Clemson furloughs to offset COVID-19 impacts. Dabo, top-salaried workers take pay cuts
Clemson University is implementing mandatory furloughs from Sept. 1 through the end of 2020 due to financial impacts of the COVID-19 pandemic, the school announced Monday.
This marks the first furloughs for Clemson due to the coronavirus, and approximately half of the college’s full-time workforce statewide will be impacted.
In addition to the more than 3,000 employees who are taking those furloughs, Clemson President Jim Clements and all athletics department employees making more than $400,000 annually have voluntarily taken at least a 10 percent reduction in compensation. Athletics employees making less than $400,000 will also take varying pay cuts.
There are 15 employees in athletics making at least $400,000, including head football coach Dabo Swinney. The university is expected to save approximately $8 million through the furlough program through Dec. 31. Clemson athletics will save approximately $3.4 million for the 2020-21 fiscal year.
“It’s with great reluctance that we announce a furlough program today because folks have been working so hard,” Clemson executive vice president for finance and operations Tony Wagner said. “We’ve gone through really an exhaustive study of the financial ramifications that we’ve already experienced and that we expect to experience because of COVID. This was an important next step to take.”
Clemson employees making less than $50,000 per year will not be impacted.
The breakdown of how many days off each employee must take without pay depends on salary:
▪ $50,000-74,999.99 — two days,
▪ $75,000 to 99,999.99 — three days
▪ $100,000-$149,999.99 — six days
▪ $150,000-$199,999.99 — eight days
▪ $200,000-$249,999.99 — nine days
▪ $250,000-$299,999.99 — 10 days
▪ $300,000-$399,999.99 —11 days
▪ $400,000 or more — 12 days.
Clemson estimates that it will lose between $120 million and $180 million due to COVID-19, and the university has already refunded more than $30 million — mostly for housing and dining but also for parking and other recreational activities.
There are currently hiring and travel freezes in place, and Clemson has reduced all of its operational spending across all departments. Other measures could be taken down the road.
Clemson has not had layoffs or job cuts, the school said.
“Still lots of unknowns as to the upcoming football season, unknowns to the spring and will we potentially face disruptions in the spring, so the financial ramifications are serious,” Wagner said.
Clemson’s move is in line with what other universities have done to combat the financial losses caused by the coronavirus pandemic.
The University of South Carolina has implemented furloughs for employees making $118,000 or more. Employees making more than $200,000 must take a month of furloughs, while those making between $118,000 and $200,000 must take two weeks.
Some of USC’s highest paid coaches on campus took 10 percent pay cuts for the year. The group included Will Muschamp, Dawn Staley, Ray Tanner and Frank Martin.
Elsewhere in South Carolina, Coastal Carolina cut 36 jobs in July and is requiring furloughs of up to 20 days for at least the majority of its employees as part of its cost-cutting efforts to combat the financial impact of the pandemic.
This story was originally published August 24, 2020 at 2:42 PM.
