HomeMy WebLinkAbout11-19-2013 b1 skills based pay
FROM: Daryl R. Grigsby, Public Works Director
Prepared By: Barbara Lynch, Deputy Public Work Director / City Engineer
SUBJECT: SKILLS BASED PAY PROGRAM REVIEW AND EXPANSION
RECOMMENDATION
Authorize the expansion of the updated Skills Based Pay program to the City’s Building, Parks,
Trees, Streets, and Fleet maintenance operations.
REPORT-IN-BRIEF
The City currently has an established Skills Based Pay (SBP) program which provides a system of
defined steps and associated compensation for its Utilities Department water and wastewater
operations employees. The SBP program provides incentives for increased skills to improve service
levels for the community, drive innovation and change within the operations, implement succession
planning and knowledge transfer, and allow for increased focus on planning for the operational
supervisors. The program is an alternative to the City’s traditional step structure which primarily
uses time in grade, subject to satisfactory performance, for advancement. The SBP program has
been implemented with great success in the Utilities Department and was the foundation for this
recommendation. Program documents have been reviewed, updated, and developed to guide and
inform expansion of SBP in the Public Works Department and ensure program consistency between
departments. (Attachments 1, 2 & 3) This program expansion continues the original vision for SBP
when it was introduced in the City and makes further program expansion easier.
Program expansion is requested to assist the Public Works Department in ensuring continuity of
maintenance services, realigning resources from supervision to asset and maintenance management,
and efficiently using available resources. This will assist the City in facing the challenges of aging
infrastructure and restricted resources. The program is supported by the City’s existing Personnel
Rules and Regulations, and Organizational Values. The initial cost of implementation is a 1%
increase in compensation costs for the affected positions, on an annual basis.
DISCUSSION
Traditional Pay Structure vs. Skills Based Pay Structure
To better understand Skills Based Pay and its benefits, it is helpful to take a closer look at the
traditional salary structure used by the City. For these employee classifications in the City’s general
unit (SLOCEA), there is a salary range composed of 5 pay steps, approximately 5% apart. After
passing initial new hire probation, an employee is evaluated annually and the supervisor identifies
the overall performance rating of the employee as “outstanding,” “exceeds expectations,” “meets
expectations,” “needs some improvement,” or “does not meet minimum requirements.” All
employees rated as meeting or above expectations, are eligible for a step increase of pay, up to the
Meeting Date
Item Number 11-19-13
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fifth step. Step increases are granted annually through Step 4, with progression to Step 5 requiring
two years of satisfactory performance at Step 4. An employee that meets or exceeds expectations
can progress through their range in 6 years.
Some classifications, such as Tree Trimmer, have multiple salary ranges, reflecting higher levels of
knowledge, skills, abilities, and certifications. In some types of work there are as many as 3 separate
“jobs” for employees working in the same area of specialty (e.g. Parks Maintenance Worker 1, 2,
and 3), each with 5 steps. There is typically considerable overlap in the ranges, and promoted
employees move from Step 5 of one range to Step 5 of another range, while still receiving
approximately a 5% pay increase.
In cases where progression from one range to the next is based primarily on satisfactory
performance and time in grade, the multiple classifications are referred to as a career series.
Progression based on time in grade is made with the assumption that with time comes higher skill
levels. Where acquisition of specific skills, or assumption of increased responsibilities are required
before a promotion is recommended, the multiple classifications are referred to as a career ladder.
An example of a career series is Tree Trimmer 1 to Tree Trimmer 2, and of a career ladder, Streets
Maintenance Worker 3 to Heavy Equipment Operator.
Skills Based Pay “collapses” the multiple salary ranges of traditional career series and ladders into a
single salary range of 9 steps. Progression from one step to the next is based on clear and objective
criteria that the employee continually demonstrates, rather than a more subjective overall
performance. The employee has available to them detailed criteria they must meet covering work
experience, computer skills, completed training and certifications, skill with tools and equipment,
safety, specific knowledge, skills, and abilities, customer service, communication, leadership,
independence, judgment, and professional development. These specific areas define not only an
employee with great skills, but one who is motivated to continue learning, is great with the
community, works well with others, and takes their maintenance program to the next level. With
each annual evaluation, the supervisor and employee review progress through the Steps, and also
confirm that areas previously achieved continue to be well performed. (Attachments 1 & 2)
The SBP program provides the opportunity for all employees to develop technical and “soft” skills
that will prepare them for further advancement in the organization. This is an important element,
with 80% of the Public Works maintenance program supervisors expected to retire in the next 5
years. The use of step requirements (Attachment 2) clarifies for the supervisor and the employee,
expectations as well as what skills, abilities, training, and other traits will take an employee to the
next level.
