Bring Back the Jobs

At the time of Harvard’s 375th anniversary—and the tenth anniversary of the successful living-wage campaign on this campus—it seems appropriate to reflect on some more recent history and its meaning for the future of the University.

Back in 2008 and 2009 when the lotus-eaters in the administration awoke to find that all was not well with the endowment, panic ensued. Rather than taking responsibility for this debacle, the administration responded with “the Great Purge.” A decision was reached by handsomely compensated administrators to “downsize” those much lower on the food chain; and for those lucky enough to survive, there were hour cuts and other misfortunes.

Never mind that this was the worst recession in 50 years and that all those who “moved on” would find it rough going in a nonexistent job market. “Prudence” dictated that administrators act boldly, decisively, and swiftly in introducing “efficiency” measures—all within a near-total information blackout.

Of course, “prudence” in investing did not seem to be on the table. As noted in a recent report from the Tellus Institute of Boston, Harvard’s endowment managers were richly rewarded for gambling the lunch money—at the same time that the administration was cutting hot breakfasts for students, shutting down every other elevator at Holyoke Center, and, of course, showing many loyal employees the door.  Here was tragedy and farce in equal measure.

Now a debate has arisen over whether top-level pay packages were fair.  To consider million-dollar compensation as “fair” at the same time that the administration was imposing austerity measures on students, faculty, and employees is simply ludicrous.  Where is the discussion of merit, leadership, responsibility, and accountability?  A few brave souls among the faculty have spoken up—but from the administration, not a word.

Finally, two years later, the administration feels it safe enough to admit publicly that it cut 800 jobs in 2008–2009.  However, because of the total lack of meaningful transparency at an institution whose motto is “Veritas,” one may rationally assume that the number of casualties was much higher than this.

The lack of financial transparency has ballooned as an issue ever since the endowment crisis swept through college communities. Senior administrators at Harvard made sure that the message around endowment losses stayed focused on sacrifice and cuts and not on responsibility.  Their embrace of secrecy resembled nothing less than what was happening in the big banks and financial houses, where the avoidance of responsibility is legendary.

When the scope of the losses became known our union asked for adequate financial disclosure to allay widespread concern that senior administrators were gaming the crisis and pushing an agenda unrelated to need. What we received were the same canned briefings that the rest of the Harvard community—students and faculty—were subjected to.  These “informational” meetings were long on fear and short on facts.

The lack of genuine transparency, and the inability to have a meaningful dialogue about the crisis, convinced us to reject calls for all layoffs and cuts as both unnecessary and needlessly cruel. We said more than once that no one—not managers, not professors, not staff, whether unionized or not—should be pushed out into such a brutal job market.  Unfortunately, senior administrators had no apparent qualms about what would happen to people they laid off, whose hours they cut, or whose wages were frozen.

Harvard’s endowment has surged ahead by 21.4 percent this year, rising to a mere 32 billion dollars.  What better time to jettison the rhetoric of “poor Harvard” and restore those lost jobs and hours cut—and regain some of Harvard’s honor so recklessly spent?  The administration is creating a Harvard that acts not like a taxpayer-supported, nonprofit educational institution, but like a Fortune 500 corporation that cost-shifts its mistakes onto the backs of the vulnerable.

Harvard at its 375th anniversary can—and must—be not only a leader in education, but also a true partner in our larger community and a bedrock of respect and fairness to those who make the University function.

Wayne M. Langley is the Director of Higher Education for SEIU Local 615.