Tuesday afternoon.
She called her 1996 termination, “one of the biggest heartbreaks
of my life.”
“My position, I am told, was chosen for extinction because
my salary and benefits amounted to the sum of money by which Human
Resources was mandated to reduce its budget,” she wrote. “I
was the senior A&PS in the department, but my longevity didn’t
count.”
Seniority is not a factor in the decision for A&PS terminations,
rather the work being performed, a College official said.
She accused an erstwhile employee in Human Resources of being “extremely
unprofessional” and said she had “suffered abysmal treatment.”
“My termination felt like a slap in the face,” she added.
“Job eliminations do irreparable damage to human lives,”
the alumna, and former College employee wrote. “It isn’t
just financial loss that’s involved,” she added, “it’s
[a] person’s sense of self-worth and purpose. It’s social
networks, friendships, goals, and aspirations. It’s peoples’
retirement funds!”
“I guess some staff at Oberlin won’t have to worry about
their retirement,” she added. “Arrangements have been
made to assure that.”
Dye
expressed her belief that Oberlin College remains a humane employer,
and has done all it can to avoid layoffs.
The
College only resorted to layoffs after a year of a “disciplined
hiring freeze,” she said, “and worked to minimize the
number of layoffs through a disciplined hiring freeze in which we
eliminated 67 positions through attrition.”
We
“will move through and out of this period of trouble,”
she said. “In the very short term, we can now take a breather.”
President
Dye would not rule out future layoffs. |