LMART STORES, INC. FI NON lATE 2013big.assets.huffingtonpost.com/Walmart_0.pdf · 11-02-2012 · ~l~, FY.2013 SAM'S CLUB FIELO.NON-EXEMPT ASSOC1ATE PA.l PU2.N Pay Structure: Based

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These guideUnes are subject to change at any time.

These guidelines are effective February 11, 2012 on a go~forward basis and replace any and all prior pay guidelines.

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~- -F-V 2013 SAM'S CLUB FiELD NON~EXEi'.,·iP'r t~SSOCiA'rE PAY PLAN

Field Non-Exempt Pay Plein;.. Introduction

Our Company's fundamental compensation philosophy is to provide compensation and benefitprograms needed to attract, retain, and reward Associates who contribute to the Company's success.

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This documentation contains detailed information about the compensation plan for field non-exempt (hourly)positions in Sam's Club divisions.

This plan became effective February 11! 2012 and replaces any and all prior compensation guidelines for theabove mentioned field non-exempt Associates.

Nothing stated herein changes the "at will" employment relationship between the Company and itsAssociates. These pay Guidelines do not create an employment contract or guarantee of employmentwith the Company for any period of time regarding any current or prospective Associate. In its sole, .dlscretlon, the Company can elect to change these pay Guidelines at any time, with or without notice,except as may be required by any applicable state law.

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Page 2 of 33Effective 02!11/2012

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e= ..." Y :;on SMAS CLUB FIELD NON-EXEMPT ASSOClATE Pli,Y ? ..AN

Table of Contents

Introduction 2

Purpose 4

Definitions 5-7

Pay Structure /Position Pay Grade . 8-10

New Hire Start Rate _ 11-13_.,

Pay Structure/Facility Start Rate Review 14

Wage Rate Adjustment 15-16

Lateral Move within the same Facility 17

Promotion within the same Facility 18

Demotion within the same Facility 19

Transfers between Facilities 20-22

Transition Worksheet 23-24

Temporary Job Assignment. 25

Overnight Differential 26-28

Overnight Job Codes/

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Market Differential 30

Performance Evaluations Increase 31

Performance Evaluations Below Target Rating 32

Interns/First in Line Programs 33

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Page 3 of 33r:ffecUve 02/11/2012

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•FY 2013 SAM'S CLUB FIELD NON-EXEMPT ASSQClp.TE PAY PLAN

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PurposeAny Associate categorized as non-exempt is subject to the applicable provisions set forth in the Fair LaborStandards Act as well as any applicable state wage and hour laws governing the location where the Associate isemployed. As a result, non-exempt Associates:

• Must be paid at least the Federal, State, or Municipality Minimum Wage, whichever is greater, for all hoursworked; .

• Are eligible for overtime pay;• Are required to take meals/break periods in accordance with applicable state law and related company

policies; and• Must have all worked hours recorded and paid by Wal-Mart.

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The Field Non-exempt Associate Pay Plan has the following objectives:• Establish and maintain a legally compliant competitive pay structure that rewards Associates; and• Ensure the consistent and equitable administration and communication of starting pay and subsequent

pay changes for field non-exempt Associates./

As a member of the club's management team, this documentation will provide you with a consistent approachfor handling non-exempt Associate pay issues.

Your Market Human Resource Manager, Regional Human Resource Director, and/or Divisional HumanResource Sr. Director will act as consultants to ensure consistency in the program's administration, itscompliance with applicable federal and state laws, and adherence to established compensation standards fornew hires and pay increases for current Associates.

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Page 4 of 33Effective 02/11/2012

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foX 2013 SAM S CLUB FJELD NON-EXEMPT ASSOCjATE PAY PLAN

DefinitionsAdjustment: An increase or decrease to an Associate's base rate of pay which is not the result of promotion,facility start rate (FSR) change, demotion, movement to another pay structure, or Annual Performance Increase.

Annual Performance Increase: A base rate of pay adjustment as a result of an Associate's performanceevaluation' rating.

Base Pay Rate: Associate's hourly rate of pay comprised of facility start rate, any position pay gradeincremental values, applicable annual increases, and applicable work experience credits. Base Pay Rate doesnot include differentials.

Demotion: Voluntary or involuntary movement to a position in a lower PPG.

Facility Start Rate (FSR): The minimum starting pay rate within a Facility. It is also the PPG 1 minimum

Lateral Transfer: Movement between jobs within the same PPG/

Market Differential: An additional amount of money paid on a per hour basis to an Associate assigned to an• eligible job code. Market differentials vary by location and/or position.

Non-Exempt: Associates who perform duties under the state or federal wage and hour laws and do not meetthe exemption from the payment of overtime for hours worked.

Overnight Differential: An additional amount of money paid on a per hour basis to an Associate assigned to ajob code that is designated to an "overnight" shift and who generally works between the hours of 10:00 pm and7:00 am. Overnight differentials vary by location and/or position.

