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HomeMy WebLinkAboutR-10924 establishing a Classification and Compensation PlanRESOLUTION NO. 10924 (2018 Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO, CALIFORNIA, ESTABLISHING A CLASSIFICATION AND COMPENSATION PLAN WHEREAS, the City has a Compensation Philosophy adopted by Council in 2011 which establishes competitive compensation as a part of an overall strategy of attracting and retaining well qualified employees who exemplify organizational values; and WHEREAS, the City has a need for a fair, equitable, and consistent administration of regulations governing classification and compensation; and WHEREAS, the Classification and Compensation Plan documents administrative guidelines for both classification and compensation. NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of San Luis Obispo as follows: SECTION 1. The Classification and Compensation Plan attached hereto as Exhibit "A" and incorporated herein by this reference, is hereby adopted. SECTION 2. The City Council delegates authority to the City Manager to adjust salary ranges by up to ten percent, in rare occasions when the supervisor -subordinate salary schedule differential is five percent or less, to mitigate compaction and/or to help with documented recruitment/retention activities. R 10924 Resolution No. 10924 (2018 Series) Page 2 SECTION 3. The City Council delegates authority to the Human Resources Director to make administrative updates to the Plan that do not have fiscal impacts. Upon motion of Council Member Pease, seconded by Council Member Gomez, and on the following roll call vote: AYES: Council Members Gomez, Pease and Rivoire, Vice Mayor Christianson and Mayor Harmon NOES: None ABSENT: None The foregoing resolution was adopted this 17t ATTEST: r Teresa Purrington City Clerk APPROVED AS TO 7.tF#'�stine Dietrick City Attorney IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of San Luis Obispo, California, this 1;K day of n, t S± J Teresa Purrington City Clerk R 10924 City of San Luis Obispo CLASSIFICATION AND COMPENSATION PLAN Resolution No. 10924 (2018 Series) Exhibit A 3 R 10924 Page i TABLE OF CONTENTS CLASSIFICATION AND COMPENSATION PLAN Page PART I INTRODUCTION Purpose Conceptual Plan 1 PART II CLASSIFICATION PLAN Classification Levels Flexibly-Staffed (Career Series) Classifications Classification Series Job Description Section Definitions Definitions of Levels of Supervision Occupational Groups and Job Description Language Position/Classification Studies 4 PART III COMPENSATION PLAN Administration Policies Salary Structure Principles Internal Equity Market Surveys Timing of Market Surveys Compensation Philosophy 23 PART IV ATTACHMENTS A – Resolution No. 10248, Compensation Philosophy B – Job Description Template Resolution No. 10924 (2018 Series) Exhibit A 4 R 10924 Page 1 PART I – INTRODUCTION Purpose The purpose of this Compensation and Classification Plan (“Plan”)1 is to bring clarity and consistency in applying the policies, guidelines, and regulations governing classification and compensation at the City of San Luis Obispo. Since the functional area of classification is so closely tied to most, if not all, of the other human resources activities such as recruitment, performance management, the interactive accommodation process, etc., having a good classification plan enables the City to meet the impending challenges of such topics as recruitment and selection and workforce planning. The classification plan is further enhanced by a compensation plan that provides the philosophy of compensating work in an equitable and fair manner with views from both internal and external perspectives. In addition to this plan, the City’s compensation philosophy is encompassed in Resolution No. 102248(Attachment A). The main elements of this Plan include providing an orderly and equitable process to identify jobs and group job duties and responsibilities. Job classifications provide the basis upon which recruitment and screening, pay scales, and other human resources management decisions are made. The purpose of classification of positions is to: (1) classify positions according to their common characteristics of kind of work, level of difficulty, degree of responsibility, qualification requirements, and other factors outlined later in this Plan; and, (2) organize policies and procedures, occupational structures, classification standards, technical evaluation guides, and other reference materials concerning classification work processes. The Plan serves as the foundation for salary administration, ensuring that actions related to pay are fair, equitable, and consistent. The Plan outlines the parameters of the City’s market surveys in regard to timing, the relevant labor market, use of benchmark classifications, and internal relationships as described in the City’s Compensation Philosophy. Overall, the Plan serves as an aid to understanding the relationship of pay and position classification to appropriate and fair compensation, assignment of management responsibilities, and