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R-609 - 12/14/1993 - SALARY ADMIN PLAN - Resolutions SA S KA N RESOLUTION 93-SAP-EXI-R- 609 A RESOLUTION APPROVING AMENDMENTS TO TUB SAIJM ADMINISTRATION PLAN FM NON-UNION EMPLOYEES i' WHEREAS, pursuant to Article II (Pay Plan) of the Personnel Rules and Regulations of the Village of Oak Brook (Appendix D to the Code of Ordinances), the Village Manager is charged with developing a uniform and equitable pay plan with the approval of the Village Board; and WHEREAS, the President and Board of Trustees, at its meetings on November 9 and November 23, 1993, considered the changes to the Salary Administration Plan; and WHEREAS, after due consideration at its November 23, 1993 meeting, the Village Board directed that the salary plan be amended; and WHEREAS, the Village Manager has recommended the approval of the attached Salary Administration Plan for non-union employees effective upon Board approval. A copy of this Salary Administration Plan is attached hereto, labelled Exhibit A and made a part hereof. NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF OAK BROOK, DU PAGE AND COOK COUNTIES, ILLINOIS as follows: Section 1: That the Salary Administration Plan be and is hereby amended to read as set forth in the attached Exhibit A. PASSED AND APPROVED this 14th day of December, 1993, by the President and Board of Trustees of the Village of Oak Brook, DuPage and Cook Counties, Illinois, according to a roll call vote as follows: Ayes: Trustees Bartecki Km= McInerney. Pavovich. Shumate and skinner Nays: None Absent: None ff-liage Presiden• r ATTEST: Village lexkr payplan.oiq; , I! SALARY ADMINISTRATION PLAN - NON-UNION EMPLOYEES i I. INTRODUCTION The Salary Administration Plan is intended to establish an equitah pay plan which is designed to be competitive with the prevailing wages paid within Oak Brook's Labor Market Area. It is also based on a system of { performance evaluation designed to recognize and reward employees whose performance meets or exceeds the standards established at the Department level as well as those standards which apply Village-wide to all employees of the Village of Oak Brook. For the purpose of maintaining wage levels commensurate with the annual rate of inflation, the top-of-grade annual increases are computed based on the percent change in the Consumer Price Index for the Chicago-Gary- Lake Co. region as published by the U. S. Department of Labor. The "all items" index change at September 30th of each year will be applied to the minimums and maximums for all pay grades, with increases effective January 1st of the subsequent year. (This does not apply to employees covered under collective bargaining agreements.) The Village of Oak Brook's Salary Administration Plan, as well as the fringe benefits applicable to employees will be further monitored every three years. An independent employment consultant will be retained by the Village to compare positions of the Village of Oak Brooic pay plan with similar positions in the region, and to compare the fringe benefits offered to Village of Oak Brook employees with fringe benefits available to other employees of the region. The consultant will first be retained in 1994 and every three years thereafter. The independent consultant will make its report to the Board of Trustees including recommendations for modifications in the pay plan and/or the fringe benefits package. II. GUIDELINES In reviewing and modifying the Salary Administration Plan, the following guidelines and direction shall be followed: A. Review and Adjustment of Plan - The change in the Consumer Price Index for "all items" applicable to the Chicago-Gary-Lake Co. region as published for September 30th of each year by the U. S. Department of Labor will be used to adjust Plan annually. B. Range Spread Within Each Pay Grade - Grades 1 through 11 shall have a 35% spread from entrance to maximum salary paid. Grade 12 includes all department heads and shall be developed with a 45% spread. Grade 13 is the Village Manager's grade and is basted on the current contract in effect between the Board and the Village Manager. Approves! 1.2-1 EXHIBIT A Page 1 of 6 Effective 0,1-01-94 0 C. Other Adjustments to the Plan - The Salary Administration Plan will be adjusted based on evaluations and recommendations made by an independent employment consultant engaged by the Village of Oak Brook to compare the wages prevailing in the region with the wages contained in the Salary Administration Plan, and to compare the fringe benefits offered in the region to those offered by the Village of Oak Brook to its employees. The independent consultant will be engaged once every three years to perform its study and evaluation and to report its conclusions and recommendations to the Board of Trustees. II3. STEPS 1. Obtain the September 30th Consumer Price Index published by the U. S. Department of Labor and calculate the maximums for Grades 1 through 12 based on the index change for "all items" for the Chicago-Gary- Lake Co. region. 