Pay Exception: Pay request that falls outside the criteria of the Sam's Club Field Non-Exempt Associate PayPlan.


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~ l~,FY.2013 SAM'S CLUB FIELO.NON-EXEMPT ASSOC1ATE PA.l PU2.N

Pay Structure: Based. on' the Facility Start Rate and is comprised of Position Pay Grades (PPG). There areseven position pay grades in the fie'ld non-exempt pay structure. .

Position Pay Grade (PPG): Designates the size of the position. Each primary job code is assigned to aparticular Position Pay Grade (PPG) based on the job responsibilities. Jobs in the same PPG and facility havethe same start rate unless a differential is approved for the job code.

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Primary Job Code: A code used to designate the primary work responsibility of an associate. The primary jobcode must be used if the associate works more than 50% of their time working in this job. An associate's basepay is derived using the primary job code.

Promotion: Movement to a job with a higher PPG.

Retroactive Adjustment: Adjustments made to compensate an associate for a change in the associate's baserate of pay due to promotion, demotion, other defined positions movement, or to a pay adjustment that was notcompleted in the effective pay period.

Secondary Job Code: A job code used to designate work other than the primary responsibility of an associate• performed less than 50% of their time. The secondary code may be used to give the associate access to

systems to perform the job (i.e., a full time associate who has a primary job code as a cashier performs thefunctions of a COS one day a week to cover breaks.) A secondary job code has no impact on base pay of anassociate.

Temporary Assignment: Assignment to work a different position/job code for a period no more than 12consecutive weeks and more than 50% of the associate's work time is spent performing duties in the temporaryposition/job code.

Transfer between Facilities: A transfer from one facility to another facility.

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Page 6 of 33effective 02/11/2012

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FY 2013 SAM S CLUB FIELO·NON·EXEilliP1' ASSOCiATE PA.'f PLAN-

Wage Adjustment: An adjustment for existing associates whose base rate of pay is currently above the newPPG minimum following a FSR increase. This adjustment follows the adjustment methodology covered on page15.

Work Experience: The performance of any lawful work regardless of the nature of the work or the identity ofthe employer for which compensation was paid.

Work Experience Credit: An additional amount above the PPG start rate for previous work experience withinthe past five (5) years. One credit is given for 12 months of work experience .

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FY 2013 Sam's Club. Field Non-Exempt Associate Pay Plan Page 7 of 33Effective 02/11/2012

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FY 2013 SAM'S CLUB FIELD NON~FXE!V!PTASSOCIATE ?il~ PL.AN

Pay Structure IPosition Pay Grade

A Pay Structure is comprised of Position Pay Grades (PPGs). There are seven PPGs in the Sam's Club fieldhourly pay. structure.

.. PPG2 $0.20PPG 1 $0.00

PPG3 $0.40PPG4 $0.60PPG5 $0.90PPG6 $1.30PPG7 $1.70

PPG minimums at different FSRs:

1 $8.50 12 $8.70 23 $8.90 34 $9.10 45 $9.40 56 $9.80 67 $10.20 7

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$8.00$8.20$8.40$8.60$8.90$9.30$9.70

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Pago 8 of 33Effective 02/11/2012

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lIP..Fy'2013 SAf,,'!S CLUB FJELD NON~L"(EMPTASSOCIATE PP.Y PLAN

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sition Pay Grade (PPG)PPG Range Minimum -Each PPG has a range minimum. The Pay Range minimum for each PPG is calculated using the FSR +PPG incremental amount(s).

PPG Range Maximum -Each PPG has a range maximum which is the maximum amount of base. pay an Associate can achieve for eachPPG. Maximums may vary between facilities regardless of FSR (see Spread Range below). Differentials arenot included in determining whether or not an hourly rate exceeds the maximum .....

To determine all PPG maximums for a facility please refer to the Field Pay Administration Summarylocated on the WIRE under Knowledge Center/People SupportlHR Services/HR Admin/Payroll/Tools andResources/Pay Administration Summary-Store.

Spread Range between Minimum and Maximum

Individual Clubs will have spread' ranges between the minimum and maximum of the PPG range from 90% to110%. To find the PPG minimums and maximums for a Club please refer to the Field Pay AdministrationSummary located on the Wire under Knowledge Center/People Support/HR Services/HR Admin/Payroll/Toolsand Resources/Pay Administration Summary-Store.


• fY 20B SAM'S CLUB FiELD NOr-~·EXEMPT ASSO:-':;A"f£ PA\ PLAN

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The fol/owing are examples of two facilities with the same FSR, but with different spreads. This examplesnows how the' spread impacts individual facilities .