The steps identify characteristics in the employees that include the strong technical skills and
abilities the City has traditionally expected, and adds the “soft” skills that exemplify leadership
roles. The program supports a more cohesive, thoughtful, service oriented organization,
implementing modern technology and efficient work practices, streamlining decision making and
problem correction.
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The following graphic summarizes the step criteria in the program:
Skills Based Pay
Step Criteria Summary
Proficient Level (Step 8 &9)
Mentor & resolve conflict
Identify & implement work improvements &
efficiencies
Stay current – methods, materials, practices
Research & problem solve
Advanced reporting
Advanced Level (Step 6 & 7)
Strong project implementation & leadership
Train others
Sub-program management
Problem solve & implement solutions on
projects
Full equipment operation skills
Intermediate Level (Step 4 &5)
Increased experience in work & equipment
Additional training
Documentation skills
Leadership & communication skills developing
Basic Level (Step 2 & 3)
Experience in work area and simple equipment
Training
Starting focus on communication
Entry Level (Step 1)
Aptitude
Familiarity with tools & type of work
SBP also offers the advantage of a more flexible hiring process. For example, currently, if a Parks
Maintenance Worker 3 position is advertised, applicants must meet the requirements of that
particular classification. If none of the applicants has all the qualifications and characteristics
required of that level, the position is not filled and a second recruitment at a lower level would
potentially take place. Under SBP, the position is advertised more generally, such as “Parks
Maintenance,” and the City can hire at any Step where the employee meets the requirements, as
funding is available.
Current Skills Based Pay Program
The City’s Utilities Department implemented the City’s SBP program for its operational staff in
January 2002. The program was initiated to effect cultural change, provide continued development
and improvement of the department, and promote the highest level of services and development
among its employees.
The Utilities Department is a strong supporter of this program. It finds this program provides
opportunities and incentives to its “shining stars.” It creates a sense of responsibility, lends itself to
increased interaction with the community, and highlights for staff that what they do matters.
Utilities Supervisors see staff stretch and reach to achieve goals which results in providing a higher
level of service to the community since the implementation of the program. Supervisors find the
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increased responsibility for operations by staff, allows them more time to focus on program
management and improvement, and preventive maintenance. With the SBP program, supervisors
and employees work together to achieve high levels of accountability.
The program encourages continuous growth and development. The program increases
accountability for employees to meet all the requirements of their step and maintain proficiency in
all steps below, all the time. Each employee has the opportunity to accomplish work that will train
them for future leadership opportunities in the organization. A Step in SBP is not a destination, but
part of a longer journey.
Building Toward Success
A number of building blocks are stacking up to take the maintenance areas of Public Works to the
next level. First of all, in 2011 the Department completed a full assessment of operations.
Recommendations related to maintenance are nearly half of the total recommendations in the
Assessment, providing a road map for future improvements. The City is currently converting its
maintenance software from a 22-year old Service Request and Work Order program with simple
open / closed status tracking. The new program will support many of the Assessment
recommendations. It connects all maintenance work to assets through Graphic Information System
(GIS ) to provide information on asset health and replacement needs, facilitate predictive
maintenance and maintenance planning, and forecast asset replacement and funding needs. Lastly,
the City has been through many economic ups and downs over the last 20 years. Cost cutting and
staff reductions have impacted many operational areas. These changes have been challenging, but
they have revealed the power of staff to drive changes that streamline operations and reduce costs.
The need to constantly change and find new ways to work, and to maximize the value from
resources, has become a way of life.
Why Skills Based Pay?
Public Works looked to the experience in Utilities with the SBP program and considered how to
build on that success. Public Works selected its larger maintenance operations, including Buildings,
Parks, Streets, Forestry and Fleet, for consideration of SBP program implementation. These
classifications lend themselves to SBP because there are multiple levels of proficiency in the current
structure and multiple incumbents in each classification. Further, the technical requirements of the
position can be objectively identified. The only maintenance programs from Public Works which
are not included in the recommendation are Street Sweeping (a single position with no work
rotation opportunities) and Signal & Lighting Technician (a single position at the time of initial
program development, but a possible future SBP classification.)
SBP has a number of benefits for the City that speak to the challenges it currently faces. The
program is built around the goal of improved services for the community using concepts of
employee growth and increased competence to provide it.
