Sen. Laura Murphy said that her Senate Bill 2240 is intended to prevent the skirting of a law that prevents university administrators from receiving excessive payouts when they leave a position. | Facebook
Sen. Laura Murphy said that her Senate Bill 2240 is intended to prevent the skirting of a law that prevents university administrators from receiving excessive payouts when they leave a position. | Facebook
A piece of legislation that recently passed the Illinois Senate is intended to prevent university administrators from taking excessive payouts when they leave their positions to take another job within the university.
Senate Bill 2240, sponsored by Sen. Laura Murphy (D-Des Plaines) is meant to strengthen the law and close loopholes by expanding the definition of severance pay and defining limits on compensation.
Murphy posted to her official Facebook page about the importance of reforming the system by which such administrators receive final payouts.
“Students and taxpayers shouldn’t have to foot the bill for a retired administrator’s six-figure payouts,” she said. “The Government Severance Pay Act was intended to ensure our institutions spend responsibly, with the campus community in mind – it’s time we hold them to that standard.”
Originally passed in 1918, the Government Severance Pay Act already covers the severance packages paid out by universities, according to a press release on Murphy’s official website.
Employees leaving a position to transition to another position within the university would now be included under the measures of the law, according to the release. It would also limit the compensation any employee may receive in any year to that of the highest-paid employee in the department.
Alerts Sign-up