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Harvard Now Sees the Error of Its Wages
The Boston Globe, via Common Dreams ^ | Dec. 24, 2001 | Robert Kuttner

Posted on 12/26/2001 3:14:27 PM PST by summer

Published on Monday, December 24, 2001 in the Boston Globe

Harvard Now Sees the Error of Its Wages

by Robert Kuttner

LAST WEEK, a Harvard committee headed by labor economist Lawrence Katz found that its low wage employees, mainly janitors and food service workers, indeed are paid less than a living wage.

The 19-member panel, including students, workers, administrators, and 10 faculty members, was established by outgoing Harvard President Neil Rudenstine last May to end the biggest Harvard sit-in in more than a generation. Some 40 students occupied Massachusetts Hall for weeks to protest the world's richest university's failure to pay its least powerful a minimal livelihood.

The report is a stunner. It concludes that the students were right. It found that 392 workers were paid less than the $10.68 per hour living wage defined by the City of Cambridge. Some are on food stamps. The committee concluded that the wages of custodians had actually fallen by 13 percent between 1994 and 2001.

The Katz committee recommended an immediate wage increase as well as a shift in Harvard's policies, so that wages of contract workers don't drag down those of permanent employees. The report stated pointedly, ''A good employer should work to ensure that its lowest paid and most vulnerable workers share in economic prosperity.'' Harvard President Lawrence Summers, who complimented the authors, deferred action until the new year. But there's more to the story.

The committee's chair, Lawrence Katz, is a widely respected scholar who served as chief economist of the US Department of Labor under Robert Reich. Katz did some serious labor-market research. He found that the downward drift of wages among Harvard's janitors had a lot to do with the fact that many are immigrants, people often desperate enough to work for less and hence to depress prevailing wages.

His research also confirmed that Harvard's contracting-out strategy not only drove down wages of contract workers, but of permanent employees as well. This occurred despite the fact that the permanent custodial employees are represented by a strong union, Service Employees Local 254.
The committee suggested that Harvard break new ground by using contract workers to increase efficiency and flexibility, but not to drive down wages.

Katz also deftly walked a tightrope between some of his committee members who wanted even stronger recommendations and Harvard President Summers, a longtime colleague with whom Katz has co-authored scholarly papers. Katz will need Summers's support in the next bargaining round. And the committee, the students, unions, and an alumni support group will need to keep the pressure on. Many wanted wages to go to at least $15 an hour, as some other area universities pay custodians, rather than the floor of about $11 that Katz's committee recommended.

The broader issue is the role of an employer like Harvard in creating a decent society. Harvard has oscillated between looking big, arrogant, and stupid and taking a real leadership role on social issues. When Harvard plays the former role, it is usually a public relations disaster. When it plays the latter role, it often results from a combination of patrician noblesse oblige from above and idealistic student pressure from below.

Administrators spent more than a decade resisting the right of clerical and technical employees to unionize. Its white- shoe lawyers behaved like attorneys for union-busting company.

It took student and worker organizing and ultimately the personal intervention of then-President Derek Bok, once a labor law professor, to overrule the lawyers and get on with the task of bargaining in good faith. Katz's report, in this spirit, declares, ''Unions can and should provide an effective vehicle for providing Harvard's service workers with voice at the workplace.''

By the same token, Harvard's relationships with Cambridge and Allston have alternated between good neighborliness and a ruthless effort to acquire far-flung properties by stealth and to pay as little as possible in lieu of taxes.

It's hard to keep secret that Harvard is swimming in money. If Harvard were a conventional corporation, it would cite competitive pressures and pay low-wage workers as little as it could get away with. But Harvard, by definition, is a different sort of creature. In an era of cutthroat capitalism, institutions like Harvard need to stand for different values.

The students who risked their sheepskins, the professors who risked cordial relations with their president, and the janitors who risked their jobs all deserve our thanks. Seasonal tidings of community and generosity to all.

Robert Kuttner is co-editor of The American Prospect. His column appears regularly in the Globe.

© Copyright 2001 Globe Newspaper Company
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TOPICS: Culture/Society; Extended News; News/Current Events
KEYWORDS: masslist
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He found that the downward drift of wages among Harvard's janitors had a lot to do with the fact that many are immigrants, people often desperate enough to work for less and hence to depress prevailing wages.

Believe it or not, this is also what is happening with teachers in certain states. More and more school districts are paying big bucks to recruiting companies to lure experienced, foreign teachers to come to America and teach -- thereby, financing an immigrant pool of teachers who will (a) not complain about low salaries, nor (b) want to complain about current education policies, in exchange for: being in America.

One retiring teacher I know -- referring to the high number of foreigners who are cab-drivers in NYC -- actually told me he believes "teaching" is this country's new "taxi-cab" profession.

Yet, IMO, there is actually be no reason for this influx of new teachers from other countires. There are many highly qualified, new teachers, who are American citizens.

