Presentation is loading. Please wait.

Presentation is loading. Please wait.

BASIC CONCEPTS OF REDUCTION IN FORCE Sam Wilkins, Director Human Resources Division.

Similar presentations


Presentation on theme: "BASIC CONCEPTS OF REDUCTION IN FORCE Sam Wilkins, Director Human Resources Division."— Presentation transcript:

1 BASIC CONCEPTS OF REDUCTION IN FORCE Sam Wilkins, Director Human Resources Division

2 S.C. Budget and Control Board Office of Human Resources Cost Savings Approaches Available to Agencies Recruitment Hire Temporary employees Hiring Freeze Retrain/Reassign Employees to Other Areas Furlough Separation Programs Voluntary Separation Program Retirement Incentive Program Reduction In Force Terminate Employees not Covered by Grievance Act Restricted Activity Travel Overtime Tuition Assistance Flexible Work Options Job Sharing Teleworking

3 S.C. Budget and Control Board Human Resources Division Furlough Voluntary Furlo ugh (Proviso 89.77) Employees may furlough for up to 90 days Mandatory Furlough (Proviso 89.120) State agencies, universities and colleges may institute mandatory furlough programs of up to 10 days for all employees in the agency, a department or program Higher Education Mandatory Furlough (Proviso 6.18) Universities and Colleges may institute mandatory furlough programs of up to 20 days agency-wide (Higher Education agencies may not exceed 20 days between the provisions of Provisos 89.120 and 6.31) Reduction in Force/Agency Head Furlough (Proviso 89.80) In the event of a reduction in force, the agency head must furlough for 5 days (Constitutional Officers would be exempt from this provision) Constitutional Officer & Agency Head Voluntary Furlough (Proviso 89.52) Constitutional officers and agency heads may voluntarily furlough for up to 36 days Employee could be eligible for unemployment compensation

4 S.C. Budget and Control Board Human Resources Division Separation Programs Voluntary Separation Program To realign resources and permanently downsize based on ability to demonstrate recurring cost savings. Only employees covered by the Grievance Act in FTE positions are eligible. VSP participants are not eligible for the RIP programs. Separation payment not to exceed one years base salary. Retirement Incentive Program To purchase service credit on behalf of employees who are close or currently eligible to retire and demonstrate recurring cost savings. Only employees covered by the Grievance Act in FTE positions are eligible. TERI employees are not eligible. RIP participants are not eligible for the VSP program. Separation payment not to exceed one years base salary. These programs must be approved by the Agency Head and HRD.

5 Employees not Covered by the Grievance Act State Agencies may terminate the following employees not covered by the State Employee Grievance Act: –Temporary –Time-Limited Project –Temporary Grant –Probationary –Employee who entered the TERI program after 6/6/05 –Retirees in FTE positions State Agencies should be aware that terminating only TERI participants or Retirees could lead to claims of age discrimination. S.C. Budget and Control Board Human Resources Division

6 Four Reasons for Reduction-in-Force (RIF) Budget Reduction –State Funds –Federal Funds –Other Funds (note: the elimination of employees is not based on the funding of their positions) Reorganization Work Shortage Outsourcing / Privatization

7 S.C. Budget and Control Board Human Resources Division Employee RIF Rights Employees with RIF Rights: –In full time equivalent (FTE) positions having completed a 12 month probationary period. Employees without RIF rights: –In temporary, temporary grant, or time-limited positions –Retirees Rehired –TERI participants after June 6, 2005 –Employees who have not completed a 12 month probationary period –Any other employees exempt from State Employee Grievance Procedure Act

8 S.C. Budget and Control Board Human Resources Division RIF Policy versus RIF Plan A RIF Policy is the document created to outline the components of a RIF and the manner in which it is implemented. A RIF Plan is the document that outlines how a specific RIF will be implemented in accordance with an agencys RIF Policy.

9 S.C. Budget and Control Board Human Resources Division RIF Policy Each agency develops its own policy which outlines the general components an agency will use to develop and implement a RIF plan. An agency has several options in tailoring its RIF policy to meet its needs. The Budget and Control Boards Human Resources Division (HRD) approves the RIF policy and the agency disseminates it to agency employees before it becomes effective.

10 S.C. Budget and Control Board Human Resources Division RIF Plan An agency develops a specific plan to implement a RIF. The RIF plan must be in compliance with its RIF policy. The Budget and Control Board reviews and approves the RIF plan for procedural correctness prior to agency implementing

11 S.C. Budget and Control Board Human Resources Division Competitive Area The competitive area is the part of the agency in which the RIF will occur. The agency determines the competitive area. It is defined in one of the following three ways: –Agency Wide –Division, Department, or Unit –Geographic Region The competitive area should be an area that is clearly distinguishable from other areas of the agency.