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FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Pago 10 of 33EHective 02/11/2012

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FY .2013 SAM'S CLUB F E't._DNON-EXEMPT ASSOC1A ra P,AY PLANp

., Start Rate I New Hire Rate PlanNew Associates must be paid at least the minimum rate of the PPG for their position/primary job code.Associates will also be paid an additional value above the' PPG Start Rate if; (i) a premium (e.g. OvernightDifferential' or Market Differential) has been assigned to his/her position; and/or (ii) they have work experienceduring the' past five years.

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To determine a new hire's Start Rate, the New Hire Start Rate Worksheet, which can be found in the CareerPreference system (Career Preference), is completed and approved by the Club Manager, prior to generatingthe Conditional Job Offer. New hire credits are assigned based on the PPG for the position the associate willbe assigned:

• PPG 1 and 2 positions are not eligible to receive new hire credits.• PPG 3 positions can receive up to two (2) new hire credits valued at $0.30 each for a maximum value of

$0.60.• PPG 4 positions can receive up to three (3) new hire credits valued at $0.30 each for a maximum value of

$0.90.• PPG 5 thru 7 positions can receive up to five (5) new hire credits valued at $0.40 each for a maximum

value of $2.00.

Work Experience Criteria:Newly hired Associates in certain eligible positions may receive one credit for each full 12 months of workexperience during the past five years up to a maximum of five credits. A full credit year can also beachieved by working in multiple jobs for a total of 12 cumulative months (ex; An Applicant has experience atone retailer for four months with a two month break in service and then has experience with a second retailerfor eight months. The applicant would be eligible for one credit year.)

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Pago 11 of 33Effectlvo 02/11/2012

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- FY 2013 SAM 5 CLUB ~ F!_D NON~EXE.:VjPT ASSOCIATE p.t..Y PLAN/"

.~ Work Experience Criteria (continued):• Applicants are responsible for entering all prior work experience in the last five years into the hiring kiosk.

There are several messages informing all applicants that they should enter all lawful work experience inthe last five years, as it may impact their rate of pay upon hire. In addition, during the interview processthe hiring manager should confirm that all work experience was entered into the online application. Uponhire, 'no adjustments will be made to work experience credits.

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• If a new Associate is placed into the wrong position (lob code), the Associate's rate of pay will be adjustedfor the New Hire credits of the correct position (iob code), if applicable, provided the following apply:

• The Associate is moved to the correct position (iob code) within the first pay period after theAssociate's hire date and

• The Associate was scheduled for the correct position (job code) from the date of hire or otherevidence can be produced to indicate the Associate was hired for the correct position Uob code) butwas systematically places into the wrong position (job code).


• FY 2013 SAM'S CLUE? FIELD NON-E.XEMPT ASSOCjATE PAY PLA~"

Eligible New Hire Credits:

A New Hire Credit equals a pre-determined value based on the PPG of the hiring position. The value of thecredit(s) is added to the PPG Start Rate to determine the new hire start rate for the new Associate. The valuesfor each credit are as follows:

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As of May 12, 2010, Career Preference automatically calculates new hire credits based upon the workexperience entered into the online hiring center/hiring kiosk. The hiring manager should confirm that theapplicant entered all their work experience into the system for the last five years to ensure new hire credits areaccurately calculated.


-..FY 2013 SAM'S CLUB FIELD NON-EXE.MP r ,l,SSOC1A IE PAY PLAN

. .Review of Facility Start RateFacility Start Rates are reviewed annually by the Sam's Club Compensation Team. It is the Club and MarketManager's responsibility to ensure that Facility Start Rates are competitive for the facility's local market outsideof the annual review. The Club Manager should periodically review the Facility Start Rates to ensure that theyare competitive within the local labor market. In the event the Club Manager concludes that a Start Rate in theirlocal market is not competitive, the Manager must complete and submit a wage survey found on the WIREunder Knowledge Center/People Support/Compensation/Worksheets/Compensation Wage Survey. Select thelink named Wage Change Form.

....A Facility's Start Rate is based on local competitive pay rates for similar jobs and established in conjunction withmarket surveys and compensation analysis. Sam's Club Compensation will work with the Market Manager,RVP/SVP and the corresponding HR representative to determine Facility Start Rates.

FY 2013 Sam's Cub Field Non-Exempt Associate Pay Plan Page 14 of 33Effective 02/11/2012

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Wage Rate AdjustmentAs a facility's start rate (FSR) increases, individual associates' pay is systematically reviewed within thefacility to determine if an additional adjustment is needed. Each associate's base rate of pay (current rate ofpay less any applicable differentials) is compared to the minimum amount above PPG minimum based uponthe associate's years of service with the company (listed below). Any associate whose base rate of pay isbelow this amount will receive a pay adjustment up to this amount.

The following table shows the minimum amount above the PPG minimum an associate with the applicableyears of service would be adjusted to following a FSR change .

