People are at the heart of the University’s mission and forthcoming strategic plan. To realize its ambitious goals, Rice must attract and retain top talent. The Total Rewards Initiative is a key part of a broader strategy to position Rice as an employer of choice. The multi-year initiative kicked off in 2023 with a comprehensive study of Rice’s staff compensation and employee benefits, assessing the competitiveness of Rice’s offerings to peer higher education institutions and major employers in Houston and across the U.S.
Market Study Findings & Progress
The Total Rewards Study revealed that Rice’s staff compensation and employee benefits lagged employers in the comparison group. Informed by the study and the employee benefits survey, Rice developed a four-year plan to invest $20 million to enhance staff compensation and employee benefits. Significant strides were made in FY25, including market pay adjustments for staff and new and expanded benefits for faculty and staff.
Staff Compensation
What was found: Staff compensation fell below competitive market rates.
What’s been done: New staff pay ranges better aligned to the market went into effect on January 1, 2024. In February, approximately 320 staff members received pay increases to make their pay more competitive. This initial $1.5M investment underscores the university’s commitment to offering fair and competitive pay to its staff. In addition to the FY25 pay increase pool of 3%, an additional $3.2M was made available for vice presidents and deans to use at their discretion for things like market pay adjustments and promotions for faculty and staff.
Medical and Dental
What was found: Rice’s medical and dental benefits were less competitive than higher education, local, and national employers.
What’s been done: Rice covers a larger portion of medical and dental premiums, saving employees money. Additionally, access to mental health care, maternity support, and wellness resources has also been expanded.
- Rice pays an average of 78% of medical insurance premiums, up from 76%, saving employees an average of $222 annually.
- The university will cover 25% of dental insurance premiums for those earning $40K or more per year, up from 0%, and will maintain coverage of 50% for those earning less than $40K annually.
- Mind Companion is a simple, digital entry point to match members with the proper mental health care at the right time.
- The Enhanced Maternity Program provides additional support to members throughout pregnancy, including support for at-risk pregnancies, genetic counseling, and postpartum depression.
Employee Tuition Assistance
What was found: Rice’s employee tuition benefits fell short of what was provided by competitor employers.
What’s been done: The employee tuition reimbursement benefit was increased from $2,500 per year to the IRS maximum of $5,250 per year.
Dependent Tuition Benefits
What was found: While the value of Rice’s dependent tuition benefit exceeds that of our higher education peers, it was limited to three institutions (Rice, Trinity, and Austin College). About 88% of peers who offer an away benefit allow it to be used at any accredited undergraduate institution.
What’s been done: Now, employees and their dependents have a choice of tuition benefits. They can elect to receive 100% tuition coverage for Rice, Trinity University, or Austin College, or up to 10% of Rice’s tuition to be used at any accredited college or university in the US.
Staff Paid Parental Leave
What was found: Rice’s paid parental leave was competitive with benefits at comparison employers.
What’s been done: Paid parental leave has been expanded from six to eight weeks per year for babies born or adopted on July 1, 2024, or later. This added benefit puts Rice ahead of our peers and allows new parents more time to bond with their child.
Employee Assistance Program
What was found: Rice’s employee assistance program (EAP) was not used as often as needed with Rice employees reporting a frustrating end-user experience.
What’s been done: Rice partnered with a new EAP, SupportLinc, to provide a more modern EAP experience. The new model offers confidential, professional referrals and up to ten face-to-face counseling sessions for a wide variety of concerns.
Areas where Rice was leading the market include:
- Retirement contributions (ranked #1 most important benefit)
- PTO / Holidays (ranked #3 most important benefit)
- Dependent Tuition Benefits (#1 most important benefit for staff)
What’s Next?
Over the next four years, University leaders and Human Resources will continue to evaluate and enhance Rice’s total rewards package, including:
- Continuing to implement market pay adjustments using a portion of the $5M Total Rewards Investment Budget each fiscal year to bring salaries closer to competitive rates.
- Maximizing the value of the benefits package by leveraging employee feedback, benchmark data, and a portion of the $5M Total Rewards Investment Budget.
The community is encouraged to:
- Find out more about the Total Rewards Initiative.
- Learn more about Rice’s total rewards by visiting the Total Rewards webpage.
- Share the Value of Working at Rice with colleagues and prospective employees.
- Contact benefits@rice.edu or compensation@rice.edu with questions, ideas, and feedback.