Which uni presidents make more than Obama?
Compared to politicians, they're overpaid. But compared to CEOs, they're a bargain
Some would argue that comparing university president salaries to corporate CEOs is unfair since taxpayers foot the bill for the former, and CEOs have a bottom line they have to meet. Just ask the departing CEOs of some bankrupt US investment banks: manage badly, and your stock price will go to zero.
Then again, CEOs at other public institutions are often earning decent coin, well above that of their Canadian university peers. In 2008, Laura Formusa, CEO of Hydro One, was paid $926,872. Bob Elton, President and CEO of BC Hydro, was paid $478,849. And Jim Hankinson, CEO of Ontario Power Generation, took home $2.5 million (or, according to a more complete accounting, $3.5 million.)
Until relatively recently, presidents didn’t get paid that much more than professors (although, last year, dozens of Ontario profs pocketed over $200,000). That began to change about a decade ago, and senior administrator salaries have climbed sharply since then. Interestingly, the highest paid university administrator in Ontario isn’t a president at all, but the University of Toronto’s John Lyon, the school’s managing director of investment strategy, who pulled in a total of $557,474 in salary and taxable benefits last year. (The same year the value of the university’s portfolio dropped by $1.3 billion.)
One group whose paychecks make university presidents look overpaid? Our elected officials.
Generally, university presidents are making a lot more than politicians. Canada’s prime minister earns less than the presidents of many universities, including Windsor, Trent and Lethbridge. The man whose job is funding and overseeing a third of the country’s public universities, Ontario Minister of Training, Colleges, and Universities John Milloy, made only $164,623 in 2008, less than the president of the province’s newest and smallest university, Algoma. Gordon Campbell, the premier of British Columbia, made $175,000, or about one-third the total compensation awarded the president of UBC. Dalton McGuinty, premier of a province of 13 million, earned just over $200,000—or about one quarter less than the president of Nipissing University, which has a full-time student population of 3,440.
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Everyone makes more than politicians, but I like the comparative approach nonetheless.
Nothing makes me happier when the school I go to decides to hike fees by 200$ (even with nearly a 50$ million surplus) to ensure that our admin continues to get their highly inflated six figure salaries. Where’s the justice in that?
God! this is irritating as hell!!!!! here they are planning to making us pay $500 EXTRA for the so called debt of the University, when they’re overpaying administration…. WHERE IS THE JUSTICE IN THIS!!!!!!!*echo!!!*
It’s wrong – my school created a new “miscellaneous” fee of $270 each year, plus the increase in tuition, to bridge a big budget deficit, yet the president has the largest salary of all University presidents in Canada. Do people actually believe that the University is being completely run by her and is thus deserving of that salary? She is surrounded by experienced people who help make the decisions in a communal fashion. Since she is not bounded by a union contract her salary should be the first one to be cut! I say cut it in half. Sure it’s a big job, but do you actually think it’s a bigger job than running the countries of Canada or the United States?
Groups that are supported by taxpayer money should not be allowed to receive performance bonuses on the backs of those who disagree. If you’re running a company, then fine – your decisions make or break the profits made and you should either take a bonus or punishment based on the company performance – but not in the public sector.