Investing in People: Pairing Compensation Increases, Expanded Leave, Health Cost Absorption

In fiscal year 2025, university leadership continues its investment in faculty, staff and graduate assistants who will push forward the U of A's three strategic pillars: student success, research excellence and enhancing its position as an employer of choice.

The university's employer-of-choice priority focuses on fostering a work environment where everyone feels a sense of belonging, works toward a meaningful purpose and has the data, resources, connections and foundation of support to be most effective, grow and advance their careers, and thrive in their personal and professional lives.

"Our people are the most important contributors toward our efforts to provide world-class education, groundbreaking research and a rewarding employee experience," said Ann Bordelon, executive vice chancellor for finance and administration. "We're thankful for their daily commitment to our campus community. We want to do all we can to invest in their individual well-being and ensure the U of A is the best place to work it can be."

An increased investment in compensation and benefits has been and will continue to be made through fiscal year 2025, such as:

• A 3 Percent Cost-of-Living Adjustment
  All employees and GAs hired before May 1, 2024, received a 3 percent cost-of-living adjustment appearing on the July 15 paycheck for 12-month employees and which will appear on the Aug. 30 paycheck for nine-month employees and GAs. More information about market adjustments resulting from the university's Staff Classification and Compensation Project, Faculty Compensation Project and Graduate Assistant Compensation Benchmarking Project is expected to be communicated in August.

• Covering Cost Increases for Health Plans
  For the third year in a row, the majority of the increase in healthcare costs will be absorbed and covered by the university. About 80 percent of benefits-eligible employees will see less than a $3 per paycheck increase for similar healthcare coverage. The university is covering the remainder of the cost of healthcare premium increases this year. The university subsidizes employee healthcare premiums to the maximum extent U of A System guidelines allow. View a breakdown of new insurance premiums for fiscal year 2025.

• Enhanced Parental Leave Options
  University leadership announced expanded parental leave options for new parents, allowing for up to six weeks of paid leave for the birth, adoption or fostering of a child.

"We're proud of the investments we've been able to make in recent years," Bordelon said. "As we look to the future in developing our employer of choice strategies, we will continue to evaluate how these investments are structured to best reward our employees and GAs for their dedication and positive impact to our institution and its mission."