to other specialized fields of personnel management. Conceptual Plan This Plan presents a conceptual framework for the classification plan and identifies grades that reflect distinct differences in levels of work as determined through the use of 1 If there is any conflict between provisions of this Plan and the language contained in the Memorandum of Agreements (MOAs) or any resolution authorizing pay and benefits between the City and a recognized employee organization, the provisions contained in the MOAs or resolution authorizing pay and benefits shall take precedence. Resolution No. 10924 (2018 Series) Exhibit A 5 R 10924 Page 2 established allocation factors and class concepts. The concepts to be addressed in this Plan include: Classification Levels; Classification Series; Classification Titles; Job Description Definitions and Format; Definitions of Levels of Supervision; and Allocation Factors. For Compensation, the plan addresses the following concepts: Salary Structure Principles (Class Level Differentials); Internal Equity (Whole Job Method and Allocation Factors); Market Surveys (Relevant Labor Market, Benchmark Jobs, Appropriate Statistics, Pay Philosophy, Timing); and Compensation (Pay Ranges, Merit Increases). Definitions Classification Series – Similar to a career ladder where experience and success, in the one classification level along with, in some cases, additional requirements, an employee to be promoted to the next level up. For example, Accounting Assistant I, Accounting Assistant II, Accounting Assistant III, and Supervising Accounting Assistant are all levels in a classification series. Flexible-Staffing Classifications - When a classification series has two or more levels and an employee can be initially appointed to any level in the series, depending upon experience and/or education, and can be promoted from one level in the series to another without further testing. Job Analysis - the process of identifying and determining in detail the particular job duties and requirements and the relative importance of these duties for a given job. Job Analysis is a process where judgements are made about data collected on a job. The purpose of Job Analysis is to establish and document the 'job relatedness' of employment procedures such as training, selection, compensation, and performance appraisal. Job Evaluation - is a systematic way of determining the value/worth of a job in relation to other jobs in an organization. It tries to make a systematic comparison between jobs to assess their relative worth for the purpose of establishing a rational pay structure. Job evaluation needs to be differentiated from job analysis. Job Family - A job family is a group of jobs involving similar types of work and requiring similar training, skills, knowledge, and expertise. The job family concept helps organize Resolution No. 10924 (2018 Series) Exhibit A 6 R 10924 Page 3 related jobs and is particularly useful when job titles vary across the City. Examples are a clerical job family, a fiscal job family, and an engineering job family. Also called “occupational families”. Salary Ranges – Consists of the minimum and maximum salary levels assigned to a specific job class. A typical public-sector model usually has five salary steps in the range with about 5 to 10% in between each step. Whole Job Method - This is the oldest and simplest method of job evaluation. This is generally used in smaller units where the job raters know all the jobs quite well. In this method, the aim is to judge the job as a whole and determine the relative value by ranking one whole job against another whole job. In this technique ranking is done according to 'whole job' rather than a number of compensable efforts although it is common to look at some allocation factors when considering the “whole job” including: decision-making, scope and complexity, contact with others required by the job, supervision exercised and received, and the minimum qualifications that include the knowledge, skills, and abilities. Resolution No. 10924 (2018 Series) Exhibit A 7 R 10924 Page 4 PART II – CLASSIFICATION PLAN The classification plan provides an occupational inventory of the positions within the City. It is a fundamental tool of human resources administration as it standardizes class titles for the purposes of recruitment, selection, performance management, and compensation administration. The logical and consistent system helps applicants, employees, and managers understand job duties, responsibilities, and qualifications; ensures equal pay for equal work; and provides valuable information in organizational planning and analysis, staff development, and performance management. Classification Levels All jobs within the City are grouped into a systematic classification structure based on substantially the same duties performed, nature and level of responsibilities, and other work-related requirements of the jobs such as education and experience. Within the classification plan, it is possible to generally categorize classifications according