Top Stanford officials take 10% voluntary pay cuts
PALO ALTO — Senior administrators at Stanford University, including the president and provost, are taking a salary cut as the nation’s economic decline places pressure on the university’s budget.
Provost John Etchemendy informed staff members about the salary reductions in a letter Tuesday, saying that he and President John Hennessy have volunteered to reduce their salaries by 10%.
University spokeswoman Lisa Lapin said the salary cuts affect about 15 to 20 positions with salaries that start around $250,000. She said Hennessy makes about $700,000.
In the letter, Etchemendy said the school may have to cut up to $100 million from its general fund budget over the next two years.
The budget, which is about $800 million, covers most faculty and staff salaries and the university’s day-to-day operations.
“The ultimate cuts may not have to be this deep, but we would be irresponsible not to prepare for this eventuality,” Etchemendy said, adding that layoffs would be “inevitable.”
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