WDAM at 6: Faculty Senate questions USM outsourcing - USM Forum -- Message Board

Date: Dec 19, 2005

WDAM at 6: Faculty Senate questions USM outsourcing

Date: Dec 19, 2005

If any of you have friends at UT-Knoxville, ask them how the outsourcing of physical plant has worked. Apparently it works about as well as our outsourced bookstore.

Date: Dec 19, 2005

Outsourcing the bookstore and the food can be defended (not that I really want to) because they primarily sell a product. Physical plant, on the other hand, is an integral part of the daily operation of the facility. If you outsource something, the vendor has to make a profit. They already can barely function with the money and people they have -- how is an outside entity going to make a profit? You can give somebody a less mashed potatoes to make the food dollars stretch, but how are you going to "economize" on the plumbing?

Never mind, I don't think I want to know.

Date: Dec 19, 2005

I believe that one of the things that people are most concerned about is that a group of people, with many years in the state retirement system, may be shafted!

Imagine having about 17 years, maybe 20 years, in the system and everything is looking fine. You have a home in the Hattiesburg area and no reason to leave. You work hard each day and are planning for what will be a good, if not rich, retirement. And then, the state job that you planned to rely upon as long as you worked hard is potentially yanked out from under you.

That is a huge issue, because who out there really believes that all of these employees will keep their jobs in a private sector environment? Could the university find some way to secure the positions of some people who are close to retirement, so that they could work in another position on campus and get to their promised retirement as expected.

I'm not a socialist, I am a believe in a market economy and democracy, but I still think that this is potentially a very raw deal that is being dealt to a number of loyal university employees. I would like to see some evidence that proves me wrong!

Date: Dec 19, 2005

Good points, Re-Tire-Ment. But when does this regime care about people?
Also, a lot of people at that stage have children in college and the tuition issue is a big one too.
How was that handled with the food service and bookstore folks?

Date: Dec 21, 2005

Moved to this thread that is already on topic.

Date: December 19, 2005

Passed without dissent by members of the Faculty Senate on 12-09-05.

Endorsed by Members of Staff Council through email and phone 12-19-05.

To: Mr. Gregg Lassen, Chief Financial Officer

Box 5005

From: Members of the Faculty Senate and Staff Council

Topic: Potential outsourcing of the Physical Plant operations

We are concerned about the announcement, “USM may outsource the Physical Plant operations,” that appeared in recent articles in the Hattiesburg American and Clarion Ledger. Apparently, this announcement was a surprise to many who may be affected by this most recent outsourcing initiative. Regrettably, the announcement comes just before the Christmas holidays and just after so many of the people whose jobs may be outsourced devoted so much time and energy to helping the university move forward from the damage of Hurricane Katrina.

Mr. Lassen, you are quoted as having said, “If we go this route, the university and employees will benefit.” We are not sure how employees will benefit, but your assertion raises several questions.

1. What is the main motivation for outsourcing the operations of the Physical Plant?

2. What will happen to the state retirement programs for employees who have served USM for, say five years? Ten years? Fifteen years? Twenty years? Twenty five years?

3. What about medical benefits employees currently have?

4. What about other benefits such as tuition reductions for family members?

5. Will any benefits (such as tuition waivers) be “grandfathered in” for Physical Plant staff?

6. What happens to the commitment to USM from employees of the Physical Plant?

a. Do they still consider themselves as part of the USM family?

b. Does USM still consider them as part of the USM family?

7. How much does USM expect to save through outsourcing operations of the Physical Plant, and how does it intend to achieve these savings?

8. Just how would a private sector firm to whom the operations of Physical Plant are out sourced make a profit?

a. By reducing employment levels?

b. By charging more for services to units within the university?

c. By a fixed contract with the university?

d. Through a less experienced workforce?

e. Through lower compensation (including benefits)?

9. Can current employees of the physical plant expect long term employment with a firm to which services have been outsourced?

10. What happens when the initial contract expires?

11. What impact will outsourcing to an out of state firm have on businesses in the local community that currently provide materials and services to the USM Physical Plant?

Members of the Faculty Senate and Staff Council hope the Administration will openly respond to the points above as well as other relevant questions and concerns.

Is the initiative to outsource the operations of the Physical Plant the business of the members of Faculty Senate and Staff Council? We believe an outsourcing initiative that may have a notable impact on the university as a whole and to valued employees is the business of every member of our university community and most certainly the business of the elected representatives of faculty and staff. We are deeply concerned for the welfare of the staff of the Physical Plant, and we are equally concerned about a university that seems to be on a path of off loading colleagues who have contributed much and who believed they were part of a USM family. In this context, we urge the administration to establish a transparent and participatory process to help determine if and how outsourcing “benefits all.”

xc Dr. Shelby F. Thames, University President

Dr. Jay Grimes, Provost

Members of the Faculty Senate

Members of Staff Council

Date: Dec 21, 2005

Now that Lassen is back in town, WDAM is back on Monday's story.

WDAM is running a two-parter on USM outsourcing Wed. and Thurs. Tonight's is an interview with Lassen. Lassen says anything not connected with teaching or research is an outsourcing possibility. He also insists that it's "not a guarantee" that Physical Plant will be outsourced.

Date: Dec 22, 2005

Lassen's money quote from the Thurs. news:

"I just reject the notion that this is negative. There's a chance for these people to be paid better, to have better security. The truth is, as a staff employee, they don't have any guarantee of employability tomorrow. State government employee doesn't guarantee that. These are not tenured faculty. These are staff employees."

The story will air again at 10 tonight.

Date: Dec 22, 2005

info wrote:

Lassen's money quote from the Thurs. news: "I just reject the notion that this is negative. There's a chance for these people to be paid better, to have better security. The truth is, as a staff employee, they don't have any guarantee of employability tomorrow. State government employee doesn't guarantee that. These are not tenured faculty. These are staff employees." The story will air again at 10 tonight.

Thanks info. He also said that there were about 10 people who had about 20 to 25 years service and implied they could be taken care of separately.

I don't see the problem; all you have to do is TRUST them.

Date: Dec 22, 2005

Disingenuous. It's not the 20-25 year people who are worried. If you've got 20, you can draw at 60, right? It's the 15-19 year people who are going to be in trouble.

Still, I get the feeling his heart is not in the proposal. He keeps leaving those doors open to back out. Anybody know?

Date: Dec 23, 2005

The real problem is the University needs capital. At this point anything that can bring in upfront dollars even if it is temporary is on the table. We are being run as a business and that is what big business has been doing for the last ten years or so. We have a full time manager of outsourcing whose existence depends on finding more things to outsource. The people who are making these decisions don't interact on a daily basis with physical plant like staff do. The relationships we have built with them over the years has allowed us to get better service than we ordinarily would if we didn't have relationships.

Date: Dec 23, 2005

lowly staff wrote:

TThe relationships we have built with them over the years has allowed us to get better service than we ordinarily would if we didn't have relationships.

There is the heart of much that's wrong with the Thames regime. It's all about the way you treat people.