12 Admin. Spec. II Proc. Spec. I Procurement Mgr. II Auditor II Auditor III Auditor I I I Auditor II Auditor III Div. of Audit Services Director Agency Director Area circled in red denotes competitive area. Competitive Area- Example Agency Wide S.C. Budget and Control Board Human Resources Division

13 Competitive Area Example: Division Admin. Spec. II Proc. Spec. I Procurement Mgr. II Auditor II Auditor III Auditor I I I Auditor II Auditor III Div. of Audit Services Director Agency Director Area circled denotes competitive area. S.C. Budget and Control Board Human Resources Division

14 Competitive Area Example: Geographical Location Admin. Spec. II Proc. Spec. I Procurement Mgr. II Auditor II Auditor III Auditor I I I Auditor II Auditor III Div. of Audit Services Director Agency Director Area circled denotes competitive area. S.C. Budget and Control Board Human Resources Division

15 Competitive Group / State Class Titles The agency defines the competitive group. The competitive group is the area of competition in the RIF in the following three areas: –One State Class Title Example: Administrative Specialist II –State Class Title Series Example: Auditor I, Auditor II, Auditor III, Auditor IV, Audits Manager I, Audits Manager II –Agency Normal Career Path of State Class Titles Example: Administrative Assistant, Program Coordinator II, Program Manager I

16 S.C. Budget and Control Board Human Resources Division Competitive Group / State Class Titles The agency identifies how many positions within the Competitive Group/State Class Titles are to be eliminated. Up to this point, the agency is focusing on positions only and not employees.

17 Competitive Group Example: One State Class Title Auditor II Auditor III Auditor I I I Auditor II Auditor III Div. of Audit Services Director Agency Director The boxes in gray denote the competitive group. S.C. Budget and Control Board Human Resources Division

18 Competitive Group Example: Class Title Series Auditor II Auditor III Auditor I I I Auditor II Auditor III Div. of Audit Services Director Agency Director The boxes in gray denote the competitive group. S.C. Budget and Control Board Human Resources Division

19 Competitive Group Example: Agency Established Normal Career Path Admin. Spec. II Proc. Spec. I Procurement Mgr. II Auditor II Auditor III Auditor I I I Auditor II Auditor III Div. of Audit Services Director Agency Director The boxes in gray denote the competitive group. Admin. Spec. II Acctg./Fiscal Analyst I Acct./Fiscal Mgr. I Admin. Spec. II HR Spec. I HR Dir. I Div. of Admin. Director Admin. Spec. II Acctg./ Fiscal Analyst II Gvl. Office Prog. Mgr. I Admin. Spec. II Acctg./ Fiscal Analyst II Rock Hill Office Prog. Mgr. I Piedmont Region Prog. Mgr. II Admin. Acctg./ Fiscal Analyst II Cola. Office Prog. Mgr. I Admin. Spec. II Acctg./ Fiscal Analyst II Sumter Office Prog. Mgr. I Midlands Region Prog. Mgr. II Admin. Spec. II Acctg./ Fiscal Analyst II Charleston Office Prog. Mgr. I Admin. Spec. II Acctg./ Fiscal Analyst II Beaufort Office Prog. Mgr. I Low Country Region Prog. Mgr. II Div. of Regional Operations Director Auditor I I I Spec. II S.C. Budget and Control Board Human Resources Division

20 Retention Points Retention points determine which employees are affected by the RIF. Retention point values are defined in an agencys policy based on a combination following components: –Continuous State Service –Past two performance appraisal ratings Note: An agency has flexibility in assigning more weight to performance or service in its policy. An agency may chose in its RIF policy to award additional points for bumping into a lower banded class title.

21 S.C. Budget and Control Board Human Resources Division Bumping Rights Bumping rights are provided for covered employees who have accumulated more retention points than those with whom they are competing. Employees in a higher pay band may bump employees in a lower pay band in a series of related classes provided their retention points are higher than those in the lower band. For bumping to occur, the competitive area must include more that one state class title.

22 S.C. Budget and Control Board Human Resources Division Retention Points Calculation Example: John Smith joined State government employment on January 10, 1998. The agency provides one point for each year of continuous state service. Johns last two annual EPMS ratings are Meets. The agency uses the following rating scale: –Substantially exceeds = 3 –Exceeds =2 –Meets = 1 –Below = 0 On February 3, 2008, John Smiths retention points would be:10 points for continuous state service and 2 points for his EPMS rating. The total retention points are 12.