2. Recalculate the minimum for each grade accordingly. 3. Determine Performance Guidelines. The performance salary adjustment is designed to permit an employee performing at a meets standards level to progress through the salary range in approximately a seven year period. Employees performing at exceeding standards or excellent progress through the range within a five to six year period. IV. MAINTENANCE The Village Manager will be responsible for reviewing the data supporting the annual grade adjustment, as well as the performance salary guidelines and submitting the revised Salary Fdtministration Plan to the Board of Trustees for its approval. The Village Manager will also be responsible for engaging the independent employment consultant once every three years in order to obtain the study, evaluation and recommendations of the consultant on the Village's Salary Administration Plan. V. PROCEDURE A. Starting Rate at Initial Employment: Original appointments to any position shall be made at the entrance rate and advancement from the entrance rate to the maximum rate within a pay range shall be by successive steps. Upon recommendation of the department head, the Village Manager may approve initial compensation at a rate higher than the minimum rate in the pay ranges for the class provided that any such acceptance is based on the outstanding and unusual character of the employee's experience and ability over and above the minimum qualifications required for that position. Approved 14-93 EXHIBIT A Page 2 of 6 Effective 11-0� 1-91-9 I: B. Merit increases will be determined based upon the employee's performance as described in the Employee Performance Report and the !' recommendation of the employee's department head with review and approval by the Village Manager. Normally, merit increases shall occur within the parameters of the Salary Adjustment Schedule and in no event shall it exceed the maximum of range for the position. C. Salary Adjustment Schedule: It is the practice of the Village of Oak Brook that salary adjustments shall be made in a timely and orderly manner. Frequency of salary adjustments are based upon each employee's performance and his/her relative position within the respective grade. The following schedule will be followed. when making adjustments to an employee's salary: Employees shall be evaluated every six months for the first two years of their employment. Thereafter, they shall be evaluated annually on their respective anniversary date. "Anniversary date" shall apply as follows: (a) For part-time employees, the anniversary date is the date of hire; (b) For employees going from part-time to full-time and remaining in the same pay grade, the anniversary date remains the date of hire as a part-time employee; if the part-time employee is moving to a full-time position in a different pay grade, the employee's anniversary date will be the date starting the full- time position; and (c) For full-time employees promoted to a new grade and new position, the date of promotion is the new anniversary date. However, once an employee has achieved the maximum compensation listed for the pay range in which the position, filled by the employee, is classified, the employees Salary Adjustment Schedule shall be modified as follows: Merit Increases, for employees at the maximum rate of pay of range in which the position occupied is classified, will be determined based upon the employee's performance as defined in (b) above and shall be applied within 30 days after the Adjustment of the Salary Flan Salary Schedule, but in no event shall it exceed the maximum of the range for the position occupied. Employee Performance Ratings shall occur at least once a year or may occur more frequently if warranted. Special merit advancements will occur when warranted and are not bound by the Salary Adjustment Schedule. D. Merit - Bonus: Top of grade full-time employees who achieve a score f Approved 2 NXHIBIT A Page 3 of 6 Effective of 80-89 or 90-99 shall receive a merit bonus annually in January of each calendar year as follows: ii Above Standards (Score 80-89) Excellent (Score 90-99) Frequently Exceeds Standards Exceeds all Department Standards j $500 $1,000 j Any such merit bonus shall not be considered a merit increase as provided in paragraph V(B) hereof. ii i E. Special Merit Advancements: Department heads may recommend to the Village Manager that special merit increases in pay be granted to individual employees at intervals more often that the normal increments. Such special merit increases shall be based upon exceptional performance of duties far exceeding the normal standards for the particular position of classification, or based on exceptional service to the Village beyond the normal scope of duties expected of the position. Special merit increases, where granted, shall have no effect on the dates for normal merit increases. These increases are matters of special occurrence, and are granted only with the concurrence of the Village Board. F. Department head Merit Advancements: Department heads in pay grades 11 and 12 shall be awarded salary adjustments based upon the li recommendation of the Village Manager and subject to the approval of the Village Board of Trustees. In addition, any adjustment to the Village Manager's salary shall be made by the Village President and Board of Trustees. G. Promotions: In a case where an employee is promoted from one position to another, his salary increase shall not be reviewed as a merit increase but shall be an increase for the additional responsibility for that position. H. Performance Rating: The objectives of a performance evaluation are several: 1. To implement the development and improvement of employees' performance and to maintain that performance at the highest possible standard. 