Fiscal Year 2012 Pay Increases

June 15, 2011

To: UT System-wide Faculty and Staff
From: President Joe DiPietro     
Re: Fiscal Year 2012 Pay Increases

As you know, the State of Tennessee has authorized a 1.6 percent pay increase for state employees.  The University of Tennessee will fund the additional amount necessary for a total across-the-board raise of 2 percent for all eligible staff and faculty statewide with satisfactory job performance evaluations. This increase takes effect for most employees on July 1, 2011.

The following guidelines govern plans to implement across-the-board pay increases:

  • Full-time and part-time regular employees paid less than $8.50 an hour before July 1, 2011 receive an automatic increase to $8.50 an hour. Eligible members of that group also will receive a 2 percent across-the-board increase or $500, whichever is greater.
  • Eligible, full-time and part-time regular employees currently paid $8.50 an hour or more will receive a 2 percent across-the-board increase or $1,000, whichever is greater.

The decision to include a flat minimum pay increase as described above is based on input from your Employee Relations Advisory Board (ERAB), the University’s official employee representative group. It also reflects a commitment from the Compensation Advisory Board to help our lowest-paid employees.

In addition to the across-the-board provisions, leadership at each campus, institute and for the System are developing plans for additional merit- and equity-based increases.  After four years without state appropriations for a pay raise for our employees, a pay increase is the University’s first priority this year despite limited budget resources and the need for cuts in other areas.

Final details of any additional increases—the amount and who receives them—will be determined and communicated by the campuses and institutes. Specific amounts will vary, and it is up to each unit to find funding for its proposed plan.

The Board of Trustees must approve proposed pay increases as part of its vote on the entire University budget. Pending budget approval by the Board at its meeting on June 23, increases take effect July 1, 2011 for all staff and for faculty with 12-month appointments. Increases for faculty with 9-month appointments take effect Aug. 1, 2011.

Thank you for all your good work for the University of Tennessee.