UT announces more salary freezes

AUSTIN (KXAN) - The University of Texas is freezing the salaries of many of its employees, just a few months after the announcement of a hiring freeze.

Most faculty and staff at the UT Austin campus will not receive raises for the next year, creating an estimated $14 million in savings. The move effects close to 24,000 employees.

President William Powers notified staff by e-mail last week that he and the University Budget Council made the decision to freeze most salaries in order to "advance the University rather than settle for the status quo."

In the same e-mail, Powers acknowledged funding for the university will grow modestly next year. He said exceptions will be made to keep certain faculty members from being lured away to other institutions by increased pay.

"There's been no word of cutbacks or that our jobs are in danger," said Cynthia DuBois, one of thousands of UT Austin employees who will not receive a raise next year."It's just, 'Ride this out and we'll see what happens in the future.'"

Back in February, Powers announced salary freezes for executive level staff including the president, vice presidents and deans. Those cuts would save the university about $300,000 a year.

The salary freezes go into effect immediately and will last through the current budget year until August 2010.