East Lansing, Mich. (WLNS) — Michigan State University reported that it will defer, pause or reconsider several million dollars of project funding for its campus facilities in the upcoming year due to COVID-19 budget shortfalls.
Additionally, a Criminal Justice and Psychology professor reports that the university is slashing its employees’ retirement contributions in half.
In addition to salary cuts, @michiganstateu announced retirement contributions will be halved, calling it a “shared sacrifice.” It’s not- it disproportionately impacts early career fac. Reducing $$ in early career (relative to late career) significantly reduces lifetime earnings.— Cait Cavanagh, PhD (@Cait_Cavanagh) June 22, 2020
On Twitter, the professor wrote that the retirement contributions reduction is not a shared sacrifice because it “disproportionately impacts early-career faculty. Reducing money in early career (relative to late-career) significantly reduces lifetime earnings.”
Projects with deferred funding this year include:
- The Hannah Administration building – alterations to the third floor ($4 million)
- Wells Hall – replace induction units in buildings sections C and D ($6 million)
- Munn Ice Arena – Addition 3 ($23 million)
- Parking Lot 62W -IM West – Reconstruction ($795,000)
The university plans to put a halt on funding to 15 other projects, of the 15, six are academic-related, two others are auxiliary-classified and five are infrastructure-related. One is student activities-related and the other is study-related.
The total amount the university estimates in savings comes to about $77 million.