1. Ensuring Continuity of Maintenance Services
The program is structured to minimize the impact to the public of turnover, by encouraging and
providing opportunities and training for high achievers to learn rapidly so there are no noticeable
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service disruptions to the community resulting from staffing changes. The day of the “company
man” is passing away, and the City has an aging maintenance staff. Of the Public Works staff, 47%
are part of the field maintenance programs, with 50% of those over 50 years of age. The program
provides the opportunity for all employees in a classification to achieve the highest levels of
competency and be ready to take on any task seamlessly.
The additional opportunities provided through SBP have the potential to increase retention of high
performing employees with more challenging work, ability to creatively solve problems, and
increased accountability. New employees can be brought in at entry level, trained by their more
experienced co-workers, and quickly become highly functioning employees delivering quality
service.
Public Works is already seeing benefits from using the concepts in SBP and succession planning. A
recent example occurred in the Street Maintenance program. The paver equipment is quite complex,
and typically operated by only the most experienced member of the crew. Using the SBP concepts
of cross training, increasing skills, and demonstrating leadership, the lead operator trained another
crew member to be proficient at running the equipment and leading projects. As it turned out, the
lead operator was unexpectedly out for an extended period, but the operation transferred seamlessly
to the other crew member because of the use of the SBP concepts. Had that not happened, work
production and quality would have dropped significantly, impacting service to the community, until
another member of the crew learned the equipment.
2. Realigning Resources
The 2011 Public Works Department assessment covered individual programs within the
Department, but also included two additional chapters covering asset management (asset
performance, preservation, anticipated life) and maintenance management (preventive maintenance,
work scheduling.) The report highlighted the need for the department to focus efforts in the
maintenance area for the following reasons:
1. The infrastructure is aging and much of it exceeds its life span
2. The funding for asset renewal and rehabilitation is insufficient
3. The risks and liability posed by aging infrastructure are significant
4. The safety and serviceability of assets is an increasing challenge
5. The efficient use of staff, materials, and capital resources to effectively maintain assets is
needed
Effective asset management needs accurate asset information to allow for quality decisions
regarding condition, performance, and other needs, with a long-term view of the preservation and
renewal of the assets. The Department Assessment recommended development of five-year asset
preservation plans and prioritization of replacements for all the major maintenance areas.
With the newly implemented maintenance and asset management computer program, the City is
currently poised in its maintenance division to chart a new course in this area. The maintenance and
asset management computer program connects work performed by the staff to assets via a GIS map.
As the system is populated with work activities, a picture of the condition of the assets will develop.
This maintenance information can be combined with installation dates, and the City will be on its
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way to having a true picture of these major assets, their condition, needs, and recommended
replacement schedule. This allows proper planning and prioritization to spend limited funds on true
high priorities, with less reaction and emergency response.
In the Department’s Assessment, the author noted “The management layers in the Department can
only be described as lean.” Staff reductions in the management area occurring in the 1980’s in the
maintenance programs have been sustained, with additional reductions added over several years
since then. Management decreases over the last 20 years have reduced program costs in the
Department by about $400,000 annually (in today’s dollars), but reduced asset and maintenance
management efforts in the Department as well. Pavement and drainage facility asset management is
now completed by the Capital Improvement Program design staff. The remaining assets are dealt
with based on the greatest need or failure, as noted by the operational supervisors.
The day to day operations, and interface with the public are handled by the operational supervisors,
so time available to do asset management is minimal. The Utilities Department has seen the SBP
program principles work to empower employees through an overall increase in workforce
knowledge, skills, and abilities. This has resulted in higher levels of employee confidence in
independent decision-making, and Public Works anticipates the same effect. This effort, to bring the
City’s asset management into alignment with standard practices will take staff time, and
organizational efficiencies are the best place to get those resources. As noted in the SBP criteria, the
goal is to have more staff operating at a higher and more independent level. SBP will assist in
realigning our staff resources to this recommended activity.
3. Efficient Use of Resources
In an environment of scarce resources, employee engagement is key to maximizing the use of
resources to the community’s benefit. In each set of Criteria for the programs, staff is charged with
identifying opportunities for improvements, both at worksites, and within their workgroup.
Researching and implementation of cost effective methods and materials, along with staying current
with methods, practices, and materials, are also part of each Criteria. The responsibility for
implementing change is shared by the whole crew, instead of being focused on the supervisor,
increasing the potential for savings and operational improvements. Special skill sets, such
identifying potential hazards within a tree, and through strategic pruning, eliminating hazards, can
translate directly to prevention of injury or damage, and reduction of claims against the City.
Building the Program
Public Works has been exploring the possibilities of SBP and developing program documents since
2008. The former Utilities Director provided a presentation to Public Works management on how
they worked through the process and why. Public Works felt the program had the potential to
improve the department services and quality of its employees to meet the challenges of reduced
resources and aging infrastructure.
