The policy on supplemental compensation requires faculty members to obtain prior agreement from the appropriate administrative officers of the University before undertaking activities that provide supplemental compensation for professionally related activities.
Supplemental compensation activities by faculty can support the University’s missions of teaching, research, and service and are encouraged within the limits set by this policy.
Responsibility for adhering to the provisions and spirit of this compensation policy is one of the professional obligations a faculty member assumes when accepting employment at the University. The restrictions in this policy apply only to periods for which the employee is compensated by the University. Any questions concerning the policy should be discussed with the appropriate administrative officer before beginning a supplemental compensation activity.
“Faculty,” as used in this Supplemental Compensation Policy, refers to those with full-time appointments at any faculty rank, including academic deans and other administrators. Faculty includes faculty members on sabbatical leave.
“Internal supplemental compensation” is any compensation paid through the University to any faculty member in addition to base pay.
“External supplemental compensation” is any salary or wages not paid through the University that a faculty member receives for currently performed professionally related services.
“Supplemental compensation” refers to both internal and external supplemental compensation.
“Academic-year appointment” normally covers the nine-month period beginning on August 16 and ending on May 15. A 12-month appointment normally begins August 16 and concludes on the following August 15.
“Appropriate administrative officer” refers to that individual who determines the faculty member’s conditions of employment. The appropriate administrative officer for a faculty member normally is the dean of the school or college or division director. Reports and requests for approval from faculty members will be transmitted to the dean or director by the appropriate departmental chairperson and will include the chairperson’s recommendation. If the faculty member is a dean, vice president, or other executive, the appropriate administrative officer is the person to whom the individual reports.
B. Supplemental Compensation
Reporting of all significant supplemental compensation activities is an integral part of establishing performance expectations between a faculty member and the appropriate administrative officer, but no report or prior approval is required concerning a one-time external compensation activity if the activity takes less than half a day or if the compensation is no more than $1,000. The reporting process and the nature of the report will be that specified by the division to which the individual is assigned. Faculty members shall not undertake compensated activities that will in any way: 1) conflict with the lawful interests and goals of The University of Alabama; or 2) impinge on their primary responsibilities to The University of Alabama. In the case of externally compensated activities, faculty members shall not: 1) make use of property or personnel of The University of Alabama for the purpose of obtaining compensation from sources external to the University, except when such use is permitted by law and is a normal part of the individual’s professional academic activities; or 2) use or permit the use of the name of The University of Alabama in a way that would suggest that the activity is sponsored or endorsed by the University, without prior authorization of the President.
1. Approval for Supplemental Compensation
Each faculty member at the University is expected not only to be an effective teacher and to maintain an ongoing program of research and scholarly effort, but also to exercise responsible service/academic citizenship. This typically includes advising students, serving as faculty advisor to student organizations, actively participating in professional associations, and engaging in other University activities where faculty participation is normal. Because supplemental compensation activity may infringe on these responsibilities, the faculty member is required to seek and receive prior written approval from the dean or the dean’s designated representative for any such activity. Deans, on their part, will respond with approval (or disapproval) promptly and normally will respond within five working days of receiving the request. If the proposed activity is not approved, the dean will give the faculty member written notice of reasons for disapproving. Factors to be considered by the dean when deciding whether to approve supplemental compensation activities may include possible conflicts of interest, the amount of time the activity will require, and the appropriateness of arrangements to meet the faculty member’s responsibilities.
2. Limitations on Supplemental Compensation Leave
a. Nine-month faculty: Faculty members on academic-year appointments may have no more than 39 supplemental compensation days (excluding weekends and holidays) during any academic year.
b. 12-month faculty: Faculty on 12-month appointments must make arrangements with the appropriate administrative officer in order to receive supplemental compensation. Their maximum number of supplemental compensation days is 28 (excluding holidays, weekends, and annual leave) in any 12-month appointment period.
c. Interim Term: Faculty members with a full-time, interim-term assignment may not exceed three days of supplemental compensation during that period. Faculty members with a full-time summer assignment may not exceed five days of supplemental compensation in any summer term.
d. Exception: Deans of academic units that have unique needs to provide continuity of service to a community on a set schedule (e.g. patient care, clinical supervision, professional services) may reduce the number of allowed faculty supplemental compensation days with written approval from the Provost, provided the approved alternate policy is consistently applied to all similarly situated faculty in that unit.
3. Working for Another Higher Education Institution
A full-time University faculty member may not be employed in a faculty/academic role with any other institution of higher education without written approval from the Provost. Those holding non-compensated faculty/academic appointments with any other institution of higher education should notify their deans, who will ensure appointments are not impinging on faculty members’ primary responsibilities or conflicting with the lawful interests and goals of the University.
4. Discipline for Violations
An appropriate administrative officer who obtains information that a faculty member has violated these supplemental compensation standards will discuss the matter with the individual and may, with documented evidence, take any additional steps (including sanctions defined in Chapter 3, Section III) needed to ensure compliance.
C. Internal Supplemental Compensation
Each faculty member of the University must have prior written approval for all internal supplemental compensation activities.
1. Other than in exceptional circumstances, all teaching is done as a part of the assigned workload and without supplemental compensation. If teaching for internal supplemental compensation takes place, it is done over and above the assigned workload and normally is limited to one three-hour or four-hour course per semester.
2. Receipt of internal supplemental compensation for externally sponsored research and service activities is subject to the current policies and regulations of the external sponsor. The statements that follow describe some of these policies.
- Internal supplemental compensation under sponsored programs (e.g., contracts and grants) is subject to University policy, except where the sponsor’s policy is more restrictive.
- Certain funding sources may require more specific documentation of both internal and external supplemental compensation activities; such conditions are specified in the terms of the agreement or sponsor policy. Any faculty member accepting such sponsorship is presumed to have accepted the conditions of the sponsoring agency. It is the responsibility of the faculty member to provide any required documentation.
- Unless prior written approval is given by the sponsoring agency and the appropriate administrative officer, a faculty member cannot: 1) receive internal supplemental compensation on a project under the faculty member’s direction; or 2) serve both on University-assigned time and receive internal supplemental compensation for the same work.
- If federal funds are used, supplemental compensation is only allowable in unusual cases where consultation is across departmental lines or involves separate or remote operations and the work performed by the faculty member is in addition to regular responsibilities. Charges for such work representing additional compensation are allowable provided that such consulting arrangements are specifically provided for in the federal award or approved in writing by the federal awarding agency. Further, compensation, including supplemental compensation, paid from federal funds will be at a rate not in excess of the individual’s institutional base salary.
3. The remuneration for internal supplemental compensation activities depends upon negotiation between the faculty member and the agency in question. Usually, the daily rate for internal compensation will not exceed 1.5 percent of the academic-year salary or 1.15 percent of the 12-month salary, and the pay for teaching a supplemental course will be no more than that for teaching a comparable course during a summer term.
4. University faculty members who engage in conferences, workshops, and seminars through the University’s College of Continuing Studies will, except for such activities funded through a grant or contract, receive internal supplemental compensation at rates determined by negotiation with that College. These rates will be competitive to the extent that such rates are compatible with the projected revenue/cost of the program and with other relevant economic considerations.
D. Reporting Procedures
Each academic unit of the University should develop a process for reporting and summarizing external supplemental compensation activities. Faculty members must follow the procedures of the academic unit to which they are assigned. Deans are responsible for collecting the information annually and providing it to the Provost upon request.
E. Conflict Provisions
The terms and conditions of any agreement between the University and external organizations, or between the University and particular employees, will prevail in the event of any conflict between that agreement and the provisions of this supplemental compensation policy.