The CPI is a market basket of goods and services commonly purchased by consumers. But colleges and universities are dealing with other cost increases not represented in the CPI market basket. Syracuse is also spending more on merit-based scholarships as a way of energizing the campus with the brightest possible students. Today, approximately 70 percent of SU's students receive grants and scholarships from the University as compared to 30 percent ten years ago. Escalating payroll costs.
Universities are labor intensive organizations.
Syracuse is no exception. To remain competitive in the market for the best faculty and staff, Syracuse's per-employee wage costs have been increasing by 3 to 4 percent per year, while health insurance costs and other benefits costs have been increasing even faster. Library books and periodicals. Non-tuition revenues are not growing. This puts increasing pressure on tuition to fill the void.