1. The Guidance Document
The existing documentation for the SBP program used in Utilities was compiled and reviewed by
Public Works. From those documents a concise Guidance Document was developed that reflected
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the existing program (Attachment 1). The Guidance document set down the program “rules,” how
employees entered the program, what was required of them, etc. Once the Guidance document was
drafted, it was reviewed with the Utilities Department and some refinements were made to increase
clarity, based on its experience with the program. The Guidance Document will be used by both
departments so that administration of the program is consistent.
2. Program Step Criteria
The Step Criteria for each work group documents in clear language what the requirements are for
each step (Attachment 2). Once in place, employees and supervisors will work together during each
annual evaluation to identify new skills to be obtained in the coming year, and confirm all
previously acquired skills are still being used. Employees in all affected areas participated in
development of the Criteria, and have reviewed it several times through the process. From entry
level to the highest functioning employee, characteristics and skills were identified, documented,
and set down in plain language. A working group of Public Works, Utilities, and Human Resources
employees then compared the matrices of the two departments in key areas to ensure there was
alignment between the requirements in the various work groups and across the departments. Some
minor final adjustments were made from that work effort.
3. Compensation
The SBP program is structured to provide clear guidance for staff to achieve more than what has
traditionally been required, and increase accountability. The recommended pay ranges are built
from the existing ranges, with at least one additional salary Step to provide incentive to take on new
and higher responsibilities. A review of other public sector agency salaries, including cities used in
previous compensation studies, and agencies in San Luis Obispo County, were used to validate
existing salary ranges.
There are currently two SBP salary ranges in the City’s existing salary structure. If Council
authorizes program expansion, Human Resources is recommending one lower band be added to
address a portion of the Public Works SBP classifications, with the remaining Public Works SBP
classifications incorporated into the lower of the two existing SBP salary ranges. (Attachment 3)
4. Final Pieces
There remain some additional pieces to develop before the program can be fully implemented. The
program Criteria reference equipment and software lists, which are developed but need to be
updated and finalized, as well as a variety of equipment certifications. Supervisors will be
responsible to certify employees in various program skills. In order to do that, standardized
evaluating tools will be developed to ensure employees have all skills necessary to load, operate,
maintain, and prepare equipment for field use and thus, advance through the SBP steps. A Job
Description for each Public Works SBP classification will be developed in a cooperative effort
between Public Works and Human Resources for each specialty area (Buildings, Parks, etc.). These
final work products are pending Council approval of program expansion.
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Policy and Triple Bottom Line
The City’s Municipal Code includes Personnel Rules and Regulations (Chapter 2.36). The SBP
program is consistent with this Section of the Municipal Code as exemplified by the following
provisions in the code (Attachment 4).
“…adoption (of the Rules) to establish an equitable and uniform procedure for dealing with
personnel matters, to attract and retain competent personnel, and to assure that appointments
and promotions of employees will be based on merit and fitness” (2.36.020)
“…development of positive measures to help eliminate barriers to the recognition of
individual merit in personnel practices” (2.36.070)
“…all positions substantially similar with respect to duties, responsibilities, authority and
character of work are included within the same class, and that the same schedules of
compensation may be made to apply with equity under like working conditions to all
positions in the same class.” (2.36.120)
“…to establish levels of pay and benefits which reflect on appropriate relationships among
classifications in the city service. The plan should be maintained consistent with the goals of
adequately compensating city employees for their work and attracting and retaining qualified
applicants.” (2.36.130)
SBP supports the goals of the City’s Personnel Rules Regulations by creating equitable employment
conditions where all employees have the opportunity to succeed, establishing mechanisms to attract,
retain, and recognize competent employees through opportunities, challenges, and compensation.
The program will also align maintenance staff compensation relationships between Utilities and
Public Works staff.
SBP supports the City’s mission of community service, and shares goals with several of the City’s
organizational values.
Service - we are dedicated to the best use of resources to fulfill identified community goals and
needs
Leadership and support - we recognize that the ability to lead can be found at all levels and that to
create an environment to succeed requires leading by example
Team players - we encourage effective working relationships within and between departments and
the public to address issues and achieve valuable results
Initiative and accountability - we take personal responsibility to do what needs to be done and
report the results in a straightforward manner
Innovation and flexibility - we are open to change and willing to try new ways to fulfill the
organization’s vision, mission, and goals more effectively
Employee development and recognition - we encourage and support each employee to improve
relevant job skills and celebrate personal and team accomplishments
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Social
Environment
Economic
Stewardship and ethics - we promote public trust by using City resources wisely, and through
consistent fulfillment of these values.
