Illinois Universities Paying Professors to Retire Early
Last year the University of Illinois at Urbana-Champaign paid buyouts to 133 senior professors. The buyouts were offered to professors to retire early with a payment equivalent to half a years salary.
by Wesley Fox
According to the Daily Herald, last year the University of Illinois at Urbana-Champaign paid buyouts to 133 senior professors. The buyouts were offered to professors to retire early with a payment equivalent to half a years salary. The removal of senior professors allows universities to save money on payroll but not reduce payments of retirement benefits.
Illinois’ failure to make payments to universities is causing them to enact cost-cutting measures, such as encouraging senior professors to retire. According to University of Illinois associate provost Michael Andrechak, the state owes the university system over $400 million (including $37 million to Western Illinois University this fiscal year).
The loss of experienced instructors at state universities is an example of late payments causing harm to government services. Illinois must get its budget problems under control and begin paying universities and vendors on time. Check out the Institutes proposed Budget Solutions 2011 that would end the backlog of late payments and bring spending under control.