to the following levels: Class Level Entry Journey Advanced Journey Lead Supervisor Manager Director City Manager Within each job family, there may exist a classification at every level or only at selected levels. Not all job families require all of the above levels. The specific required levels within a job family reflect the organization and type/amount of work required and should be tailored to that organization’s needs and priorities. For some jobs, there is no need for functions to be performed at the entry level. Therefore, there would be no entry-level classification in that particular job family. Furthermore, it is important to note that while two class series may both contain, for example, a journey-level classification, the two journey-level classifications will likely be treated differently for compensation purposes. Distinctions between class levels for all types of job families may be expressed in terms of the general amount of responsibility to be assumed within each class level. The following subsections generally define the responsibilities to be assumed at each class level identified. Resolution No. 10924 (2018 Series) Exhibit A 8 R 10924 Page 5 Term / Level Definition and Basic Information ENTRY “Entry” is the first level in a series. Employees hired into entry level classifications often have limited work experience and require on- the-job training. Assignments are generally limited in scope and are performed within a procedural framework established by higher level employees. As experience is acquired, the employee performs with less immediate supervision. Note that the term “entry” does not always mean “no qualifications”; it also denotes entry into a class series. Entry class titles are generally followed by the Roman numeral I, such as “Accounting Assistant I.” JOURNEY “Journey” commonly follows the entry level and is the fully functional/trained level in either a class or in a class series. If the class is part of a series, then the journey class titles are generally followed by the Roman numeral II, such as “Accounting Assistant II.” If a journey level class is a standalone class with no other levels, then the title will not contain a modifier such as “I,” “II,” or “Senior.” In the City’s Skills Based Pay program criteria associated with Step 6 is considered journey level. Incumbents at the journey level are expected to be fully competent to independently perform the position’s full range of duties. They may also assist in training and providing direction to others. ADVANCED JOURNEY “Advanced journey” follows journey and is commonly the third level in a class series. Advanced journey titles typically include “III” in the title, but only if there is a class series with lower-level classifications (entry and journey) below it and if it is distinguished from the lower levels by being the “highly specialized” level. The advanced journey is the “highly specialized” level but may also include lead duties, depending on the broadness of the class. For example, the Accounting Assistant III is defined as the “advanced- level class in the Accounting Assistant series, capable of performing the most complex and difficult assignments.” Not all class series include an advanced journey level. If this level is needed, its duties should be clearly distinguished from the journey level and not simply be a “time-in-grade” level. The “Class Characteristics” section of the job description may include examples of duties to assist in clarifying the advanced journey from the journey levels of responsibility, and the advanced duties should account for at least 50% of the work time. Advanced journey level classifications are often standalone classifications (separate class specification) and are not part of a flexibly-staffed series (career series) as described on page 13. Resolution No. 10924 (2018 Series) Exhibit A 9 R 10924 Page 6 Term / Level Definition and Basic Information LEAD “Lead” commonly follows journey and may be the second or third level in a class series. Typical lead duties are to: train and provide ongoing guidance to staff; assign and monitor work; and assist in providing information to the supervisor in areas such as employee selection, performance evaluations, and coverage schedules. Leads typically provide oversight to a group of at least three lower-level regular and/or supplemental staff while performing the day-to-day work themselves, typically at a higher complexity/independence level. Leads are typically not responsible for hiring/firing, corrective actions, or preparing performance evaluations, though they provide input for the evaluations. Additionally, the indirect supervision that s/he provides is less than 50% of a lead’s time. While the City does not specifically use Lead as a job title, this type of work can be found in classifications at the Coordinator, Senior, or II (in a class series that is I, II) levels. SUPERVISOR “Supervisor” commonly follows either the journey or advanced journey/lead levels. Though some positions at the journey level and up may have supervisory