SBP also supports the Council’s Major City Goal to Sustain Essential Services and Fiscal Health by
engaging staff in effectively and efficiently delivering City services. The goal identifies
implementing cost savings measures and focusing on best practices.
The triple bottom line concept of considering social, environmental, and economic aspects of a
project provides for a balanced approach to decision making aligned with policies and goals.
Social - The goal of SBP is to provide quality service levels to the community
through skilled and engaged employees.
Environment - In the ever changing regulatory world we live and work in, a
knowledgeable staff is essential to keeping the City on track with compliance,
using newer green technologies, and doing things differently to conserve
resources. SBP focuses on staff accountability, initiative, leadership, and
knowledge.
Economic - SBP has the potential to reduce maintenance costs and decrease
risks, through investment in staff.
CONCURRENCES
SBP was started in the Utilities Department operational areas as a pilot program, potentially for the
rest of the City. Expansion to Public Works maintenance is a natural evolution of that vision. The
implementation of the program in Public Works, as in Utilities, will start with a pilot period of one
year. The Department will convene a review board of management and line staff at the end of the
first year to discuss the program and determine if the program goals are being achieved or not, and
whether to continue in the program.
Upon approval by the City Council to expand the existing SBP program to include additional
maintenance programs, the City will proceed with the formal Meet and Confer process with the San
Luis Obispo City Employee’s Association (SLOCEA.) Employees have been involved throughout
the process, and SLOCEA Board representatives have been provided the program materials and met
with representatives of Public Works, Utilities and Human Resources in advance of Council’s
consideration. Providing this information does not substitute for the need to Meet and Confer with
the Association because this program will clearly modify employee compensation once the program
is implemented.
Management staff has met regularly with the potentially affected line staff during program
development. Staff has provided input and asked questions throughout. Each employee has been
provided with the three attachments included with this staff report to understand what the
expectations will be, and how the program is implemented. Some staff like the program, some staff
are cautiously optimistic, and some have concerns about how this new program will be
implemented.
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FISCAL IMPACT
The Guidance Document provides the mechanism by which staff salaries will be shifted into the
program at its inception. Where employees are operating above their current pay, a step increase
will be given. In cases where an employee’s skills do not matchup to their current salary, the
employee is given two years to bring their skills into alignment, or receive a salary reduction to the
step at which they demonstrate proficiency.
The current distribution of staff in the SBP program in the Utilities Department was used to model
possible future ongoing cost for the program. Currently about 26% of the Utilities staff are at Step
6 or lower. Another 28% are in Steps 7 or 8, and 46% are operating at Step 9. If the Public Works
Department ultimately attained the same distribution across the Steps as the Utilities Department,
the annual increased compensation costs would be $135,000 (a 9% increase in compensation costs
for the affected positions on an annual basis). Staff estimates it would take approximately 10 years
to get Public Works staff to this distribution of skills, given anticipated retirements followed by new
hires. In the next ten years, 12 of the affected maintenance staff, or 40% are expected to retire.
Entry level staff will most likely start at lower pay than their more experienced predecessors, and a
drop in compensation costs could be expected.
Employees are required to reach Step 6 so that the City has fully functioning employees with strong
technical and communication skills. Once an employee reaches Step 6 the employee can choose to
move into leadership roles, attaining higher Steps, or remain at Step 6. Ongoing costs will be
monitored and incorporated in financial forecasting and planning.
As part of its work program, the Human Resources Department will be undertaking a compensation
study in the coming year. Completing the expansion of SBP prior to that undertaking will
potentially allow the SBP classifications and salary ranges to be compared as part of the study,
rather than completing comparisons based on the existing structure.
Each supervisor with staff affected by the program has completed an initial comparison of their
employees to their SBP Step Criteria. The review indicates 8 of the 29 affected staff would be
eligible for increased compensation based on their existing skills and demonstrated abilities. If
approved, the program would take effect in January 2014. Approximately 6 months of additional
funding would be needed for increased compensation (salary and benefits) costs, amounting to
approximately $12,000, or a 1% increase in compensation costs for the affected employees on an
annual basis. The funds would come from existing operating program savings for the year, resulting
from positions vacant during the start of the fiscal year.
ALTERNATIVES
Do not approve program expansion. The Council could determine that the anticipated program
benefits do not warrant a change in the City’s job and pay structure. The staff would continue under
the existing structure.