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1 Ensure at PPG Minimum23 $0.30 $0.60 $0.60 $0.60 $0.604 $0.30 $0.60 $0.90 $0.90 $0.9056 I $0.40 I $0.80 I $1.20 I $1.60 I $2.007


.. .F-Y2013 SAM'S CLUB FIELD NON-EXEMPT PAY PLAN

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Example 1:

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. Example 2:

PPG 5 Minimum $8.90

Waae adjustment rate 4 years + $1.60Minimum wage compression rate: PPG 5 Minimum+ Waae adjustment rate for 10 = $10.50

in PPG 5 ition

Amount to reach waae comoression minimum 0.40Associates new base rate of pay for PPG 5osition $10.50

$8.50 F~RWage,,A.djustmentAssociate with 5 yearsservlce

$9.40PPG 5 Minimumears + $2.00

Minimum wage compression rate: PPG 5Minimum + Waae Adjustment rate for 5 years = $11.40

Associates current rate of Day in PPG 5 oosition $12.50$0.00Amount to reach wa

$12.50Associates rate of nav remains at current level

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Page 16 of 33Effective 02i11!2012

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....FY 2011 SAMjS CLUB FiELD NON-EXEMPT A$SOCL~T~ PA.Y PL£:.N

. Lateral Move within the same Facility

Base Pay Adjustment

No base pay change will accompany a lateral transfer, unless a premium (OvernighUMarkeUSeasonalDifferential) is assigned to the current or new job code. Differentials may be added or removed at any time.

The Associate's job code must be changed through Career Preference. For detailed instructions on how tocomplete a job code change refer to the Payroll Scheduling Guide (PSG 406) .

Any Associate whose base rate of pay is currently over the PPG range maximum will be allowed toretain the ba.serate of pay when moving laterally within the same facility.

Example 1

If an Associate moves from a Cashier position (PPG 3) to a Sales Associate in Frozen (PPG 3), the base payrate will remain the same since both jobs are in the same Position Pay Grade.

Example 2

If an Associate moves from a Cake Decorator position (PPG 4) with a market differential to a Membership Deskposition (PPG 4) without a market differential, the Associate's pay would be adjusted down due to the removalof the amount of the differential for the Cake Decorator position.

FY 2013 Sam's Club Field Non-Exempt Associate Pay Pian Page 17 of 33Effective 02/11 !2012

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. .fY 2{)13 SA!".., S '~bV} FiELD NON·EXl'::iViPTASSOClATE PAY PLAN

Promotion withm the same facility

Base Pay Adjustment

An Associate who moves to a position/job code in a higher Position Pay Grade will be paid his/her current basepay rate plus the difference between their current Position Pay Grade and the new Position Pay Grade up to themaximum of the new Position Pay Grade Range. Please refer to pages 8 through 10 for Position Pay Gradeincremental values and ranges.

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For Associates whose base rate of pay is higher than the PPG range maximum of the position they arepromoting into, provided the associate remains in the same facility, the Associate will retain their current baserate of pay and will not receive an increase for the higher PPG.

The Associate's primary job code must be changed in Career Preference. For detailed instructions on how tocomplete a job code change refer to the Payroll Scheduling Guide (PSG) 406.

The following table shows the rate of pay increase if an Associate moves from a PPG 2 position to a PPG 5position:


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Demotion within the same facility

Base Pay Adjustment

An Associate who moves to a position/job code in a lower Position Pay Grade will have his/her base pay ratereduced by:

• the difference between the current Position Pay Grade and the new Position Pay Grade or• to move to the maximum of the new Position Pay Grade, whichever is lower.

.... Please refer to pages 8 through 10 for Position Pay Grade incremental values and ranges .

The Associate's primary job code must be changed in Career Preference. For detailed instructions on how tocomplete a job code change refer to the Payroll Scheduling Guide (PSG) 406.

The following table shows the rate of pay decrease if an Associate moves from a PPG 6 positions to a PPG 3position:


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FY"2013 SAtlfl S CLUB F!£LD NON*EXEMPT /\,SSOCIA IE {:lAY PLAN

Transfers between Facilities (Sam's to Sam's transfer or Walmart to Sam's transfer)

An hourly Associate who transfers between Sam's Clubs or to a Sam's Club from a Walmart Store.

FSRs, Differentials, and Maximums vary between locations.

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Base Pay Adjustment

When transferring between facilities, the Associate's base rate of pay will be adjusted to the appropriate paylevel as follows; however, a transferring associate's base rate of pay may NOT exceed the PPG Maximum fortheir new Facility:

Transfer-Lateral

If an associate transfers to another facility at the same PPG, an Associate's base rate of pay will be adjusted byany difference between the Facility Start Rates or to the maximum of the PPG Range, whichever is less. TheAssociate's base rate of pay will also be adjusted if he/she moves in or out of an Overnight or Market Differentialeligible position. If a FSR changes during the transfer of the Associate, the base rate of pay that wasacknowledged by the Associate upon the position offer will be the pay rate that is applied.

