Kent State University lets VP take buyout
Kent State University KENT — paid $80,000 to a recruiter to find a replacement for Ed Mahon, the school’s vice president for information services and chief information officer, who was allowed to take a buyout.
Mahon is to receive $253,673, his annual salary, spread over five years, after he leaves, according to the separation agreement.
His replacement, John Rathje, will start work on March 5 and earn $240,000.
Mahon was one of 141 non-teaching staff members who agreed to a buyout and to leave by June 30, 2017. Their departure was part of what the university called an “employee separation plan” and “strategic hiring process overview” to save money and realign resources and faculty.
Another 60 tenure-track faculty and 37 non-tenure track faculty also have accepted buyouts and will leave by the end of May.
Overall, the university estimated that the non-faculty buyouts would cost $3.3 million for each of the fiscal years 2018, 2019 and 2020. The costs include the separation pay, the payment of accumulated sick leave, and fees to the company administering the plan on behalf of the university.
Mark Polatajko, senior vice president for finance and administration, said in an email that the 141 non-teaching staff departures would result in a savings of gross salary and benefits totaling $11.3 million prior to program and administration costs and the cost of replacement.
Polatajko said the 60 tenure-track faculty and 37 non-tenure track faculty who signed up for a similar buyout plan and will leave by the end of May will result in gross salary and benefits savings totaling $11.5 million.
The university does not yet know how many of the staff and faculty members who were allowed to take buyouts will need to be replaced.
“We were pleased to offer these respective voluntary separation plans to our staff and faculty members who were either eligible and who may have been considering retirement,” Polatajko said in a statement. “The gains realized from those staff members who accepted the offer will contribute to the university’s efficiency and effectiveness.”
Todd Diacon, provost and vice president of academic affairs, told kentwired.com that the faculty plan would allow more funding for the departments to hire new tenure-track faculty members.
“The primary goal is to recruit and hire more tenure-stream faculty at Kent State University,” Diacon said. “To be eligible for this plan, you have probably been here for many years and have a salary that reflects that experience. We can hire three faculty members for every two that take the plan.”
A prior separation plan was offered in 2009. The results were that of 894 eligible employees, 149 workes, including 44 faculty, elected to participate, the university said.