2. To provide a variation in compensation or an incentive based as directly as possible upon merit. I 3. To assist supervisors in personnel administration and organizational management. i. I Each employee will be rated at least once annually. The definitions of levels of performance are included in this booklet. In rating the employee's performance, the department head must measure each item on Approved 112:1i-93 EXHIBIT A Page 4 of 6 Effective 01-01"-94 -(009 �► • the check list against the definitions based on the levels of performance. Once the rating has been completed, it is the re-rPonsibility of the department head to sit down with the employee and uiscuss his performance in general and point out to the employee, first, the area that the employee is carrying out effectively, and, secondly, those areas where the employee is deficient. I. Working Out of Classification: Any full-time employee performing authorized work out of that employee's grade for a minimum of 30 days shall be entitled to compensation during the period of such employ- ment. This compensation shall be 105% of the employee's present salary but may not be greater than any employee currently working in the position in question. No such employee working out of classification shall be entitled to such additional compensation unless the employee works a majority of his time in such position. LBVELS OF PBS - DBFMTIONB ii Unsatisfactory Consistently Below standards j Performance so poor that little useful contribution is made. Such performance calls for immediate remedial action. It should be noted that employees performing at this level should be notified as soon as this becomes apparent. Under no circumstances should employees be allowed to remain in pay status until their scheduled evaluation date; they should be advised of their substandard performance and its possible i? consequences without delay. heeds Improvement Performance that is to be expected during early periods on a new job as well :.. as during the training phase of an individual's employment. Usually, the G individual develops and moves beyond this level at the average rate set by the i supervisor or Department Head, based on the standards of performance required. It should be used when an employee's performance is on track during a training phase as well as for experienced employees whose performance has dropped from a previous higher level. Supervisors must set written action plans for each employee who is rated as 1 needs improvement in each area where the rating applies as well as timetables and deadlines for the improvement to occur. Meats Standards Consistently Neets Standards Performance reflects that standards not by the Department Head are met. This generally applies to seasoned employees who have completed their training phase and have accepted full responsibility for the completion of the duties of their position. i Approved l2-14-9-93 EXHIBIT A Page 5 of b Effective11'u, i The rating is not based on a a c�arisoo n of the employee's performance _with J fellow employees ink or similar.pos-.,.itioni it must be based solely on a comparison of the employee's performance to the standards set by the i Department and communicated to the employee. Above Btandardis Frequently Exceeds Standards Performance of this caliber will be uncommon within each Department. The rating will apply to employee performance which exceeds all Department standards and will be represented by outstanding achievements over and above the normal work assigned. Examples of the outstanding achievements must be documented and submitted with the Performance Evaluation foam with an appropriate statement as to how the achievements favorably impacted the Department. 8�ellent I: Exceeds all Department Standards Performance of this caliber is exceedingly rare.. It may occur in employees who are unusually gifted in a particular area, or whose skills surpass all standards set for the average employee. It may also be earned for excellent j performance in .response to an unusual occurrence which would normally not constitute an employee's regular duties and responsibilities. Examples of the employees particular achievements must be submitted with the Performance Evaluation form. i a u i l AMoved 12-14-93 EXHIBIT A Page 6 of 6 Effective 1-a0,, ,,,