ATTACHMENTS
1. Skills Based Pay Guidance Document
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2. Skills Based Pay Program Step Criteria
3. Skills Based Pay Compensation Tables
4. Personnel Rules & Regulations - Excerpt
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Skills Based Pay – Guidance Document
Skills Based Pay is a pay/classification system which establishes employee pay and position within a
broad pay scale based on the employee’s demonstrated knowledge, skills, and abilities as compared to
a defined criterion for each position. This is a different pay/classification model than the traditional
time-in-grade system.
Benefits of the skills based pay program are:
1. Promotes teamwork and provides incentive for employees to be their best.
2. Allows natural leaders to flourish and individual strengths to surface.
3. Encourages cross-training of employees and sets mandatory skill levels within a classification
to ensure a flexible, highly skilled workforce.
4. Eliminates traditional hierarchy of multiple classifications and in lieu, provides a single broad
pay and classification range, reducing artificial barriers to career progression.
5. An employee’s step within their range will be based on employee’s value to the organization
as measured by demonstrated knowledge, skills, performance and abilities.
6. Employee progression through the steps in a range occurs at a rate commensurate with their
ability.
7. Expectations for personnel are reflected in the Skills Based Pay Criteria.
Employees demonstrating exceptional performance and development, who are able to meet the defined
criteria for progression, can progress at a rate faster than one step per year. Conversely, employees
unable to demonstrate the required performance, knowledge, skills, and abilities required to progress to
the next step as defined in the criteria, will not progress.
Classifications Covered Under Program
Step System Skills Based Pay Department Date started SBP
Building Maintenance Worker I – III
& Technician
Facilities Specialist Public Works
Heavy Equipment Mechanic Fleet Specialist Public Works
Parks Maintenance Worker I – III Parks Specialist Public Works
Street Maintenance Worker I-III &
Heavy Equipment Operator II
Streets Equipment
Operator
Public Works
Tree Trimmer I – II Urban Forester Public Works
Lab Analyst I - II Laboratory Analyst Utilities January 22, 2002
Utility Worker I – III WWC Wastewater
Collection System
Operator
Utilities January 22, 2002
Water Service Worker I - III Water Customer
Service Personnel
Utilities January 22, 2002
Utility Worker I – III Water Dist.
Water Distribution
System Operator
Utilities January 22, 2002
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Rev July 26, 2013 Page 2 of 5
Step System Skills Based Pay Department Date started SBP
Operator Trainee WRF
Operator I - III WRF
Water Reclamation
Facility Operator
Utilities January 22, 2002
Water Service Operator I - III Water Supply
Operator
Utilities January 22, 2002
Operator I – III WTP Water Treatment
Plant Operator
Utilities January 22, 2002
Maintenance Technician I - II WRF/WTP
Maintenance
Technician
Utilities January 22, 2002
1. Step Criteria
The evaluation criteria for classifications are broken down into 9 separate steps. Employees must meet
all the criteria required of each step, and demonstrate proficiency of each required skill, while
continuing to meet all requirements of previous steps achieved.
Step 1 identifies the evaluation criteria expected of an entry level employee. Step 2 and 3 reflect
stronger and more closely related experience requirements, as well as increasing knowledge and
abilities for the classification. Steps 4 through 6 identify ongoing development and demonstration of
skill sets up to the point of development of a highly skilled and competent individual in the work
classification who is able to lead work and function in a very independent manner.
Attaining step 6 is mandatory and employees must demonstrate ongoing and consistent progress
toward achieving this step in order to meet expectations. An employee at Step 6 is considered to have
reached full journey level. By having staff function at a full journey level (Step 6), a department has
the maximum flexibility in the use of its personnel resources to respond effectively, with skilled
journey level employees bringing maximum utility to the organization.
The remaining steps 7 through 9 increasingly incorporate the knowledge, skills, performance and
abilities of a fully developed, advanced journey level employee, with excellent technical, interpersonal,
and professional skills, emphasizing the expectation that all employees be able to function
independently, lead teams on projects, and be actively involved in their profession. Attaining steps 7
through 9 is desirable, but not mandatory.
2. Step Placement
Employees are placed at the step in the criteria, in which they have demonstrated the knowledge, skills,
and abilities, required for that step and below.
Transition from Traditional Pay Plan to SBP
For employees working in a classification to be transitioned to the SBP program, each Supervisor will
review the criteria individually with staff members, and discuss their placement based on the criteria
requirements. Supervisors will then make placement recommendations based on the criteria.
Recommendations will be reviewed by the Division Manager prior to final approval by the Department
Director and the Human Resources Director.
