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University of Iowa News Release


April 7, 2009

UI Health Care announces new voluntary cost reduction programs

As part of its ongoing efforts to reduce expenses in keeping with the decline in the overall economic situation, University of Iowa Health Care today announced two new voluntary expense reduction programs.

A "Voluntary Temporary Reduction in Pay" option for FY 2010 is being offered to all eligible University of Iowa Hospitals and Clinics and University of Iowa Roy J. and Lucille A. Carver College of Medicine faculty and staff. In addition, all eligible employees of UI Hospitals and Clinics have the opportunity to give back one or more days of vacation time.

These programs follow the initiative of more than 40 senior managers who volunteered to give up 5 percent of their pay for the remainder of FY 2009 and through FY 2010, forego any annual salary increases in July 2009 and forego any incentive compensation for FY 2009.

"Response to the senior leadership initiative has been overwhelmingly positive," said Jean Robillard, M.D., vice president for medical affairs for UI Health Care. "Many employees wrote to ask what they could do to help, and many suggested a voluntary program similar to what senior management is doing. These programs were developed in direct response to employee requests."

Although it is unknown how much this latest voluntary effort will save, Robillard is optimistic that savings will be significant.

"UI Health Care is continuing to evaluate a range of other opportunities for further, necessary expense reductions. The more we can achieve through voluntary actions, the more we will be able to meet our budget goals, minimize the impact on the workforce and preserve UI Health Care's mission of excellence in patient care, education and research," he said.

STORY SOURCE: University of Iowa Health Care Media Relations, 200 Hawkins Drive, Room E110 GH, Iowa City, Iowa 52242-1009

MEDIA CONTACT: Tom Moore, 319-356-3945,