Abstract
Extant literature has examined salary compression and inversion in US academic institutions including arguments that compression constitutes a form of age discrimination. We assess these phenomena via estimated full rank salaries (across nine campuses in the teaching-oriented California State University (CSU) system) based on the notion that in the absence of compression and inversion, forecasted full rank salaries should be comparable across faculty ranks. Our results show that salary compression is present across all sampled Colleges of Business (COB), but not in other academic CSU colleges. In addition, the patterns of compression support the notion that salaries in CSU COBs are becoming more inverted as the gap between market and current salaries increases. Recommendations for policy and collective bargaining negotiations are also offered.
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