Compensation “What’s in it for me?” Ron Kamahele, Director UAA Human Resource Services

Compensation Defined All forms of financial returns and tangible services and benefits employees receive as part of an employment relationship. All forms of financial returns and tangible services and benefits employees receive as part of an employment relationship.

Name some “financial returns”

Financial Returns Wages Wages Salary Salary Bonuses Bonuses Money Money More money More money Yet even more…. Yet even more….

Name some “Services and Benefits”

Services and Benefits Medical Insurance Medical Insurance Life Insurance Life Insurance Sick leave Sick leave Annual leave Annual leave Holidays Holidays Education benefits Education benefits Pension Pension Retirement Retirement Use of recreational facilities Use of recreational facilities Use of library Use of library

The Employment Relationship: Employee Classes E-class determines how an employee is paid and what benefits are received. Regular and Regular-term Regular and Regular-term Temporary and extended temporary Temporary and extended temporary Student Student

Exempt v. Nonexempt Employees Exempt Salary Salary Paid by pay period Paid by pay period Report only time off Report only time off No overtime No overtimeNonexempt Wage Wage Paid by the hour Paid by the hour Fill out time card Fill out time card Overtime Overtime

How do we determine what to pay an employee? Staff positions are evaluated by HRS and allocated to a Job Family Staff positions are evaluated by HRS and allocated to a Job Family Office of Academic Affairs evaluates compensable factors for faculty positions. Office of Academic Affairs evaluates compensable factors for faculty positions.

“We have to pay that much. It’s written in the grant!” OMB Circular A-21 requires like treatment of funds OMB Circular A-21 requires like treatment of funds Employer must consistently apply its policies and practices regarding compensation, without regard to source of funds (internal equity) Employer must consistently apply its policies and practices regarding compensation, without regard to source of funds (internal equity)

What’s a Job Family? Groupings of jobs with closely related focus, tasks and functions Groupings of jobs with closely related focus, tasks and functions Within a family jobs can be distinguished by major function Within a family jobs can be distinguished by major function Within a major function jobs can be distinguished by level of know-how, complexity and authority to act Within a major function jobs can be distinguished by level of know-how, complexity and authority to act

GeneralistGeneralist SpecialistSpecialist Administrative Job Family

Administrative Generalist Family Structure Level Experience 6 mo. 1 yr. 2 yrs. 3 yrs. Education H.S. Grade

Reclassification Changing a job description to meet new business needs Changing a job description to meet new business needs Increased knowledge, complexity, scope, authority can lead to an upgrade Increased knowledge, complexity, scope, authority can lead to an upgrade 5% increase in pay 5% increase in pay

Out-of-class Pay Is temporary in nature Is temporary in nature For at least 30 days For at least 30 days Reviewed and reapproved after 90 days Reviewed and reapproved after 90 days Out-of-class pay may be given for additional duties that are technically advanced; require substantially more discretion, authority or accountability; or otherwise require the employee to utilize clearly higher level skills and abilities not required in his/her current job.

Career Development Plans A Career Development Plan (CPD) provides an avenue for advancement through a Job Family based on successful completion of established criteria and objectives. (UA Reg G) A Career Development Plan (CPD) provides an avenue for advancement through a Job Family based on successful completion of established criteria and objectives. (UA Reg G)

Career Development Plans Growth within a position Growth within a position –Reclassification –In grade adjustment Development with in an organization Development with in an organization Preparation for promotion or transfer Preparation for promotion or transfer

Career Development Plan Training Training –OJT –Internal/external coursework Skills/knowledge to be attained Skills/knowledge to be attained Duties and functions to be assumed Duties and functions to be assumed Time-in-grade Time-in-grade Successful demonstration/application Successful demonstration/application

Other Compensation Options In-grade step Movement In-grade step Movement Performance Bonus Performance Bonus

In-grade Step Movement (R D2b) Exceptional occurrence Exceptional occurrence Granted to address Granted to address –internal equity/alignment –sustained outstanding performance –professional or career growth within a position Requires prior approval from regional Human Resources Office Requires prior approval from regional Human Resources Office

Performance Bonus For meritorious employees in extraordinary circumstances For meritorious employees in extraordinary circumstances Local procedure Local procedure –Up to $2,500 –Approval by a person at Cabinet level –Approval of Director of HRS

Is the staff scale competitive with local market? Yes and no. Yes and no. UA compensation system strives for internal equity UA compensation system strives for internal equity UA compensation system doesn’t attempt to achieve market equity UA compensation system doesn’t attempt to achieve market equity

Is the staff scale competitive with local market? SOC Secretaries and Administrative Assistants* Low $18.32 Mean $18.95 High $19.58 * State of Alaska Department of Labor and Workforce Development, Research and Analysis at Administrative Generalist 2, Grade 75 Low$15.51 Middle$20.09 High$26.54

Questions