A changing menu
August 22, 2005
ISU Dining may face drastic changes — including privatization — after evaluations of the service are done this fall.
The changes could come as early as fall 2006.
The Duffy Wilkie Group, a consulting firm based in Menlo Park, Calif., that specializes in food industry services, is compiling data on Iowa State’s dining operations. The group was hired this summer to help Iowa State find ways to cut food service costs.
Jon Lewis, director of campus dining, said ISU Dining employees have expressed concerns about the possible ramifications of cost-cutting measures.
“Employees are anxious and concerned about losing their jobs and benefits and lowering wages,” Lewis said.
The consulting firm is compiling information about all aspects of the dining services, including finances, number of meals served, employee data and menus. An evaluation team of students and faculty representing major campus groups will complete evaluations of the operations and submit requests for cost-cutting proposals, due in mid-September.
Warren Madden, vice president for business and finance, said the advisory group will make recommendations to the ISU administration about changes next semester, after food services companies have submitted their own proposals, due Nov. 4, for privatizing ISU Dining.
Although the evaluation team has not started evaluations, they have done preliminary work. The team has also been asked by the consulting firm what specific aspects of ISU Dining it will focus the evaluations on, said Nancy Brooks, associate director of purchasing and head of the evaluation team.
Brooks also described the 23-person evaluation team as “well-rounded” and added that students have large representation. The team has not yet made recommendations, but businesses have already begun the bidding process.
“Our expectations are to study all of the proposals and provide objective reviews,” she said. “We expect none of the team members to meet with bidders during the process.”
Some bidders have made informal visits to the campus, including Aramark, Sodexho and Chartwells, said Madden.
Possible outcomes could include partial or no outsourcing, but Lewis doubts that would be the case.
If ISU Dining is privatized, however, employees still have some job protection.
Madden said the 150 non-student hourly dining employees whose jobs could be affected are protected by their union.
“We can’t just lay off those under the collective bargaining agreement,” he said.
According to the American Federation of State, County and Municipal Employees collective bargaining agreement with the state of Iowa says, “If, as a result of outsourcing or privatization … positions are eliminated, the employer shall offer affected employees other employment within Iowa state government.”
If employees come to be in this situation, it could very likely mean lowering of wages, Lewis said.
“We start wages for students at $7.25 per hour, which we feel is fair in the local community,” he said.
Brooks says she has expectations for the evaluations once the process begins.
“We want to make sure it’s open and fair and we need to make sure that everyone has an equal opportunity in providing a proposal that is factual and not emotionally charged,” she said. “It will be a total university team decision.”