"My wife works for Blue Cross Blue Shield," he says. "And she knows medical."

Pension

In fact, administrators defend many of the staff health care changes by arguing that Harvard's plan was overly generous in comparison to the market, other Ivy League schools and large Boston employers.

For example, at Columbia and the University of Pennsylvania, staff must work at least 35 hours per week to receive any health benefits.

In contrast, the staff pension plan, administrators say, was a large hole in the University's benefits structure.

"The staff pension plan, when compared to that at other universities for administrative and professional staff, was very much less good," Corvey says. "In fact, at many of our comparable sister institutions, the administrative and professional staff are members of the faculty plan."

While the changes do not make the exempt staff part of the faculty plan, the staff pension plan will be enhanced.

The new plan has two parts, according to the report. Harvard will make contributions under a defined benefit plan based on age and years of service. The University will also contribute an additional 3.5 percent of pay which the employee can choose to invest. In addition, early retirement bonuses will be increased.

But Paul says the new plan still does not meet the goals set out by the 1973 benefits review--comparable levels of retirement pay for faculty and staff.

"Apparently they didn't manage," he says. "It's federal law. You've got to pay the same retirement for all salary levels. Harvard is almost out of compliance."

Unions

Technically, the changes were only made mandatory for non-union staff. But some unions have accepted the changes, and others are concerned about how the plan could affect them in the future.

The coalition of the seven Harvard unions has so far refused to accept the changes because union leaders were not directly involved.

The administration announced the establishment of a benefits review task force in October 1993. A mix of administrators from different areas of the campus were appointed to the group--but only administrators.

While the administration maintained throughout the process that they offered the unions "full partnership," the opportunity to form an advisory group to the task force, union leaders maintain that role is inadequate.