Amid economic concerns related to COVID-19, MSU executives will be taking pay cuts for up to a full year.
President Samuel L. Stanley Jr. will be taking a 10% pay cut, and all other MSU executives will be taking 2% to 7% cuts dependent on their salary levels, according to a letter from the Office of the President.
The pay cuts are only expected to last through May or June, but could last a full year.
"It is with a troubled heart that I must announce to you today a series of budget reductions as a result of the financial strains placed on the university due to the novel coronavirus," Stanley said in the letter. "I recognize that none of this is anyone’s fault. To the contrary, as a university community, you have been selfless, partnering, forward-thinking and quick to respond."
The university is taking other measures to maintain a certain level of financial stability. While MSU has not issued a total ban on the university using outside services, discretionary expenses should be reduced to achieve meaningful savings, according to the statement. Travel expenditures are also expected to be substantially reduced.
Remodeling and construction projects may experience delays as well, according to the letter. This would be dependent upon the approval of the board of trustees if necessary.
The reductions will help prepare the university for the future following the impacts felt during the 2020 fiscal year.
Enrollment numbers from international students are expected to decline due to travel restrictions, the letter said. Applications and deposits are still near last year's levels.
"I recognize that these are unprecedented times for so many faculty, staff, students and alumni — both personally and professionally," Stanley said in the letter. "I am optimistic that the majority of changes will be temporary, but I also know that if we delay taking action, the effects will be larger and last longer."
Though the future format of learning at MSU is uncertain, Stanley is certain that standards will not change.
"While our focus on safety will remain, we are also committed to continuing to provide the world-class education for which MSU is known," the letter said. "Whether our classes or work are conducted online, in-person or in hybrid formats, we will always maintain extraordinary teaching, research and service."
Stanley noted the university's commitment to safety while still providing essential services for students.
"As we take required actions, we will keep our academic mission at the forefront of all we do," he said in the letter. "I intend, with your support, to ensure that MSU remains a place where students are excited to enroll, where faculty and staff find fulfilling work and where our community outreach makes a difference every day in Michigan and around the globe."
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