If the FSRs of the two facilities are the same, the Associate's base pay rate will not change, unless to move theassociate to the maximum of the PPG range in the new facility, The Associate's base rate of pay will also beadjusted if he/she moves in or out of an Overnight or Market Differential eligible position,

Example 1

An Associate currently is employed in a Facility with a FSR of $8.00. The Associate earns $8.60 an hour in PPG2, which has a position Start Rate of $8.20. The Associate transfers to another facility, in a job at the samePPG, which has a FSR of $8.50. The difference between these FSR is $.50, which is added to the Associate'scurrent base rate of pay. The Associates new rate of pay is $9.10.

Example 2FY 201 3 Sam's Club Field Non-Exempt Associate Pay Plan Page 20 of 33

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"'.FY 2013 SAM'S CUJB FlELD NON*EXEMPT ASSOCiATE. PAY PLAN

An Associate currently is employed in a Facility with a FSR of $8.00. The Associate earns $16.75 an hour inPPG 2, which has a position Start Rate of $8.20. The Associate transfers to another facility with an $8.50 FSRand into a job at the same PPG. The difference between these FSRs is $.50 however the Position Pay Rangemaximum in the new Facility is $16.53. The Associate's base pay rate would decrease by $0.22 overall to placethe Associate at the maximum of the Position Pay Grade Range. The Associate's new rate of pay is $16.53.

Transfer-Promotion

For an associate transferring to another facility into a position in a higher PPG, the base rate of pay will beadjusted by the difference between 1) the FSRs (current and new) and 2) the difference between the currentPPG and the new up to the maximum of the new PPG Range. The Associate's base rate of pay will also beadjusted if he/she moves in or out of an Overnight or Market Differential eligible position.

Example 1

An Associate currently earns $8.90 an hour in PPG 3, which has a FSR of $8.00. The Associate transfers to anew facility with a Start Rate of $8.50 and assumes a position in PPG 4. The PPG 4 maximum is $17.20. Thedifference between the FSR is $.50, and the difference between PPG 3 and PPG 4 is $.20, so $.70 is added tothe Associate's current base rate of pay. The Associate's new rate of pay is $9.60.

Example 2

An associate currently earns $18.50 in a PPG 3, in a facility with a FSR of $8.00. The Associate transfers to anew facility with a FSR of $8.50 and assumes a position in a Position Pay Grade 4. The PPG 4 maximum is$19.11. The difference between the FSR is $.50 and the difference between the Position Pay Grade 3 andPosition Pay Grade 4 is $.20. This would take the Associate's base rate of "pay to $19.20; however, since themaximum of the PPG 4 for the new Facility is $19.11, the Associate's base rate of pay would increase to $19.11to take the Associate to the PPG maximum in the new facility.

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Page 21 of 33Effective 02111/2012

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. FY 2013 SAM'S CLUB fIELD NON·EXU/PT ASSOCiATE PAY PLAN

Transfer-DemotionFor an associate transferring to another facility to a position in a lower PPG, the Associate's base rate of pay willbe adjusted by the difference of the FSRs and the current PPG Start Rate and the new PPG Start Rate or to themaximum of the new PPG Range, whichever is less. A transferring associate's base rate of pay may NOTexceed the PPG Maximum for the Facility to which the associate is transferdng. The Associate's base rate ofpay will also be adjusted if he/she moves in or out of an Overnight or Market Differential eligible position.

Example

An Associate currently earns $9.00 an hour in PPG 3, in a facility with a FSR of $8.50. The Associate transfersto a new facility with a Start Rate of $8.00 and assumes a position in PPG 2. The difference between the FSRsis $.50, and the difference between PPG 3 and PPG 2 is $.20, so the Associate's base rate of pay is reduced by$.70. The Associate's new rate of pay is $8.30.

All transfer rates involving an Associate who currently works at the Home Office, a Distribution Center, or CMImust be coordinated through the Market Human Resource Manager.

Any Transfer between Facilities cannot go below the minimum or exceed the maximum PPG rate of pay for thenew PPG Range.

FY 2013 Sam's ciub Field Non-Exempt Associate Pay Plan Page 22 of 33Effective 02111/2012

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-..FY 2013 SAM S CLUB FJELD NON·EXEMPT PAY PLAN

Transition \JVorksheet

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Associates transferring from outside of a Career Preference Field Non-exempt position to a Career PreferenceField Non-exempt position will have their rate of pay calculated using the automated transition worksheet inCareer Preference. The automated transition worksheet is used for, but not limited to, Field Exempt associates,Logistics associates, Home Office associates, and Puerto Rico associates transferring to a field non-exemptposition. The automated transition worksheet is available through Career Preference. The transition worksheetwill calculate the 'pay rate for the associate transferring. The transition worksheet includes the following:• PPG minimum for the position the person is moving to• Years of service credit for continuous service with the company ($0.50 per full year of service)• Potential new hire credits if a new hire would receive more credits than the associate received year of service

credits (total years of service credits and new hire credits may not exceed the new hire credits a position iseligible to receive)

• Management experience credits ($0.50 per full year of management experience, not to exceed $3.00) ifmoving to a team lead position.

