University of Maryland officials are scrapping bonuses for the system chancellor after a $75,000 bonus to Chancellor Robert L. Caret drew scrutiny from state lawmakers.
The system’s Board of Regents on Friday voted unanimously to remove performance bonuses from the chancellor’s compensation package. But the move likely won’t amount to a pay cut because university officials plan to increase his compensation in other ways.
Caret started his $600,000-a-year job in July 2015. His contract guarantees 5 percent annual raises, with bonuses worth up to 15 percent of his salary.
In June, regents awarded Caret a $75,000 bonus, short of the maximum $90,000 available, in a closed-door meeting for his first year on the job. Democratic lawmakers questioned the secrecy surrounding the bonus and the standards going in.
James T. Brady, chairman of the system’s Board of Regents, told lawmakers in a hearing last month that the bonus was meant to keep Caret’s pay on par with his compensation at his last job leading the University of Massachusetts system, and that Caret exceeded their expectations as an advocate for the system.
A spokesman for the university system said officials will decide in the months ahead how to restructure the chancellor’s compensation, with advice from the attorney general’s office.