This Compensation Policy guides the Board of Trustees in setting and approving presidential and executive compensation at Eastern Mennonite University. The Executive Committee will review the policy periodically and make proposed revisions, subject to approval by the Board.

Core Principles

The following principles will be used to guide the University’s compensation program:

1. Compensation should be consistent with:

   • the University’s mission, culture, values, reputation, and tax-exempt status, and

   • the need to attract and retain highly qualified, experienced and motivated leadership for the University.

2. The process for setting and approving executive compensation will include full transparency with the Board of Trustees about compensation paid to the President and executives at the University.

3. The compensation setting process should include consideration of a wide range of factors including, but not limited to the following:

• • The best interests of the University;

  • The executive’s responsibilities, performance, experience, and seniority;

  • Whether the amount and type of compensation are consistent with benchmarks and best practices at nonprofits and peer higher education institutions; and 

  • Equity within the University.

Setting and Approving Compensation

The Board of Trustees is responsible for approving the President’s compensation. The Executive Committee should be consulted on compensation recommendations for the President’s direct reports. Compensation paid to the President’s direct reports will be reported to the Executive Committee.

The process for setting and approving compensation is set forth in the Executive Committee’s Charter for compensation matters. The process will meet or exceed best practices at nonprofits and higher education institutions.

Prior to the Board’s approval, the Executive Committee will provide the Board with clear information about all components of the proposed compensation including, but not limited to, base salary, benefits, and other arrangements, both when awarded and when paid; and relevant analyses and peer group studies utilized by the Executive Committee. The core components of the President’s compensation include base salary, employee benefits, housing, and spousal travel for EMU business, if applicable.

Information provided to the Board should be accompanied by clear summaries of all components of the President’s compensation over the preceding three years.

The entire compensation process should be carried out in strict confidence by individuals who are free of conflicts of interest of any kind.

Communication and Disclosure

Each year, the Board Chair will report to the Mennonite Education Agency the compensation paid to the President during the preceding year. Any Presidential severance or post-Presidency employment agreements will be disclosed prior to the President’s departure.

Approved by EMU’s Board of Trustees April 2016

Revised April 2020