• The associate's new rate of pay cannot exceed the PPG maximum of the position they are moving into.

Example 1An associate transferring from logistics with 8 years of service (3 years management experience) moving to aCOS (PPG 6) position in a club with a $9.00 FSR would have their pay calculated using the transition worksheetand would transfer at $15.80.

PPG 6 Minimum $10.30Years of Service Credit ($0.50 per year) $4.00 ,

New Hire Credit (PPG 6 may receive up to 5; since the associate received 8 $0.00years of service credit, he/she will not receive anything for new hire credits.)Team Lead Position ($0.50 per year of management experience) $1.50

Total $15.80PPG Maximum (Associate's base pay may not exceed this amount) $20.60

Associate's Base Rate of Pay $15.80


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Example 2An associate transferring from the home office with 2 years of service, 4 years work experience prior to joiningthe company, moving to an overnight cake decorator (PPG 4) position in a club with an $8.50 FSR would havetheir pay calculated using the transition worksheet and would transfer at $10.40.

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PPG 4 Minimum $9.10Years of Service Credit ($0.50 per year) $1.00

New Hire Credit (PPG 4 may receive up to 3; since the associate received 2 $0.30years of service credits, he/she will only receive 1 new hire credit.)Team Lead Position ($0.50 per year of management experience) $0.00



Example 3

An Assistant Manager with 7 years management experience and 18 years of service takes a position as aHardlines Team Lead (PPG 7) position in a club with a $9.50 FSR would have their pay calculated using thetransition worksheet-and would transfer at $22.40.

PPG 7 Minimum $11.20Years of Service Credit ($0.50 per year) $9.00

New Hire Credit (PPG 7 may receive up to 5; since the associate received 15 $0.00years of service credit, he/she will receive no new hire credits.)Team Lead Position ($0.50 per year of management experience; limit 6) $3.00



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FV 2013 SAM'S cum FjELD NON-EXEMPT ASSOCIATE PAY PL!\N

Temporary Job, Assignment

Base Pay Adjustment

When a position is temporarily available it should be filled based on the expected time period of which theposition is available.

• For the first six (6) weeks, the position should be filled on a temporary basis without changing the primaryjob code of the associate filling this role. The Associate's pay will NOT reflect the change for the first six(6) weeks of a temporary job assignment.

• For six (6) weeks to 12 weeks the position should be filled through a competitive process in the CareerPreference system. This is accomplished through a Temporary Assignment Requisition. When thetemporary assignment has been completed, the exception process in the Career Preference system isused to change the associate's job code by using the reason code "End temporary assignment/reassign toprevious job code." All Field Hourly Pay Plan rules will apply. Retro pay will NOT occur for the first six (6)weeks of the assignment.

• If the position is ultimately open 12 weeks or longer, it should be filled through a competitive process inCareer Preference and will be considered a permanent movement. This is accomplished through astandard requisition.

The effective date' of the primary job code change should be the date at which the temporary job codeassignment exceeds 12 consecutive weeks. The effective date for the primary job code should not date back tothe beginning of the temporary job assignment.

Returning to Original Assignment .After completing the temporary assignment and being returned to the original pay grade and job code, theAssociate will receive a pay rate equal to what they were previously earning. If the Associate's pay was overthe maximum for the PPG, the system will automatically return their pay to the maximum of the PPG. In orderto restore the Associate's original pay rate, contact Sam's Club Compensation for review and adjustment.

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Pago 25 of 33EHeclive 02/11/2012

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FY 2013 SAM S CLU8 fiELD NON·EXEMPT ;1SS0ClATE: FAY PLi1,!\4l~

Overnight Differential.,

Definition

An additional amount of money paid to an Associate whose job code is designated to work during an "overnight"shift. Overnight shifts are generally between the hours of 10:00 pm and 7:00 am.

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Overnight Differential Adjustment

For Associates whose job codes are designated as an "overnight" shift, a differential will be added to theAssociate's regular base hourly rate of pay. When an Associate no longer works in a job code with an"overnight" differential, the differential is automatically removed when the job code is changed in the SMARTSystem. An Associate with a differential can exceed the maximum of the PPG Range by the amount of thedifferential due to the differential being in addition to the Associate's regular base rate of pay.

