12 EMPLOYEE COMPENSATION - Laserfiche WebLink

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[BACKGROUND CONTINUED] There is a 2.5 percent increase between each grade and a five percent increase between each step of the consolidated plan. The minunum interval between the steps are as follows: Months Ste s Between 1-2 6 2-3 6 3-4 24 4-5 24 5-6 24 6-7 24 7-8 36 8-9 36 9-10 60 The cost of implementing the consolidated plan over the next 10 years above the cost of the current plans is estimated to be 1.2 million dollars (see detail on accompanying spreadsheet). An alternative that has been suggested that the consolidated plan be adopted but that the percentage increases for steps eight, nine, and ten be changed to one percent instead of the proposed five percent. The reasoning being that this would put all employees on the same pay scale without obligating future councils for large percentage increases and leave it up to the futuxe councils to adjust those three steps by more than one percent if they saw fit to do so. The ability to attract, retain, and morivate quality employees is critical to the success and efficiency of the City. The proposed plan address five concerns create by the Z plan. First, by extending the timeline from five years to twenty the amount of time it takes a posirion to "top out," employees who remain in grade have an incenrive to stay with the City, thus benefiting the City by reducing recnutment and training costs and retaining experienced people. Second, it eliminates instances where two people with the same experience and credentials doing the same job but receiving different pay. Third, it also eliminates problems whexe a supervisor hired under the Z plan is being paid less than a subordinate who was hired under the old plan (a disincentive for old plan employees to take advance their careers and responsibility but for less pay). Fourth, it reduces the City's liability exposure with protected classes of employees. Lasdy, it is less complicated administratively to administer two pay plans than three (old, Z, and civil service). By providing pay that is internally equitable and externally competitive, the City can create a competirive advantage in delivering our products and services to our citizens through its most important resource - our employees. The pay plan should be evaluated annually and any adjustments should be determined within the context of existing and projected fiscal constraints and the City's competitive position. , ..,.,.,..o City of Paris ncr~acu ~nv~ivv ~ .r..