The University of Massachusetts Amherst intends to furlough hundreds of employees for the remainder of the fall semester, MassLive has confirmed.
In an email to members, Local 1776 President LeeAnn Robinson said the furloughs affect roughly 780 bargaining unit members. Robinson said the union was “forced” into accepting the furloughs and that the alternative would have been layoffs in which members would lose their benefits.
“We realize the university is facing a financial crisis however, despite the efforts of all the UMass unions to negotiate alternative cost saving measures the university refused to consider anything other than furloughing people off,” Robinson wrote in the email. “This is happening even though the commonwealth and the UMass system are both sitting on mountains of cash but have refused to touch any of this money to alleviate the financial crisis and instead place the burden on it’s lowest paid most vulnerable employees.”
American Federation of State, County and Municipal Employees Local 1776 represents roughly 1,700 members in skilled trades, grounds, custodial, housing, food services and security jobs at UMass Amherst. Local 1776 did not specify the ratio of full-time versus part-time employees affected.
The Professional Staff Union and the University Staff Association, which represent staff, were informed of furloughs. PSU was told roughly 300 of their member employees are facing furloughs. Most of those affected are full-time employees.
An email to USA members, provided to MassLive, states that negotiations with university officials have taken a bad turn. Union leaders were told hundreds of employees would be furloughed and that more furloughs and layoffs were possible in the future.
“We want to make it clear: we do not accept these outrageous demands as legitimate acts of bargaining, and they must stop,” the email states. “We call on the administration to return to the bargaining table in good faith, honoring our main contract and six COVID-19 agreements.”
UMass Amherst confirmed the furloughs in an announcement from Chancellor Kumble R. Subbaswamy around noon Thursday. Subbaswamy, citing negotiations with Local 1776, said 850 employees would be placed on “indefinite furlough” effective Sept. 13. The furloughs affect dining hall workers and resident hall staff.
The university plans to announce layoffs for both union and non-union employees in the coming weeks, Subbaswamy said, adding that officials are negotiating with unions to reduce the number of people who lose their jobs. Subbaswamy said they’re working out an agreement that would lead to another round of furloughs and reductions in hours, which would affect another 450 campus employees.
According to the Local 1776 email, the union and the university agreed on furloughs based on seniority with job classification with some exceptions. Under the agreement, furloughed employees would be allowed to collect unemployment without any claims being contested by the university. Those employees can opt for a layoff instead and will not have their unemployment claims contested.
Union employees will continue to accrue time and will still have the employers portion of their insurance paid by the university, according to the letter.
The workforce announcement comes as universities across the state are preparing for remote learning and, in some cases, in-person instruction despite the continued spread of the coronavirus.
UMass Amherst walked back its reopening plans earlier this month to limit which students can live on campus, citing “worsening conditions of the COVID-19 pandemic nationally.” Under the updated plan, only students enrolled in “essential face-to-face classes, including laboratory, studio and capstone courses” will be allowed to live on campus and have access to dining halls and other campus facilities. All other students will remain off campus.
The pandemic has had dire financial consequences for industries across the country, including higher education. In Wednesday’s announcement, Subbaswamy said the university projects a $168.6 million loss in the campus’s operating budget.
That includes $67.4 million in housing and dining revenues, a projected $30.6 million drop in tuition revenue and $20.9 million in other losses. It also includes a projected $13 million increase in spending for COVID-19 testing, safety, isolation and quarantine measures.
The Board of Trustees directed the campus to budget for a possible reduction in the state’s allocation of up to 10%, or about $36.7 million, due to uncertainties in the state budget, Subbaswamy said. The hold-back is another factor of the $168.6 million loss.
The UMass system - which includes its flagship campus in Amherst, Boston, Dartmouth, Lowell, the medical school in Worcester and its law school - is the largest university system in the state.
With an annual budget of 3.5 billion, UMass serves more than 75,000 students each year. UMass Amherst - the flagship campus - has more than 28,000 students enrolled annually.
UMass received $558 million in state appropriation and $684 million in research and development for fiscal 2020, in addition to tuition.
The university system received about $46 million from the Coronavirus Aid, Relief, and Economic Securities (CARES) Act, Marty Meehan, president of the UMass system, told the state Board of Higher Education in June. Of that, about $23 million went directly to students to offset tuition costs.
The amount received from the federal stimulus plan was a fraction of the funds returned to students for refunded room & board and other expenses.
Like all universities, the highest cost at UMass is personnel. The university system is the third largest employer in Massachusetts, with 24,000 employees. About $148 million is spent monthly on payroll.
The Massachusetts Legislature is operating on partial budgets and has yet to draft a full-year budget for fiscal 2021. Legislative leaders and Gov. Charlie Baker said they’re waiting for word from Congress about any relief to state and local governments because of the coronavirus pandemic.