Review of Overnight Differential

It is the facility's responsibility to ensure that the facility Overnight Differential is competitive for the facility's localmarket. The Facility Manager should periodically review the facility's Overnight Differential rate to ensure that itis competitive within the local labor market. In the event the Facility Manager concludes that the OvernightDifferential in their. local market is not competitive, the Manager must complete and submit an OvernightDifferential survey found on the Wire by selecting Knowledge Center/People Support/Compensation/Worksheets/Compensation Wage Survey.

Sam's Club Compensation team will review the survey and determine whether an Overnight Differentialis needed for the position to be competitive for the facility. The results witt be provided to the RegionalHR Director to seek approvals if supported or to notify the club if not supported.

ExampleThe facility's "ovemiqht" differential for overnight job codes is $.50/hour. A Receiving Associatemaking $9.00/hour is moves laterally to an overnight job code. The Associate's job code is changedthrough Career Preference. His/her rate is adjusted to $9.50/hour. When the Associate goes back to a


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FY 2013 SAM'S CLUB FjELD 'jON 2XEf"iPT ASSOCiATE PAY PLAN

day job code, he or she must be changed through Career Preference, and the hourly rate will be reduced. by the overnight shift differential of $.50Ihour.

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Temporary Overnight Differential

The temporary overnight differential will allow a Manager to pay the facility's designated overnight differential toAssociates who work overnight on a temporary basis. An Associate is eligible to receive the temporaryovernight differential if he/she is in a primary job code that is not currently eligible to receive an overnightdifferential and will be working in an overnight capacity for more than a two (2) week period. To apply thetemporary overnight differential, the secondary job code of 18/994/999 (Sam's Club) must be added to theappropriate Associate with the following criteria:

• The temporary job code would be added to the Associate AFTER a consecutive two week period ofperforming a temporary assignment.

• If an Associate serves two weeks in an overnight job code, returns to the primary job, and then goes backto working temporarily overnight; the time tracking for the two week period would start over and theAssociate would not be eligible until they work consecutively in an overnight role more than two weeks.

• The temporary overnight job code can only be used as a secondary job code.• The secondary job code cannot be applied to any Associate who is already in a primary job code

designated as eligible for an overnight differential.• The temporary overnight job code requires an end date and cannot be assigned as "open" in the SMART

System. The end date must be a pay period ending date.

The temporary overnight differential is applied by pay period and cannot exceed six pay periods in a rolling12 month period. The temporary overnight differential would NOT be used for instances when an Associateoccasionally assists overnights.

FY 2013 Sam's Cub Field Non-Exempt Associate Pay Plan Page 27 of 33Effective 02i11 !20 12

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..FY 2013 SAM'S CLUB FIELD NQN~EX:EMPf ,Ll'sSOC1ATE PLt~.j;~

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ExampleExamples of when the secondary temporary overnight job code would be used for periods of time greater thantwo we'eks:• An overnight Associate is on an LOA for an unknown period of time and the Club needs coverage. AFTER

two consecutive weeks of serving in an overnight capacity, an Associate would receive the temporaryovernight differential.

• Club wants to add additional headcount to work overnights for a six week period during the Christmasseason. AFTER two consecutive weeks of serving in an overnight capacity, an Associate would receive thetemporary overnight differential.

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Page 28 of 33Efrectlve 02/11/2012

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•FY 2013 SAM'S CLU8 FIELD NON~EXEr\{lPTASSOClATE P~.Y PLAN

The following job codes are approved to receive an Overnight Differential:

8 79 318 Cafe - Pizza Prep Sam's Club18 902 190 OIN Bush Associate(AK) Sam's Club18 976 190 Overnight Audit Sam's Club18 992 190 Overnight Fax tN' Pull Sam's Club18 994 102 Night Lead Sam's Club

,-- II 18 994 314 UnloaderlForklift Sam's Club18 994 463 Night Receiving Dock Sam's Club18 994 464 Night Merchandiser Sam's Club24 76 190 Overnight Meat Assoc Sam's Club25 56 440 Overnight Produce Stocker Sam's Club27 77 190 OIN Cake Decorator Sam's Club27 77 984 Overnight Baker Sam's Club

The chart may not be inclusive of all jobs eligible for an Overnight Differential.


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• FY 2013 SAMS CLUB F1ELD NON",EXEMPI PAY PLAN"'.

Market Differential

DefinitionAn additional amount of money paid on a per hour basis to an Associate assigned to a designated job code thatis eligible to receive a market differential within a select market(s). Market differentials are designed to ensurethat total pay rates remain competitive for designated positions within the local labor market.

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Market Differential AdjustmentFor Associates whose job codes are designated to receive a market differential, a differential will be added tothe Associate's base rate of pay and is above the base rate of pay; therefore, it can result in an associate's totalpay rate to exceed the maximum for the Position Pay Grade. When an Associate no longer works in adesignated position with a market differential, the differential is automatically removed when the job code ischanged in the SMART System.

