Compensation Philosophy
Fordham University’s success in fulfilling its mission of education, research, and service is directly linked to the excellence and dedication of its employees. The University’s compensation philosophy is designed to attract, retain, and motivate exceptional individuals who share Fordham’s commitment to academic excellence, social justice, and the holistic development of its students.
Market Competitiveness and Peer Group
The University benchmarks itself against peer groups that reflect the specific talent needs of positions at various levels. These groups consist primarily of non-profit higher education institutions in appropriate recruitment areas locally, regionally, or nationally. Where applicable, the University considers nuances of the general recruitment market (e.g., law, business, accounting, HR, facilities, etc.). To ensure appropriate comparisons, the University utilizes validated third-party compensation surveys with suitable geographical differentials, when applicable, to account for the cost of labor in the New York metropolitan area.
Objectives
The University’s compensation program is strategically designed to:
- Align with the University's mission and the Strategic Plan driving achievement of institutional goals;
- Offer a comprehensive total rewards package reflecting the complexity and competitiveness of the higher education sector;
- Ensure compliance with regulatory standards pertaining to the University’s tax-exempt status and charitable purpose, including meeting the "rebuttable presumption of reasonableness" under IRC §4958;
- Demonstrate responsible fiduciary oversight by balancing competitive compensation with the University's non-profit mission and resources.
Compensation Components
The University employs a comprehensive approach to compensation designed to attract, retain, and motivate top-tier talent:
- Base Compensation: Competitive base salaries, benchmarked against peer institutions.
- Benefits: Comprehensive benefits package, including health, life, and disability insurance, retirement, tuition remission, paid time off, flexible schedules competitive within the higher education landscape.
- Merit-Based Compensation: The University values and recognizes exceptional contributions, demonstrated with administrativeism and respect, that go above and beyond standard workplace performance expectations. Its compensation strategy includes mechanisms to acknowledge and incentivize outstanding contributions to the University's strategic plan, and its mission and goals. This may include merit-based salary increases, or other forms of recognition for employees at various levels.
Applicability to Different Employee Categories
While the overall philosophy applies university-wide, the University recognizes the need for flexibility across different employee groups:
- Faculty: Compensation is governed by the Faculty Statutes and is structured to reflect academic rank, discipline, and scholarly achievements.
- Unionized Employees: Compensation is governed by collective bargaining agreements, aligned with the overall philosophy where possible.
- Administrative Staff: Pay is based on job complexity, market rates, and internal equity considerations.
- University Leadership: Total compensation packages are designed to be market competitive, incorporating merit-based elements and perquisites where appropriate.
The University is committed to offering competitive compensation that attracts and retains top talent while aligning with its institutional values and resources. The University aims to position its total rewards package competitively within the higher education market, considering factors such as job complexity, required skills, and institutional priorities.
In determining individual compensation, the University considers a range of factors including, relevant market data, internal equity, scope and responsibilities of the position, and performance and contributions to the University's mission and strategic plan.
Administrative staff whose base compensation exceeds the established range maximum for their job will be subject to “red-circling”. Such employees will be ineligible for further base salary increases until the range maximum reaches their current pay level. Any additional compensation for red-circled employees should be limited to non-base forms of remuneration.