The University's pay philosophy, adopted in 1998, is presented below. Management is encouraged to follow this philosophy when making salary decisions. In order to fulfill its mission, The University of Texas at Austin must attract and retain an outstanding staff. For 1999, nationally, inflation was 2.7 percent and wage growth ranged from 4 to 4.5 percent, on average. Inflation and wage growth rates are estimated to be similar for 2000.
Internal equity pertains to the rate of pay for one job in relation to another.
Compression occurs when salaries of employees at or near the minimums of salary ranges rise faster than salaries of employees paid above the minimums of salary ranges. In fact, salaries of employees at or near the minimums of salary ranges rose faster than salaries of employees paid above the minimums of salary ranges between 1997 and the present, thus compressing salaries. The section below summarizes the information already presented. Employees are eligible for increases in addition to 1 and 2 at the discretion of their management. Employees at, near or above the maximums of their salary ranges are eligible for salary increases for 2000-2001.