Employees at the University of Colorado-Boulder campus who earn more than $60,000 will see a short-term 5% pay cut to combat revenue shortfalls due to the COVID-19 pandemic.

“We know that livelihoods are in the balance and are trying to be as creative as possible to address financial shortfalls,’ said Chancellor Philip DiStefano. 

The pay reduction will begin on July 1 and continue until June 30, 2021. CU-Boulder faces a deficit of between $121 million and $651 million in the next fiscal year. The measure will save $15.1 million and in return, employees will receive one furlough day per month.

“The additional leave needs to be taken during the pay reduction time period and will not be paid out or carried over if unused,” the university advised. Employees do not need to wait to accrue the furlough days in order to use them.

For the chancellor, the provost, chief operating officer, vice chancellors, associate vice chancellors, and deans, the pay cut will be 10%. Any employee whose pay would dip below $60,000 due to the percentage reduction would not fall below that threshold.

The Boulder campus will receive $18.7 million through the $2.2 trillion CARES Act passed in March. There will be $9.3 million set aside for emergency grants directly to students. Last month, the board of regents held tuition steady for the next academic year and halted merit pay increases.