According to a June 11 letter from Chancellor Jim Woodward to Larry Nielsen, the severence package James Oblinger was negotiating with Nielsen in response to the provost’s resignation will not be paid out.
Nielsen will receive the severence package dictated in his original contract–six months at his provost salary before his pay is reduced to a rate comparable to that of his colleagues.
“Chancellor Oblinger did not have the authority to fundamentally alter the contents of the employment agreement…without first getting approval of the Board of Trustees,” Woodward wrote in his letter. “This approval was not given nor was it sought.”
Oblinger’s altered proposal outlined the gradual stepping down of Nielsen’s salary over the course of three years. The original package dictates Nielsen will continue to be paid at the rate of $298,700 yearly until Nov. 22. His pay will then be reduced to $156,715 beginning Nov. 23.
