The Real Story: Facts About Milwaukee Area Technical College

Health Insurance

•  Contrary to media reports, MATC employees do pay for their health insurance. There are three health insurance plans at MATC. The vast majority of Local 212 members are part of the PPO plan. That plan contains in and out of network deductibles, co-pays, and co-insurance (i.e. paying 10% to 20% of some services depending whether the service is in or out of network). 

•  During the last negotiations between MATC and its unions, significant changes were made to the health care plans in order to reduce the level of increase in insurance rates . Health care rates for MATC are going up only 2% for this coming year

•  Experts in health care frown upon requiring employees to pay for health insurance premiums because this does nothing to curb health care utilization and thus does not decrease overall costs. Rather, paying on premium has shown to be an incentive to utilize health insurance , thus increasing costs . In the MPS arbitration ruling, Arbitrator Grenig wrote the following: 

“Where employees do share costs, the more effective method is to share costs which lead employees to think about whether they need the particular service or not. These methods, commonly called "steerage", include co-pays, co-insurance, deductibles and other cost sharing tools that make the employee part of the process.”

The arbitrator then went on to say that premium sharing is frowned upon by arbitrators because it is ineffective in holding down costs. 

Salaries

•  The range of MATC faculty salaries is $44,002 to $85,156. The range reflects both the number of years of teaching experience at MATC (there are 14 steps) and the level of education the faculty member has. The top level of pay is reserved for those employees with years of experience and at least 32 credits beyond a Masters Degree .   

•  MATC's average annual faculty salary was $73,000 in 2004-5, $18,000 a year less than the number the Journal-Sentinel has publicized and Republicans have repeated . Average salaries for administrators at MATC were $91,000 annually, almost $20,000 more than critics have publicized. (Salary figures from Wisconsin Technical College System; see attached table).

•  Salaries for MATC instructors have increased only 2.8% a year over four years, below the rate of inflation and lower than eight other technical colleges in the state. 

•  Faculty members can earn more than scale only if they teach extra classes or do administrative duties over and above their teaching obligations. 

•  Unlike employees in other professions who are paid 150% of their salary for overtime work, faculty who teach above their regular load are paid only 60% of their regular rate . This rate is the same rate at which part-time faculty are paid. 

•  If full-time faculty did not teach above their regular teaching load, their replacements would either be part-time faculty who are paid at the same rate, or the college would have to hire more full-time faculty and pay them at the regular full-time rate plus pay additional benefits. The latter option would be required in many instances where part-time faculty are not available to teach in particular areas. 

•  This means two things: a) Full-time faculty teaching above load save the college many hundreds of thousands of dollars each year, and b) Using more part-time instructors instead of full-time faculty for these extra assignments would save nothing. 

Welding Training

•  The Journal-Sentinel reported on June 11 that MATC had only graduated 14 welders in the class of 2005, a figure repeated by Republicans.

•  In reality, MATC trains well over 400 welders per year in a variety of programs at three campuses that include One-Year Technical Diploma, Two Year Associate Degree, Advanced Technical Certificate, Welding Skill Certificate, Customized Training for Private Industries, and Apprenticeship Training. In addition, several other trades require welding training for their diploma, degree and apprenticeship programs.

•  The figure of 14 graduates is accurate only for the One-Year Technical Diploma. Thirty-six students were in the program to produce the 14 graduates, as many students find the work unappealing while others “job out,” that is, get jobs as a result of the training. A few each year complete the course but don't fill out the paper-work for graduation.

MATC Cost Per Student Below Average

The real issue is how costly is instruction at MATC compared to the other technical colleges. The answer is that MATC is below the state average in cost per FTE (full-time equivalent student), meaning it costs less to instruct a student at MATC than at most of the other tech colleges in the state.