Reference no: EM131113843

You are the vice president for faculty relations at Prestigious University, a private university in New Jersey. There is no formal collective agreement between the university administration and the American Association of University Professors (AAUP). Because of declining enrollment, increased building maintenance costs, and the expenses of updating computer facilities all across the campus, the university is experiencing financial difficulties. The administration decides to freeze faculty salaries and reduce its contribution to the faculty's medical insurance and pension plans. ?Should the university administration continue to work with the AAUP in its capacity as faculty representative, or should the administration impose its financial proposals over the AAUP's objections? ?What would you (the VP) recommend? Why?