Before the financial crisis hit, few people would question the CEO of a successful multinational corporation receiving in $1.7 million compensation. Likewise, President Henry Bienen shouldn't be criticized for receiving that amount in 2006.
Based on performance, Beinen's compensation package is justified. He has been extremely successful in raising money - a major part of the president's job. Despite a recent loss of nearly $1 billion, the endowment's value more than quadrupled during his tenure.
He has overseen the expansion of Northwestern to Qatar, skyrocketing numbers of applications and the addition of 15 new buildings on the Evanston and Chicago campuses.
Students may initially be angered to see Bienen is the second highest-paid university executive in the nation at a time when tuition is steadily rising and the economy is tanking. But the decisions on compensation were made well before the crisis hit.
The $1.7 million also includes compensation not part of his salary. In a brief e-mail to Daily staffers, Bienen wrote, "My salary would be half of what is listed." The Chronicle of Higher Education's figure conflates deferred payments Bienen will receive upon retirement, insurance, benefits and rent payments made by the university on his Evanston residence.
Flying around, shaking hands and asking people for money isn't an easy job when combined with the day-to-day operations of the university. Yet Bienen has seen success and deserves ample compensation in his final year.
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