1. Employee Information Meeting New Pay Plans and Performance Management Process

2. Background All of this began in the 2006 Legislature The Legislature hired the Hay Group to conduct a salary survey in Fall of 2006 Formation of the State Employee Pay Philosophy Task Force and the State Employee Compensation Oversight Commission Representatives from all three Branches of State Government served on the Commission

3. Background (cont) The Commission met throughout the summer and Fall of 2007 Directed the Hay Group to prepare recommendations for the redesign of the States classified pay plan The Hay Group proposed to replace the States one-size-fits all matrix with five occupationally based pay plans

4. Background (cont) The Commission voted unanimously to adopt the recommendations of the Hay Group Recommendations then presented to Joint Committee in 2008, which in turn voted unanimously to propose the Commissions recommendations to the 2008 Legislature Culminated in the passage of 2008 House Bill 2916

5. Background (cont) House Bill 2916: Authorized the adoption of the five new pay plans and the development of a new Performance Management process for the States classified service; Set out the States Compensation Philosophy; Established an Oversight Committee to oversee; implementation of the new plans; and Provided a five-year funding plan for market adjustments for State employees

6. Implementation The Hay Group recommended that the new pay plans be implemented over a five year period This was recommended for a number of reasons Estimated to cost over $70 million to bring the classified workforce to market Break that cost up over five years Also proposed to divide the classified workforce into three Groups for implementation purposes

7. Implementation (cont) FY2009FY2010FY2011FY2012FY2013 Group 1 Prep & Market Adjust Dry Run & Market Adjust Implement & Market Adjust Maintain Group 2 Market Adjust Prep & Market Adjust Dry Run & Market Adjust Implement & Market Adjust Maintain Group 3 Market Adjust Prep & Market Adjust Dry Run & Market Adjust Implement & Market Adjust

8. Implementation (cont) The first year of each Groups implementation will involve several important steps, with a classification review of every position in the Group and salary surveys being the most critical Must also begin work on amending policies, regulations and statutes, as well as the States SHARP payroll and accounting system A five-year implementation period also allows for a dry run year in Groups second year

9. Basic Vocational Pay Plan Classifications assigned to this plan perform more structured, routine work requiring basic vocational knowledge Performance can be measured on a pass/fail basis. Most similar to our current plan, but different in a number of ways There will be 9 steps, each 3% apart and movement through the steps below market will be more rapid than for steps above market

10. Basic Vocational Pay Plan (cont) Sample salary range for this plan

11. Management Pay Plan This plan is for the highest level classified positions in the State workforce, and it is the most different from what we have now Open pay ranges, with a minimum and a maximum rate Movement will be based solely on performance – the ONLY purely performance driven plan of the five new plans

12. Protective Services Pay Plan This plan is for all uniformed Corrections and Juvenile Justice Authority officers, Highway Patrol troopers and all classifications that meet the statutory definition of police officer or law enforcement officer This is a step plan but different from the Basic Vocational Plan and our current matrix Steps will be 3% apart and movement through the steps below market will be more rapid than for steps above market movement will be

13. Protective Services Pay Plan (cont) Movement will be based on a combination of longevity, performance and the accomplishment of milestone events for these types of jobs These are typically such things as the completion of specific training, certification or qualifications Committees consisting of employees and managers from these professions will be formed to assist in establishing the milestone events for movement for these positions

14. Protective Services Pay Plan (cont) Sample salary range for this plan

15. Professional Individual Contributor (PIC) Pay Plan This plan is for the traditionally recognized professions (such as Attorneys, Engineers, Scientists and Nurses) These classifications characterized by the high number of PICs relative to the number of managers in that occupational group. Pay ranges will be broad banded with market anchors within the bands to reflect different levels of work

16. Professional Individual Contributor PIC Pay Plan (cont) Sample salary range for this plan

17. Professional Individual Contributor (PIC) Pay Plan (cont) Pay movement will be based on performance as well as assessment against criteria that indicates advancement in these professions This could be job-related education or skill acquisition, certification or licensure or even taking on more complex duties or a leadership role Committees consisting of employees and managers from these professions will be formed to assist in determining the criteria for movement for their particular profession

18. General Classified Pay Plan All classifications that are not assigned to one of the other four plans will be assigned to this plan This plan is a hybrid model with steps from minimum to midpoint and open ranges from midpoint to maximum Like the Basic and Protective Services plans, the steps on this plan will be 3% apart and progression will be faster than our current system

19. General Classified Pay Plan (cont) Sample salary range for this plan 85%Market120% 85%Market 115% Exempt Position Non-Exempt Position 3% 6699 12 Difference In Steps Timing of Step Movement (Months)

20. Performance Management What is it? Process involving planning, coaching, feedback, review and reward It is not just about the review form Development tool for employees

21. Performance Management (cont) Why change? House Bill 2916 26 systems currently utilized Process will develop and reward

22. Performance Management (cont) Who is developing? Design Team Steering Committee

23. Performance Management (cont) Four Components: Performance Planning Coaching and Feedback Reviewing and Appraising Recognizing and Rewarding

24. Performance Management (cont) What changes will I see? Focal Points Essential Requirements Face to face time Clear expectations Improved communication Enhanced training Growth and development Five rating scale

25. Performance Management (cont) What is the timeline? Process designed: Jan. 2008 – April 2008 Training materials: April 2008 – Aug. 2008 Informational Meetings: Fall 2008 Supervisor and Manager Training: Fall 2008 Implementation: FY 2010

26. Performance Management (cont) Next Steps: Training for supervisors CBT Development IT implementation Regulation updates

27. Performance and Pay In the very early stages of the transition to the new pay plans, so dont have all of the details Still awaiting data from the latest surveys this before we can even begin creating the new plans, let alone make decisions on exactly how performance will impact movement Performance will not begin to have an impact on pay until FY2011, so there is still time to make sure these decisions are well thought out

28. Performance and Pay (cont) This is NOT a pay-for-performance system Performance is one of the criteria for pay movement, but other than for the Management Pay Plan, performance is not the only criteria For plans with steps, the performance criteria will be similar to the current plan, with a satisfactory rating being necessary to receive a step increase

29. Performance and Pay (cont) Performance for non-step plans will be factored in along with the other criteria for the plan Exactly how individuals who receive a higher performance rating will be rewarded has not been determined at this point

30. Websites Pay Plan Website www.da.ks.gov/newpayplans Performance Management Website www.da.ks.gov/pmp