New Hires
Newly hired employees shall be placed in the appropriate step of the criteria based on their knowledge,
skills, and abilities ascertained through the application and interview process. Certain City
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Skills Based Pay – Guidance Document
Rev July 26, 2013 Page 3 of 5
requirements, as identified in the program criteria, will be waived for hiring, but will be required to be
completed within the first 12 months of employment in order for the employee to remain at their hired
step. Employees failing to meet the requirements may be released from new hire probation, unless
there are extenuating circumstances.
Transfers within the City
Employees transferring from one position in the City to another shall be placed in the appropriate step
of the criteria based on their knowledge, skills, and abilities. Certain City requirements, as identified in
the program criteria, will be required to be completed within the first 12 months of transfer in order for
the employee to remain at their transferred step.
3. Salary Placement within a Range
Salary will be commensurate with the Skills Based Pay step placement.
Transition from Traditional Pay Plan to SBP
If the employee’s current salary exceeds that of the step at which they have been placed in the SBP
range, the employee will be paid based on their current salary. They may receive their existing salary
for up to two years until they are able to satisfy the appropriate criteria for their step. If they do not
satisfy the criteria of their step placement after two years, they will be paid based on the criteria met.
New Hires
Placement of new employees above step four in the range requires the approval of the Department
Director and the Human Resources Director.
Transfers within the City
Employees transferring into SBP from another classification of City employment will be paid in
accordance with their step placement. In the case that the employees existing salary exceeds that of
their step placement, they may receive their existing salary for up to two years until they are able to
satisfy the appropriate criteria for their step or be subject to a lower salary based on the criteria met.
4. Training and Certifications
Supervisors will work closely with employees in identifying individual training needs, and providing
work experience and certification programs. Training is a class or activity while certification requires
written or hands-on testing. Supervisors are actively involved in employee training, certification, and
work rotation for certain tasks and processes among staff. The City will pay for required training and
certifications identified in the SBP criteria. Certifications for equipment will be either through
available formal outside programs or standardized internal testing. Employees may seek additional
training in order to facilitate skills development and progression through the SBP criteria. The City
may cover costs for optional training if it is pre-approved.
Any equipment and software lists referenced in the SBP criteria, will be updated regularly to reflect
current equipment and software used. When new equipment and software are obtained for the program
which requires training and certification, the Supervisor will identify or develop a plan to achieve
certification and training. Employees will then be given the opportunity to complete a training and
certification program as scheduled by the Supervisor, to maintain their existing step placement or as
part of advancement, or, as in some classifications, to meet Federal and State mandated requirements.
B1 - 14
Skills Based Pay – Guidance Document
Rev July 26, 2013 Page 4 of 5
5. Performance Evaluations and Step Adjustments
Employee evaluations with development plans will follow current Personnel Rules and Regulations. At
the time of review, Supervisors will discuss with the employee what areas of the SBP criteria have
been achieved during the previous year, what criteria need to be completed to achieve the next steps,
and the status of achieving or maintaining Step 6. This information will be documented in the
development plan of the evaluation along with any information on efforts needed to maintain step
status.
Employee evaluations are completed quarterly for probationary employees, and at a minimum,
completed annually for non-probationary employees. Placement adjustments are recommended by the
supervisor and made at the time of the employee’s evaluation. Adjustments may include more than one
step at each evaluation, depending upon completion of step criteria.
Employees may receive pay adjustments for meeting all criteria associated with the next step, outside
of the annual review process for those items of the SBP criteria specifically identified as eligible items
in the most recent evaluation development plan, for mid-year adjustment. No additional evaluation is
required; however, any such mid-year adjustment must have been clearly identified in the prior
appraisal. Employees are responsible to provide any documentation needed for the adjustment to their
supervisor.
Employees failing to maintain performance and demonstrate competence through their current
placement within a step in a range will be subject to movement to a lower step in accordance with
MOA and Personnel Rules and Regulations.
All recommendations made by supervisors for employee step increases shall be subject to review and
approval by the department head and Human Resources. Employees wishing to appeal their placement
within a step in a range may appeal to the division manager and the department head.
6. Rules and Regulations
All Personnel Rules and Regulations, Memorandum of Agreement (MOA,) and other policies and
guidelines of the City and the department shall remain to govern the appropriate conduct of the
employee and the organization. Nothing in this program of skills based pay shall supersede the City’s
authority or the employee’s rights under the referenced documents.
7. Program Review & Final Approval
As new classifications are identified to transition to Skills Based Pay, they will be considered to be
under a pilot program for one year to evaluate effectiveness.
