Portland State University administrators and faculty reach tentative contract agreement - Bill Graves, The Oregonian

Mary King, an economics professor and the union's vice president for collective bargaining, called the contract disappointing because it will not compensate for inflation, losses to furlough days and wage freezes. PSU, she said, will continue to face challenges in recruiting and keeping good professors and maintaining good morale. She also objected to Gov. John Kitzhaber's 8.4 percent cap on salary increases for 2011-13. "Although state support accounts for only 11 percent of the PSU budget," she said,"the governor is controlling faculty salaries in a way that's destructive for our universities." The new contract, which takes effect Jan. 1, gives faculty a 3.1 percent across-the-board raise next year and another 3.1 percent raise in 2013. In addition, some faculty will qualify for a 1 percent pay raise each year – in the first for merit and in the second for merit or for equity to help bring their salaries up to levels at peer institutions. The faculty also will be required to pay 5 percent of their health insurance premiums.