Review of Market DifferentialIf a Club Manager feels a specific position requires a market differential to be competitive in the localmerket, it is the Manager's responsibility to complete and submit a Market Differential Survey found onthe WIRE by selecting Knowledge Center/People SupportlCompensation/Worksheets/CompensationWage Survey.

Sam's Club Compensation will review the survey and determine whether a Market Differential is neededfor the position to be competitive for the facility. The results will be provided to the Regional HRDirector to seek approvals if supported or to notify the club if not supported.

ExampleThe facility has been approved to have a market differential of $1.00 for a specified eligible position. AnAssociate in this position currently making $9.00/hour is adjusted to $10.00Ihour. If the Associate leaves theeligible job code, the Associate's hourly rate of pay will be reduced by the market differential of $1.00.


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FY .2013 SAM'S CLUB FIELD NON-EXE~!I'iPT ASSOC;,.:;'TE PAY PLAN

Performance Evaluation Increases

DefinitionA formal discussion between an Associate, a salaried member of management and the associate'simmediate supervisor (when applicable) regarding the Associate's performance.

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Performance Evaluation IncreasePerformance Evaluations will be conducted using the Performance and Talent Management Tool(PTMT). There are two types of Performance Evaluations:

• 90 day evaluation - conducted on or before the associate's so" day of employment (not eligible for payadjustment).

• Annual evaluation - conducted annually, the evaluation should be covered with the associate 30 daysprior to the associate's anniversary date (eligible for pay adjustment).

Performance Evaluation Increase AdjustmentFor Annual Evaluations, the rating on the evaluation represents a level of performance and is used to determinethe hourly base rate of pay increase. Performance Evaluation Increases are fixed amounts and are annuallyreviewed by the Divisional Compensation team. The following Ratings correspond to the Pay Adjustmentamounts:

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Role Model

$0.00DevelSolid Performer $0.40

Exceeds Exoectations $0.500.60

FY 2013 Sam's Club Field Non-Exempt Associate Pay Plan Page 31 of 3~:}Effective 02/1112012

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""..FY .2D13S \M S CLUB FJELD NON·EXEMPT ASSOClATE F'AY PLAN

'"'Annual Performance Evaluation - Below Performance Ratings

Associates rated "Below Expectations" or "Development Needed" on his/her annual evaluation must be re-evaluated by the immediate supervisor and salaried manager six (6) months after his/her anniversary date.

When you call the HR Shared Services Call Center at 800-530-9929 to create the re-evaluation form for anassociate, tell them you need a re-evaluation form.

.... If the Associate's performance is "Solid Performer," "Exceeds Expectations," or "Role Model" at the time of there-evaluation, he/she will then receive a Performance Evaluation Increase to their base hourly rate of pay (seeprevious section). The Performance Evaluation Increase will be effective six months after the Associate'sanniversary and a retro will NOT be processed back to the associate's anniversary date.

If the Associate's performance is "Below Expectations" or "Development Needed" at the re-evaluation, refer tothe Coaching for Improvement Policy found on the WIRE.

Performance and Talent Management Tool (PTMT)Assistance

If you need assistance with a form or need a form created for an Associate, contact the HR Shared ServicesCall Center at 800-530-9929.


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FY 2013 .::)AMS CUJB FIELD NON·EXEMPT ASSOCIATE PAY PLA.N

Sam's Club ~interns/First in Line Programs

Intern ProgramThe Intern program is a 10-week Full Time position available for External Hires only. Interns (PPG 7) followField Hourly Pay Administration, are eligible for New Hire Credits and are scheduled to work 40 hours per week.

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Pharmacy Pre-Graduate Intern ProgramThe Pharmacy Pre-Graduate Intern program is a year around program, in which students attending accreditedschools of pharmacy are chosen to Intern at Sam's Club. Interns are selected through a competitive applicationprocess within the pharmacy division.

Pharmacy Pre-Graduate Interns are initially hired into a 12-week full-time summer internship and then at thediscretion of the Pharmacy District Manager remains active as an intern throughout the year on a part-timebasis.

Pre-graduate Interns will receive rate adjustments and appraisals as they complete each year of pharmacyschool. These adjustments are generally given in May and are based on the associate's graduation year andwork state. Pre-graduate Intern compensation is consistent with industry specific competitors on a regionalbasis.

First In LineThe First In Line (FIL) program is available to Associates in their Junior and Senior year in college and havebeen with the Company either a minimum of 90 days or have completed the 10-week Intern Program and arenot expected to graduate from college for at least six months. A minimum. of 16 hours are worked per week.This position is eligible for an increase on the associate's anniversary date.


Documents

LMART STORES, INC. FI NON lATE 2013big.assets.huffingtonpost.com/Walmart_0.pdf · 11-02-2012 · ~l~, FY.2013 SAM'S CLUB FIELO.NON-EXEMPT ASSOC1ATE PA.l PU2.N Pay Structure: Based