CompensationCompensation

““What’s in it for me?”What’s in it for me?”

Ron Kamahele, DirectorUAA Human Resource Services

Compensation DefinedCompensation Defined

All forms of financial returns and All forms of financial returns and tangible services and benefits tangible services and benefits employees receive as part of an employees receive as part of an employment relationship.employment relationship.

Name some “financial Name some “financial returns”returns”

Financial ReturnsFinancial Returns

WagesWages SalarySalary BonusesBonuses MoneyMoney More moneyMore money Yet even more….Yet even more….

Name someName some“Services and “Services and Benefits”Benefits”

Services and BenefitsServices and Benefits

Medical Medical InsuranceInsurance

Life InsuranceLife Insurance Sick leaveSick leave Annual leaveAnnual leave HolidaysHolidays Education Education

benefitsbenefits

PensionPension RetirementRetirement Use of Use of

recreational recreational facilitiesfacilities

Use of libraryUse of library

The Employment The Employment Relationship:Relationship:Employee ClassesEmployee ClassesE-class determines how an E-class determines how an

employee is paid and what employee is paid and what benefits are received.benefits are received.

Regular and Regular-termRegular and Regular-term Temporary and extended Temporary and extended

temporarytemporary StudentStudent

Exempt v. NonexemptExempt v. NonexemptEmployeesEmployeesExemptExempt SalarySalary Paid by pay periodPaid by pay period Report only time Report only time

offoff No overtimeNo overtime

NonexemptNonexempt WageWage Paid by the hourPaid by the hour Fill out time cardFill out time card OvertimeOvertime

How do we determine How do we determine what to pay an what to pay an employee?employee? Staff positions are evaluated by Staff positions are evaluated by

HRS and allocated to a Job FamilyHRS and allocated to a Job Family Office of Academic Affairs Office of Academic Affairs

evaluates compensable factors evaluates compensable factors for faculty positions.for faculty positions.

““We have to pay that We have to pay that much. It’s written in the much. It’s written in the grant!”grant!” OMB Circular A-21 requires like OMB Circular A-21 requires like

treatment of fundstreatment of funds Employer must consistently apply Employer must consistently apply

its policies and practices its policies and practices regarding compensation, without regarding compensation, without regard to source of funds (internal regard to source of funds (internal equity)equity)

What’s a Job Family?What’s a Job Family?

Groupings of jobs with closely Groupings of jobs with closely related focus, tasks and functionsrelated focus, tasks and functions

Within a family jobs can be Within a family jobs can be distinguished by major functiondistinguished by major function

Within a major function jobs can be Within a major function jobs can be distinguished by level of know-how, distinguished by level of know-how, complexity and authority to actcomplexity and authority to act

•GeneralistGeneralist

•SpecialistSpecialist

Administrative Job Administrative Job FamilyFamily

Administrative Generalist Administrative Generalist Family StructureFamily Structure

Level1234

Experience6 mo.1 yr.2 yrs.3 yrs.

EducationH.S.H.S.H.S.H.S.

Grade74757677

ReclassificationReclassification

Changing a job description to Changing a job description to meet new business needsmeet new business needs

Increased knowledge, complexity, Increased knowledge, complexity, scope, authority can lead to an scope, authority can lead to an upgradeupgrade

5% increase in pay5% increase in pay

Out-of-class PayOut-of-class Pay

Is temporary in natureIs temporary in nature For at least 30 daysFor at least 30 days Reviewed and reapproved after Reviewed and reapproved after

90 days90 days

Out-of-class pay may be given for additional duties that are technically advanced; require substantially more discretion, authority or accountability; or otherwise require the employee to utilize clearly higher level skills and abilities not required in his/her current job.

Career Development Career Development PlansPlans

A Career Development Plan (CPD) A Career Development Plan (CPD) provides an avenue for advancement provides an avenue for advancement through a Job Family based on through a Job Family based on successful completion of established successful completion of established criteria and objectives. (UA Reg criteria and objectives. (UA Reg 04.05.035.G)04.05.035.G)

Career Development Career Development PlansPlans

Growth within a positionGrowth within a position– ReclassificationReclassification– In grade adjustmentIn grade adjustment

Development with in an organizationDevelopment with in an organization Preparation for promotion or transferPreparation for promotion or transfer

Career Development Career Development PlanPlan

Training Training – OJTOJT– Internal/external courseworkInternal/external coursework

Skills/knowledge to be attainedSkills/knowledge to be attained Duties and functions to be assumedDuties and functions to be assumed Time-in-grade Time-in-grade Successful demonstration/application Successful demonstration/application

Other Compensation Other Compensation OptionsOptions In-grade step MovementIn-grade step Movement Performance BonusPerformance Bonus

In-grade Step In-grade Step MovementMovement(R04.05.040.D2b)(R04.05.040.D2b) Exceptional occurrenceExceptional occurrence Granted to addressGranted to address

– internal equity/alignmentinternal equity/alignment– sustained outstanding performancesustained outstanding performance– professional or career growth within professional or career growth within

a positiona position Requires prior approval from Requires prior approval from

regional Human Resources Officeregional Human Resources Office

Performance BonusPerformance Bonus

For meritorious employees in For meritorious employees in extraordinary circumstancesextraordinary circumstances

Local procedureLocal procedure– Up to $2,500Up to $2,500– Approval by a person at Cabinet Approval by a person at Cabinet

levellevel– Approval of Director of HRSApproval of Director of HRS

Is the staff scale Is the staff scale competitive with local competitive with local market?market? Yes and no.Yes and no. UA compensation system strives UA compensation system strives

for internal equityfor internal equity UA compensation system doesn’t UA compensation system doesn’t

attempt to achieve market equityattempt to achieve market equity

Is the staff scale Is the staff scale competitive with local competitive with local market?market?

SOC 43-6014 Secretaries and Administrative Assistants*SOC 43-6014 Secretaries and Administrative Assistants*Low Low $18.32$18.32Mean Mean $18.95$18.95High High $19.58$19.58

* State of Alaska Department of Labor and Workforce Development, Research and Analysis at http://live.laborstats.alaska.gov/wage/index.cfm?at=70&a=011260

Administrative Generalist 2, Grade 75Administrative Generalist 2, Grade 75LowLow $15.51$15.51MiddleMiddle $20.09$20.09HighHigh $26.54$26.54

QuestionsQuestions