|For the Week of August 12, 2013
Sacramento Bee editorial writers are taking UC leaders to task for complaining about declining support for public education "when they continue to jack up salaries and expenses among their own ranks." The examples (reported in last week's Monday Memo) are executive travel at UCLA, and the $260,000 salary for UC Davis's new communications chief. "Does the workload of a new public relations employee really merit more salary than that paid to the state's governor?"
UC has filed suit against AIG for securities fraud in the period leading to the economic collapse in 2008. UC says it lost billions based on false statements AIG made.
UPTE members gather for a Q&A session at UCSD. Photo by Susanne Paradis
Meanwhile, what’s happening with the $8 billion UC has invested in private equity and venture capital funds? A senior editor with Fortune.com noticed that UC is almost a year behind in publishing the performance data from its alternative investment portfolio. When he called to inquire, UC hemmed, hawed, and finally hung up on him. UC has “committed more than $8 billion to approximately 200 private equity and venture capital funds, but the school doesn't know how any of those investments are doing. Or at least that's the line they're feeding me," wrote Fortune’s Dan Primack.
A UCSF intern who was required to work 40 hours a week but was paid for only 17 has won $14,000 in back wages after filing a complaint with the California Labor Commissioner. The commissioner rejected UC’s claim of special exceptions for interns and found that UC had violated the Fair Labor Standards Act, pointing out that the intern had been issued an employee ID number and was paying payroll taxes.
California’s governor has reached agreement with the union representing 4,900 state health care workers, according to a report in the Sacramento Bee, resulting in 8 percent increases for two job classifications, and a 3 percent increase for the rest.