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State of Wyoming. An overview of the State of Wyoming Classification & Compensation Program Department of Administration & Information, Human Resource Division. Job Evaluation, Classification & Market Pay Project.
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State of Wyoming An overview of the State of Wyoming Classification & Compensation Program Department of Administration & Information, Human Resource Division
Job Evaluation, Classification & Market Pay Project • Adoption of Statewide Compensation Philosophy which changed the definition of relative market to include in-State employers. • In the Fall of 2008, market data was gathered using a number of sources: • Central States Compensation Association • Hay PayNet Data • In-State Custom Survey • Wyoming Hospital Association Survey • Wyoming Prevailing Wage Survey for Contractors • As a result, data was gathered from 113 employers; the most comprehensive gathering of data that has been available to the State for the development a salary structures • Development of Pay Structures - In establishing pay structures, it is very important to recognize two key concepts: • Internal equity: The differences in job content as measured by a defensible job evaluation methodology • External competitiveness: The market value of that job content based on the definition of the relevant market as set out in the compensation philosophy. • A pragmatic and practical approach to the creation of pay structures is based on the appropriate balance of these two important principles
What is different? • The State has moved to a system that measures and evaluates each job to determine the internal ranking of all our positions and incorporates the relevant external market to determine the proper positioning of our pay structures. • The State uses multiple pay tables to address differences between internal alignment and external market data. • Each job is placed into a grade based on the internal ranking. • Each grade has a pay range based on the relevant external market and internal alignment of positions. • The Old System • Identified benchmark positions • Surveyed our competitive market (only Central States) using the identified benchmark positions • Used extrapolation process to create market range for non-benchmark positions • The New System • Identified benchmark positions • Surveyed our new competitive market (see previous page) using the identified benchmark positions • Used linear regression (a statistical formula) to create market ranges for all positions differences
Example of Linear Regression Linear regression
Pay Structures • PAY STRUCTURES • In developing pay structures for a large Public Sector organization such as the State of Wyoming, given the diverse nature of types of jobs, it was highly unlikely that “one size would fit all”. • Based on analysis of market data, three Pay Structures for Classified Employees have been developed. • A General Pay Structure - In this structure, each classification included in the structure is assigned a grade for which there is a pay range. For the vast majority of classifications, employee pay is administered in that pay range • However, there are some positions for which the market is paying them a premium over others of the similar job content. • These are what will be known as market premium positions and will be administered by what will be noted with a parentheses ( ). For example, the grade may be K but their pay will be administered in M. They would be listed in the Pay Plan as K (M). • A “sunset” date will be set for each of the above at which time a review will be conducted to see if the market premium still exists. • In addition, market data for other classifications may warrant them becoming market premium positions in the future. • A Nursing Pay Structure – (Class Codes = HSNU14, HSNU12, HSNU11, HSNU10, HSNU08, HSNU06, SOMC11, SOMCC10). • A Highway Patrol and Criminal Investigation Pay Structure – (Class Codes = PSLE16, PSLE12, PSLE11, PSLE10, PSLE08, PSLE07, PSHP09, PSHP08, PSHP07, PSHM16, PSHm14, PSHM12, PSHM11, PSHM09). Pay Structures
General Pay Structure General Pay Structure
Nursing Pay Structure Nursing Pay Structure
Highway Patrol & Criminal Investigation Pay Table Highway patrol & criminal investigation Pay structure
Premium Pay Classifications Premium pay
Pay Administration • PAY ADMINISTRATION • Development of Compensation Policies - Compensation Policies and Guidelines set out the basis by which the plans will be administered for Classified employees • Significant Additions or Changes in the New Compensation Policies • Compensation Philosophy • Retention Increases • Add-on Adjustments • Limited pay adjustments on a reclassification • Position in Range and Performance – pending funding authorization • Inter-agency and agency to agency transfers • Removed from Policies • Increases upon completion of the probationary period • Movement to CMA after 2 years • External Cost Adjustment Increases (ECA) Pay Administration
How do these changes affect Recruitments? recruitment • What pay range do we put on the recruitment? • Agencies must state the pay on the recruitment within the range of “Minimum to MPP” in the Pay Range/Payband section • Can we go above the MPP? • As previously done, Agencies may request above the MPP up to the maximum by submitting a request to the Human Resources Administrator for approval. Sufficient justification will be required to recruit at that level comparing other employees position to MPP. • Is there an approval for pay for recruitments? • A&I will always confirm pay prior to recruitment approval. • How do we know that a recruitment is at the correct level? • HRD will always cross-check the vacancy announcement with the class spec. to ensure that all areas of the recruitment are consistent with the appropriate level within the class spec. • What is happening with Vacant Position Report? • We are verifying positions on recruitments to make sure that they are not on this list. This list includes eliminated and non-recruiting status positions. • In addition, Data/Payroll is checking to make sure that agencies do not exceed their Hiring Caps. • Has my position been lowered since the MQ’s are lower? (MQ = Minimum Qualifications) • No, all MQ’s have been lowered except where they are governed by statute. This in no way lowers your position. It is for recruitment purposes only. The new MQ’s allow agencies more flexibility and latitude to recruit for appropriate candidates through the customization of preferences. MQ’s are not taken into consideration for pay.
Questions? questions