Faculty Merit and Market Funds (Act 15)

This document provides an overview of the FY 2027 Faculty Merit and Market (Act 15) High Demand Faculty compensation program

   

Faculty Merit and Market Funds (Act 15) Compensation Program Background

On February 20, 2026, SMPH was notified that UW-Madison received an allocation of state funding for merit and market-based pay to attract faculty in high-demand fields of study during FY 2026 and FY 2027 as a result of 2025 Wisconsin Act 15. A significant portion of the funds allocated are to be used for salary base adjustments and one-time bonuses to address market and retention needs in high-demand faculty areas. All SMPH departments have been categorized as high-demand fields of study. The state funds will be allocated to SMPH through campus on fund 114 . The funding received and utilized by SMPH will be ongoing. Faculty are not required to be fully or partially funded on fund 101 to be eligible.

SMPH has received an allocation of approximately $1.35 million for salary base adjustments and bonuses in FY 2026 and FY 2027. In March 2026 SMPH completed the FY 2026 implementation of this program which will result in the provision of bonuses to faculty identified and nominated by the Dean's Office effective May 3, 2026.  

SMPH is now ready to launch the FY 2027 implementation of this program. The SMPH Dean's Office is requesting that department leaders nominate eligible faculty for salary base adjustments to address market-retention needs and market-competitive pay challenges within their departments.  

Program Eligibility 

  • Tenure-Track / Tenured Faculty
  • Faculty must have completed required UW-Madison and SMPH compliance training
  • If the recommended faculty is a supervisor, all midpoint performance evaluations (due March 2, 2026) need to have been completed to be eligible
  • Faculty must not currently be on a performance improvement plan
  • Emeritus and Visiting faculty are not eligible
  • Priority will be given to faculty who will experience an increase in total compensation as a result of a salary base adjustment 

Program Guidelines

Program Focus and Guidelines: 

The purpose of this program is to support targeted salary base adjustments for tenure-track and tenured faculty to address market-retention needs and market-competitive pay challenges within departments. Departments are invited to submit nominations for high-performing faculty whose compensation requires adjustment to ensure competitiveness and support retention in the current labor market. 

Market-Retention Needs: 

Departments should nominate faculty for salary base increases to assist in the retention of high-performing faculty for whom there is a specific retention concern. Retention challenges may include, but are not limited to, competing external offers, demonstrated market demand for the faculty member's discipline or expertise, or other substantiated risk factors that could impact the department's ability to retain the faculty member. 

Market-Competitive Pay Challenges: 

Departments may also nominate high-performing faculty whose current salary does not align with established departmental compensation benchmarks. These nominations should be grounded in a clear analysis demonstrating how the faculty member's compensation compares unfavorably to relevant benchmarks utilized in the department such as the Association of American Medical Colleges (AAMC) etc. and how an adjustment would help address market competitiveness. 

Nomination Review Process: 

Funding for this program is limited. As a result, departments may not request "across-the-board" salary increases for faculty who meet general eligibility criteria. All nominations must be prioritized by the department based on importance and anticipated impact. Departments will rank nominations in the materials they submit. 

All submissions will be reviewed by the SMPH Dean's Office, which will make final determinations regarding approved nominations to be sent to campus for final review and consideration. Decisions will be based on the strength of the justification provided, the anticipated impact of the proposed adjustment, and the availability and effective utilization of program funds. Salary base increase requests may not exceed 20% of the faculty member's current UW base salary. 

Nomination Justification Requirements: 

Each nomination must include a written justification that addresses the following components: 

  • A clear description of the specific market-retention concern or market-competitive pay issue
  • An analysis of the faculty member's current compensation relative to the applicable compensation benchmark(s)
  • A statement describing the expected impact of the proposed salary base increase on the faculty member's total compensation
  • Confirmation of and evidence that the faculty member is a high performer, consistent with standard SMPH performance guidelines

Departments should ensure that nominations are supported by clear evidence and aligned with program intent. 

Salary Analysis Resources: 

The SMPH Compensation Team is available as a resource to support departments in reviewing and analyzing faculty compensation in comparison to applicable benchmarks.

Nomination Form Instructions

Departments will use the nomination form provided via email to submit faculty nominations. Nominations must be listed in order of priority, with the highest-priority nomination first. 

Departments are responsible for completing all white and green columns in the spreadsheet: 

  • Green columns contain drop-down selections
  • Gray columns will auto-populate based on information entered in the white and green columns 
  • SMPH HR representatives will assist in determining faculty eligibility as reflected in Columns P and Q

Departments must enter the faculty member's annualized total UW salary in Column J, defined as UW base salary at 1.0 FTE plus all active Temporary Work Allowances. 

The requested salary base increase percentage should be entered in Column S and may not exceed program limits (20%)

Each nomination must include a written justification. Justification may be entered directly in Column W or, at the department's discretion, submitted as a separate Word document provided as a supplement to the nomination spreadsheet. 

Completed nomination spreadsheets, along with supporting or supplemental documentation must be submitted to the SMPH Compensation Inbox by end of day Monday, May 4 for assured consideration. 

Timeline 

  • April 14, 2026: Program kickoff
  • May 4, 2026: Department nomination deadline
  • June 28, 2026: Effective date of approved base increase 



Keywords:
Faculty, High Demand, Act 15, Central Funds, Compensation, Compensation Program, Faculty Compensation, Merit, Market, AAMC, Retention, Competitive, Salary 
Doc ID:
160595
Owned by:
Allyson H. in SMPH Human Resources
Created:
2026-04-09
Updated:
2026-04-14
Sites:
SMPH Human Resources