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ASU orders unpaid furloughs

Howard Fischer, Capitol Media Services

January 28, 2009 - 4:36PM

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Arizona State University is forcing all of its 12,000 workers to take at least 10 days off, without pay, between now and June 30 to cut expenses.

The move, announced late Wednesday by ASU President Michael Crow, will cut expenses by $24 million. Crow, who is included in the mandate, said that will go a long way toward dealing with what could be up to a $60 million mid-year reduction in state funding for his school.

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Lawmakers reduce proposed cuts for higher ed

Crow, along with his counterparts at the other two state universities, got permission to order furloughs Tuesday from the Arizona Board of Regents.

The board has offered to cut state funding for universities by $100 million this year as its share of the $1.6 billion deficit. And it authorized the presidents of the three schools to begin taking steps to meet those goals, even before submitting the plan to the Legislature.

So far, though, the smallest cut being proffered is close to $130 million from House Republicans.

Crow said the requirement will not affect classes, as the approximately 4,300 faculty members will be expected to take their 12 days off on days they are not scheduled to teach. He said that, coupled with requirements for supervisors to stagger their time off, ensures that the university will remain "operational and complete the academic semester on time."

The group of 200 top administrators, including Crow, will have to take 15 days without pay; classified staff - those in nonteaching positions - will have a 10-day furlough.

Workers who are furloughed are eligible for unemployment benefits. But that will not cover what they lose in salary.

Under state law, the first week without a job is a "waiting week," where benefits are not paid. After that, employees are entitled to half of what they were earning, up to a maximum of $240 a week, which is the equivalent of $12,480 a year.

Even if lawmakers accept the $100 million in proposed cuts this year, the furloughs will not be enough to make up ASU's share, which is expected to be $40 million. Crow said he is aware that additional cuts will be necessary.

Crow vowed to continue working with groups within the university to find "additional prudent cost-savings measures that are consistent with our institutional mission." At the same time, Crow said he will continue to push lawmakers to minimize further cuts to the university system that already was forced to slash expenses by $50 million - $20 million of that at ASU - at the beginning of the school year.

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