Upon completion of the first year of program implementation, the department(s) will assemble a
review committee made up of, at minimum, a representative from Human Resources, a representative
from each section, and a manager from each department, to review in detail all program components,
including changes made, issues raised, progress in employee development, appropriateness and equity
of the evaluation criteria, and noted benefits to the City and its employees.
The committee will make recommendations to the City Manager, subject to the approval of the
recommendations by the department directors and the Human Resources Director, for program
continuance along with any recommended modifications, pilot status extension, or termination.
B1 - 15
Skills Based Pay – Guidance Document
Rev July 26, 2013 Page 5 of 5
Once the program is formally approved, after the pilot period, it is anticipated that the criteria will
periodically require updating or modification in order to adequately represent changing needs of the
organization and the demands of the various positions. The department, via the review committee
mechanism, will continue to review and make minor adjustments to the program as warranted.
G:\Administrative\Limited Review Program Managers\Maint Skills Based Pay\Guidance Document\9-2013 SBP Guidance.docx
B1 - 16
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9/10/2013 : 11:12 AM Page 1 of 2B1 - 17
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9/10/2013 : 11:16 AM Page 1 of 2B1 - 19
Fl
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Complete daily or project follow up as assigned (data entry, cleanup, equipment prep)Work with a minimum of oversight and supervision
St
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4
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Review specific work items of trimming contract work, report findings, and communicate needed correctionsIdentify worksite issues and take appropriate action Seek approval before taking corrective action or initiating change when appropriateParticipate in professional organization and share knowledge gained from professional organization with others
St
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5
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St
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p
6
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9/10/2013 : 11:13 AM Page 2 of 2B1 - 26
EXISTING & PROPOSED SKILLS BASED PAY SALARY RANGES
Existing Classifications in Band A
Water Treatment Operator
Water Treatement Plant Maintenance Technician
Lab Analyst
Water Reclamation Facility Maintenance Technician
Water Reclamation Facility Operator
Step 1Step 2 Step 3Step 4Step 5Step 6Step 7Step 8Step 9
$23.55$24.79$26.09$27.46$28.91$30.44$32.04$33.73$35.50
Existing Classifications in Band B
Wastewater Collections Operator
Water Distribution System Operator
Water Customer Service
Water Supply Operator
Proposed Classifications to include in Band B
Urban Forester (currently Tree Trimmer I & II)
Fleet Specialist (currently Heavy Equipment Mechanic)
Facilities Specialist (currently Building Maintenance Worker I, II, III & Technician)
Step 1 Step 2 Step 3Step 4Step 5Step 6Step 7Step 8Step 9
$20.65$21.74$22.89$24.09$25.36$26.70$28.10$29.58$31.14
No Existing Classifications in Band C
Proposed Classifications to include in Band C
Parks Specialist (currently Parks Maintenance Worker I, II, & III)
Streets Equipment Operator (currently Steet Maintenance Worker I, II, III, & Heavy Equipment Operator II)
Step 1 Step 2 Step 3Step 4Step 5Step 6Step 7Step 8Step 9
$18.54$19.53$20.58$21.66$22.81$24.01$25.28$26.60$28.00
BAND A
BAND B
BAND C
B1 - 27
2.36.020 Purpose.
This chapter is adopted in order to establish an equitable and uniform procedure for dealing with
personnel matters, to attract and retain competent personnel, and to assure that appointments and
promotions of employees will be based on merit and fitness.
2.36.070 Equal opportunity employment.
B. The city is committed to the development of positive measures to help eliminate barriers to the
recognition of individual merit in personnel practices.
2.36.120 Classification plan—Maintenance.
A. The classification plan shall be so maintained that all positions substantially similar with respect to
duties, responsibilities, authority and character of work are included within the same class, and that the
same schedules of compensation may be made to apply with equity under like working conditions to all
positions in the same class.
2.36.130 Compensation plan—Purpose.
The compensation plan is based upon the classification plan and is designed to establish levels of pay
and benefits which reflect on appropriate relationships among classifications in the city service. The plan
should be maintained consistent with the goals of adequately compensating city employees for their work
and attracting and retaining qualified applicants.
2.36.410 Employee responsibilities and benefits—Training.
A. It is the policy of the city to develop maximum efficiency in the performance of official duties by city
employees by providing for a training program to assist them in fulfillment of their duties and
responsibilities.
B. The personnel director shall supervise and coordinate training programs for city personnel.
The department head, with the approval of the personnel director, may authorize participation in
approved training courses and attendance at meetings of professional organizations and other
groups where such attendance will benefit the city. Employees attending such training sessions
shall submit a written summary of the session to the personnel department.
B1 - 28