23 S.C. Budget and Control Board Human Resources Division Bumping Rights Example Competitive area: Administrative Division Competitive classes: Administrative Assistant (AA75/Band 4) and Administrative Specialist (AA50/Band 3). One Administrative Assistant position needs to be eliminated. The following is a list of employees and their retention points: –Employee A (Adm. Asst. AA75 - 8 retention points) –Employee B (Adm. Asst. AA75 - 4 retention points ) –Employee C (Adm. Spec. II AA50 - 6 retention points) –Employee D (Adm. Spec. II AA50 - 3 retention points) Employee B (Adm. Asst). would bump down to compete with Employees C and D (Adm. Spec II). Employee D would be separated.

24 S.C. Budget and Control Board Human Resources Division Four Ways an Employee can be affected by a RIF Separation Demotion –In accordance with State Human Resources Regulation 19-719.04, an agency may reduce an employees salary immediately if he is demoted as the result of a RIF based on loss of funds. Reduction in hours Reassignment –Movement within an agency of an employee from one position to another position having the same State salary range, or the movement of a position within an agency which does not require reclassification

25 S.C. Budget and Control Board Human Resources Division Retention of Necessary Qualifications - RNQ Knowledge Abilities Skills Necessary Experience Supervisory Status An RNQ is the retention of an employee with lower retention points over an employee with higher retention points based on one or more of the following: An agency must justify and defend using a retention of necessary qualifications to retain an employee with lower retention points.

26 S.C. Budget and Control Board Human Resources Division RNQ Example - Skill An agency has determined that one Trades Specialist II needs to be eliminated. Two positions have been identified within the competitive area and competitive group. The remaining position requires employees to have a journeyman license in Heating and Ventilation and Air Conditioning (HVAC). The employee with greater retention points does not have the required license. The agency writes an RNQ to maintain the employee with lower retention points who has a journeyman license in HVAC.

27 RNQ Example - Knowledge An agency has determined that one Human Service Specialist I needs to be eliminated. Two positions have been identified within the competitive area and competitive group. The remaining position requires employees to interact with deaf students. The employee with greater retention points does not have the knowledge required in sign language. The agency writes an RNQ to maintain the employee with lower retention points who is fluent in sign language. S.C. Budget and Control Board Human Resources Division

28 OHR Review and Approval of Plan The Budget and Control Boards Human Resources Division reviews a RIF plan in the following two roles: –Consulting with the agency –Reviewing and approving for procedural correctness Procedural correctness indicates only that the agency has included the components in the RIF plan as provided by the agencys RIF policy. Our approval does not include the determination of the competitive areas, classes, or bumping rights. An agency must have an approved plan prior to communicating the RIF plan to the employees.

29 S.C. Budget and Control Board Human Resources Division Implementation of the RIF An agency should communicate the following information to the employees affected by a RIF: Reason for the RIF Competitive area(s) and competitive class(es) Benefits for which the employee is entitled and the effects upon state benefits Employees right to see the RIF plan Employees grievance rights

30 S.C. Budget and Control Board Human Resources Division Implementation of the RIF (continued) Reinstatement Rights for One Year: –Employee may apply for any position for which he meets the minimum training and experience. If hired into an FTE position, he has all sick leave restored and the option to buy back all, some, or none of his annual leave at the rate it was paid out. The employee will retain continuous service if reinstated within 12 months from effective date of the RIF.

31 S.C. Budget and Control Board Human Resources Division Recall Rights for One Year: –If a vacancy occurs within the same competitive area in the same class title as the position the employee held prior to the RIF, the Agency will recall the employee in the inverse order of the reduction in force. –Agency informs employee how notifications will be made if a job is available. –Recalled employees are eligible for the same benefits as reinstated employees. Implementation of the RIF (continued)

32 S.C. Budget and Control Board Human Resources Division Office of Human Resources Sample RIF Plan http://www.ohr.sc.gov/OHR/employer/RIFSamplePlan.doc

33 S.C. Budget and Control Board Human Resources Division Budget and Control Boards Human Resources Division An agency is required to record employees who are affected by a RIF in the Human Resources Information System (HRIS). HRD notifies agencies with a listing of displaced employees to consider as vacancies occur. HRD provides on-site presentations on change management. HRD will provide assistance with employee meetings. HRD can provide possible community and other public resources for affected employees

34 S.C. Budget and Control Board Human Resources Division RIF Applicant Pool

35 S.C. Budget and Control Board Human Resources Division


Download ppt "BASIC CONCEPTS OF REDUCTION IN FORCE Sam Wilkins, Director Human Resources Division."

Similar presentations


Ads by Google