Battling the Financial Crisis: Students not Salaries. Really?

“Salaries and perks not students” should be the slogan for all Amherst faculty members during these troubled, financial times. The reality, however, is that there is a group of faculty who seem to be reversing this mantra.

Amherst College has been one of the front runners in admission and financial aid policies for the last decade. It was the first and/or one of the firsts to go need blind for students whose families make below certain income levels and to offer “no loan” packages to students who come from families who earn less than certain amounts of money. Amherst made history yet again the past two years with two major announcements: No loans to all students and need-blind admissions for international students. It does all this with (before the crisis) an almost two billion dollar endowment. Again, Amherst has been a front-runner in admissions and financial aid. Harvard, with the largest endowment (fifteen times larger than Amherst’s) Yale coming in “close” behind, do not operate under the same principles though their packages are substantially better than other institutions. In fact, only Princeton, Davidson, and now Williams are, I think, the only schools that are now true “no loan institutions.”

The problem now is that now that the financial belt has to be squeezed a little tighter because of the economic climate, people are, if I may use a phrase from home, showing their true colors. As with other schools, Amherst has enacted a number of financial restrictions to save money. For instance, they are in a pseudo-hiring freeze and there will be no raises for faculty or staff this year. These latter two actions are actually quite common for institutions today. I leaned that both President Tony Marx and Dean of Faculty Greg Call reduced their personal salaries until better financial times. The negative side, however, does not come from draconian, top down measures to save money like cutting departments or laying off large number of workers, rather the worst response has been that of a group of faculty members.

To save their money they want to, one may say, roll back time. More specifically, instead of exploring more options, according to some, they want to reduce the moneys dedicated to admission and financial aid, the two departments that make Amherst what it is today, the two departments that keeps Amherst in the news more so than any other, the two departments that uphold the alma mater, terras irradient, more so than any other. This group of faculty wants to restructure how financial aid is done, not universally, but in a targeted manner.

I quote a student who alerted the student body to these suggestions and who has rallied other students to stand against, not this group of faculty, but their recommendations and suggestions:

“In response to the ABC report, which recommended only small changes to financial aid targets, a group of faculty members have circulated [a] letter [sic] amongst themselves to suggest to the Trustees that we end need-blind financial aid for international students, stop recruiting in areas with high aid-eligible students (a.k.a. poor students), and start giving out loans. Although they preach sharing the sacrifice throughout the Amherst community, they don't voice any sacrifice they are willing to make."

Some may consider the latter move racist. I do not necessarily (but reserve the right to revisit this). However, I would be mistaken if I do no state explicitly that such a policy change would have disproportionate effects on minority students who are, just like the rest of the population, disproportionately from lower socioeconomic backgrounds than their white peers, and low-income white students who seem always to be left out of these conversations. With respect to minority students, blacks in particular, this is not mere posturing as in thier book Black Wealth/White Wealth, Sociologists Melvin Oliver and Thomas Shapiro, studying the sociology of wealth, has shown that even blacks and whites with comparable levels of education and incomes have different levels of wealth with blacks being disadvantaged because of historical and current racial policies. Naturally, this disparity is even more evident the lower one goes down the socioeconomic ladder. Latinos face similar obstacles as well and low-income whites, again, are absent from many of these discusions though both groups do slighlty better than low-income blacks. What I argue, as has been done before, is that such a “nonracial,” economic policy change would surely decrease the number of minority student you attract to your school. To not send admissions officers to disadvantaged areas, to those areas where students, despite being socially isolated, manage to make it, but still host information sessions at Choate, Exeter, Andover and the like will have racial ramifications. Of this, I have no doubt. Again, the intent, I believe, is not racist but the effect will be, with the blunt of the impact being absorbed by those economically disadvantaged minority and white students.

The faculty should ask themselves would Amherst still lead the country in being home to students from Questbridge, arguably the best enrichment program in the nation that helps students get into top colleges without having them leave thier neighborhoods? Would Amherst still lead the nation in Pell Grant recipients? Although focusing on Amherst and recruiting students from disadvantaged populations, this is a much larger problem. We have seen how, because of budget cuts, schools seem to be the most affected. I wrote about the financial times and the changing role of summer schools. But that spoke elementary, middle, and high school education. This related issue is that of the next step: acquiring the credentials needed to acquire middle class jobs (those this is not guaranteed anymore given that the BA is the new high school diploma). Amherst is less than 2000 students but it has the endowment of a much larger institution. The question this raises is what are other, less endowed schools doing whose financial aid and admission policies are not as generous?

With respect to the reversal of the need-blind admission for international students, (as above with respect to the issue of class and race) I am hesitant to come down on either side of labeling such a claim xenophobic. “Xenophobic,” like racist, is a loaded term and labeling this suggestion as xenophobic is complicated. I withhold judgment until conversations, discussions, or debates are held. My lack of familiarity with international issues and tensions with respect to international students and colleges are restraining my judgment. Thoughts are welcome.

Nevertheless, this matter brings up an interesting question. Should many of these elite institutions with very large endowments, that are need-blind for U.S. citizens and residents, remain need-aware for international students? Although this would cost slightly more, it is possible. Unfortunately, this was not even on the table before many of these institutions suffered due to the crisis. In this shrinking and increasingly globalized world, can we afford to keep international students at bay, especially when we preach attaining global perspectives and send students abroad? Should these institutions really show favoritism for U.S. citizens and residents? These are questions that most schools will probably not wrestle with for some time.

I write this post not to bash Amherst or the thoughts of this group of faculty members. Amherst is my alma mater and has opened many doors for me. As I was quoted saying before, it allowed me to rewrite the narrative of my life. However, during these times I propose that we all pay closer attention to the ways in which our alma maters—and colleges more generally—are slimming down their expenditures from their endowments and speak out against policies that will disproportionately disadvantage (in this case in admissions and financial aid) already disadvantaged populations.