But, they quickly leave the teaching profession, citing low job satisfaction among other reasons -- and, sensing that too many of the problems in education will not be solved anytime soon. Hiring foreign teachers seems to ensure that no one really has to change anything in education, since the foreign teachers are just happy enough to be working in this country.
I am personally not against these foreign teachers, but it bothers me to hear about school districts paying high recruiting fees to bring them to this country while plenty of new, American teachers are leaving the teaching profession in record numbers -- and, school districts do nothing to attempt to retain these new, American teachers.
1 posted on 12/26/2001 3:14:27 PM PST by summer
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To: summer
You could have a point about the teachers. I have no use for either Harvard or Kuttner, though. Check out this article on Bob the Boss from Hell Kuttner.
2 posted on 12/26/2001 3:21:57 PM PST by x
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To: Oschisms
Thanks for that fascinating freepmail, Oschisms! Thought you might find something interesting on this thread. :)
3 posted on 12/26/2001 3:22:45 PM PST by summer
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To: x
Very interesting VV article about him, and one I had actually intended to read! Thanks so much for taking the time to provide the link. :)
4 posted on 12/26/2001 3:29:33 PM PST by summer
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To: summer
Several months ago there was a forum piece at the NYTimes which pointed out that Harvard had a $19 Billion endowment. The premise of the forum was that Harvard was not "correctly" spending the endowment's income. In typical Liberal fashion the Times' forum question was "How should Harvard spend its endowment, (as if "we" should have a say!)

Maybe the Harvard board of gevenors will respond generously to their low paid employees.

5 posted on 12/26/2001 3:33:31 PM PST by Young Werther
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To: summer
Harvard was given A to veryone
6 posted on 12/26/2001 3:37:30 PM PST by expose
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To: x
My read between the lines is that the University has traded on it's name to take advantage of the workers to enrich their own coffers. Other universities in the same area pay higher wages and should be able to attract these workers to the higher wage. Seems Harvard has to admit its own arrogance in a self-criticism session for the people.
7 posted on 12/26/2001 3:39:06 PM PST by Thebaddog
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To: Young Werther
Harvard had a $19 Billion endowment.

I remember reading that somewhere, maybe not in that forum. And, at the time, I thought: 'Let's see, $19 billion they can't figure out what to do with -- and their janitors are on food stamps... Hmmm....this is really a tough one....'

Harvard really came out looking terrible on this issue -- cheap, uncaring, pathetic. Hardly a role model.

Thanks for your post. :)
8 posted on 12/26/2001 3:39:30 PM PST by summer
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To: expose
Re your post #6 -- Yeah, I read about those inflated grades. Another strike against them! :)
9 posted on 12/26/2001 3:40:55 PM PST by summer
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To: Thebaddog
Other universities in the same area pay higher wages and should be able to attract these workers to the higher wage.

I'm not so sure this is true -- I would not be surprised if other universities in Boston also paid very low wages.
10 posted on 12/26/2001 3:42:31 PM PST by summer
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To: summer
If they feel they are worth $15 or $1500 an hour, let them go compete in the work force and see if they'll get any takers who want to pay more.

Maybe $10+ is good money for those nearly skilless employees. Maybe if 4 of them live in the same place at $10+ an hour they can get by!

11 posted on 12/26/2001 3:48:46 PM PST by A CA Guy
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Comment #12 Removed by Moderator

To: summer
This is typical liberal hypocracy. They're so busy thinking and worrying about the plight of the little guy that the little guys in their care are on food stamps while they have billions gathering interest and making them richer. It's disgusting.
13 posted on 12/26/2001 3:52:51 PM PST by McGavin999
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Comment #14 Removed by Moderator

To: McGavin999
This is typical liberal hypocracy. They're so busy thinking and worrying about the plight of the little guy that the little guys in their care are on food stamps while they have billions gathering interest and making them richer. It's disgusting.

I agree with you, McGavin999. And, I'll bet these janitors and food service workers were not very moved by Gore's last minute "populist" campaign in Nov. 2000. Nor was I.
15 posted on 12/26/2001 4:01:55 PM PST by summer
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To: abwehr
Perhaps I should also add that if Harvard provided access to and free tuition for its employees they would have no issue.

That's a really good point. But, such a move would substantially eliminate other available slots for certian incoming freshman....
16 posted on 12/26/2001 4:03:21 PM PST by summer
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To: abwehr
Allow the janitors to attend classes free. Within a few years they will be highly sought after Harvard grads and can put down their mops and brooms and teach!

Yes, and then they can all sell their stories to Hollywood! :)
17 posted on 12/26/2001 4:05:10 PM PST by summer
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To: A CA Guy
These workers may have few skills in your eyes, but, they do provide services to Harvard that are needed by Harvard, and Harvard is loaded with money -- and, Cambridge is an expensive place to live in or near.

You'd think that someone in Harvard's administration could have figured all this out before the students resorted to a highly publicized protest. But, I guess not.
18 posted on 12/26/2001 4:07:30 PM PST by summer
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To: summer
The author stated that "It's hard to keep secret that Harvard is swimming in money"

That is true. I hsve two Harvard degrees, and I'm fed with the way it treats its janitors, maids and other menial employees.

Let's look at the other side of Harvard.The latest issue of Harvard Magazine carries an article about terrorism and its roots. It reported a panel discussion on that subject by some faculty members.

One of the most startling charges was made by Jessic E. Stern, Lecturer in Public Policy at Harvard's Kennedy Center and a director of Eastern European Affairs at Clinton's National Security Council

Stern charges that "dropping nuclear weapons on Hiroshima and Nagasaki ...fit our (sic) definition of terrorism because it is clear...that the purpose was to terrorize the civilian population".

You people worry that Harvard pays its employees substandard wages, while its governing bodies, the President and Fellows and its Board of Overseers ignore treasonous and revisionist statements such as this from its faculty.

19 posted on 12/26/2001 4:17:22 PM PST by W1RCH
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To: summer
school districts do nothing to attempt to retain these new, American teachers. As you yourself point out, this is a cultural problem. What can districts do?

The teaching profession carries no respect of the parents and may be fatal. What can the principal or district do about that?

20 posted on 12/26/2001 4:21:24 PM PST by TopQuark
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