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Salary Setting and Equity Increases - Guidelines and Factors to Consider

This document provides guidelines for salary setting, equity increases, and factors to consider when determining salaries for new hires, promotions, and reclassifications. It also includes resources and governing policies to ensure fair and equitable compensation.

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Salary Setting and Equity Increases - Guidelines and Factors to Consider

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  1. Office of Research  September 2010 RE-DELEGATION OF SALARY SETTING • New Hires • Promotions • Equity Increases • Reclassifications

  2. Office of Research  September 2010 FACTORS TO CONSIDER • Campus Average • Research Average • Unit/Department Average • Internal Equity • Length of Employment • Years of Experience • Applicable Educational Background

  3. Office of Research  September 2010 Resources/Governing Policy • PPSM Policy 30 • Berkeley Campus Implementing Procedures • Bargaining Union Contracts • Compensation – June Ramirez 3-0645 • Office of Research – Lisa Bolivar 2-9452 • Labor Relations – 3-6001

  4. Office of Research  September 2010 • Do Not Exceed 25% in a fiscal year • Some Unions Must Be Noticed • Do not use Merit as a reason code

  5. Office of Research  September 2010 EQUITY INCREASES 1. An equity increase may be granted under unusual circumstances and is typically based on a serious salary inequity which cannot be corrected through the merit review cycle. 2. A salary inequity exists when an employee's salary is significantly below that of those in the same title code with similar performance, experience, skills, knowledge, and assignments. Examples of situations which may indicate a salary inequity include: a. The salary of a long-term employee is low relative to a new hire whose salary is highly market-driven. b. There is significant salary compression between a supervisor and his/her employees. c. An employee changes from a limited-term to a career position in the same class. d. Market factors influencing recruitment and retention.

  6. Office of Research  September 2010 EQUITY INCREASES (cont) 3. An equity increase may be considered for employee’s who have assumed a substantial increase in scope of ongoing responsibilities that he/she is currently performing, but not enough for a reclassification or promotion to a higher level. For example, an employee may be asked to run additional programs at the same complexity level as current programs run by the employee. 4. Upon a lateral move, normally there will be no change in salary. In exceptional cases, an employee may be considered for an equity increase. 5. The department head will submit the request through appropriate channels to the control unit head, except as redelegated. The vice chancellor will review and may consult with HR before making a final decision.

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