Indiana University President Michael A. McRobbie this morning announced that he plans to freeze salaries for senior administrators in the 2009-10 fiscal year, a move that would save more than $2 million.
The freeze would apply to as many as 400 employees. The move is McRobbie's latest effort to respond to the recession and slumping stock market, which have strained finances of colleges nationwide.
Earlier this fall, he announced a slowdown in hiring administrators, among other cost-saving measures.
McRobbie's latest move comes a day after the state forecast it will take in nearly $1 billion less in revenue than it projected when the current two-year budget was written in 2007.
"My goal is to protect our ability to fully perform our primary missions of education and research even in the face of declining or static revenues," McRobbie said. "I am also determined to keep IU as affordable as it is now for Indiana residents."
About 22 percent of IU's $2.6 billion budget this year came from state support.
McRobbie said his salary-freeze plan would be among the budget recommendations he submits to the university's trustees in May.
McRobbie rolled out the plan during a trustees business meeting at IUPUI.