responsibilities (see levels above), classifications at the supervisor level typically have primary responsibility for full-time supervision of staff, including hiring/firing, corrective actions, and completing and conducting performance evaluations. Supervisors work closely with managers with regard to major or sensitive issues. Supervisors may conduct day-to-day work similar to their subordinates in type, but usually perform the more difficult or sensitive work in addition to supervising staff. Incumbents responsible for supervising “functions” but not supervising staff do not carry the title of “supervisor.” The primary reason the class exists is to supervise regular City employees. Resolution No. 10924 (2018 Series) Exhibit A 10 R 10924 Page 7 Term / Level Definition and Basic Information The term “full supervisory responsibility” relates to two dimensions: the responsibility for the entire range of supervisory tasks (direct supervision), and the amount of time spent performing those tasks. As a rule of thumb, a class is considered a “full supervisor” if it has responsibility for providing direct supervision for at least 30 to 40% of the time. Other classifications, whether they are typically considered journey or advanced journey, may provide direct supervision; however, once the threshold of direct supervisory responsibility exceeds 30 to 40%, then the need for allocation to a “full supervisory” class is warranted. Not all class series include a supervisor level. If included, supervisors’ duties should be clearly distinguished from those of any lead positions, since there may be overlapping duties. MANAGER “Manager” classifications perform full functional management responsibility for a division of a department or a work unit where the work is of a highly specialized and technical nature. “Manager” commonly follows the supervisor or advanced journey/lead level. Manager differs from other levels in that incumbents in manager positions have: (1) significant responsibility for managing at least 3 employees and for formulating, administering, or managing the implementation of policies or programs; (2) responsibility for directing the work of others either directly, or through subordinate managers/supervisors; or, (3) significant responsibility for overseeing and planning future delivery of services within the City. DIRECTOR Director classifications recognize positions with full responsibility for the administration and oversight of the activities and operations of a distinct department. CITY MANAGER The City Manager is the highest-level class and has full responsibility for the direction and administration of the overall organization. Resolution No. 10924 (2018 Series) Exhibit A 11 R 10924 Page 8 Flexibly-Staffed (Career Series) Classifications 1. Flexible staffing (called “career series” in San Luis Obispo) exists when a classification series has two or more levels and an employee can be initially appointed to any level in the series, depending upon experience and/or education, and can be promoted from one level in the series to another without further testing. The purpose of using this type of classification structure is not to just give employees more money for doing the same job (grade/class creep); rather, there needs to be some rationale for its use, such as a classification that has several positions allocated to it in one department that needs to bring in new employees at a lower level, or to recognize a level that handles the more complex duties of a class and/or independently performs the full range of duties. It would not be expected to have a flexibly-staffed class series for only one or two positions in a class. Also, it is through the flexibly-staffed mechanism that the City is allowed to set up Apprentice/training classifications and then move a successful Apprentice/Trainee up to the next level in the series without competing in an open recruitment. Essentially, the successful completion of an apprenticeship/ training program will substitute for an open, competitive selection process. 2. The two levels (and sometimes three levels) in the flexibly-staffed class series are essentially the same job (though the scope of duties is more limited at the entry level), and it is the employee’s performance that warrants promotion to the journey level, rather than a change in the position. Specifically, after putting in at least the required time-in-grade, if an employee is performing the full scope of the position’s duties and is doing so independently and with little direction, then promotion to the journey- level class is warranted. The use of flexibly-staffed class levels is the only instance in classification work where the emphasis is on the employee, while all other classification actions, such as position studies, focus only on the position and not the incumbent. 3. Promotion from the first level to the second level is not a vested right after serving time in grade. Recommendations to be promoted within a flexibly-staffed class series should be based on the following criteria: • The incumbent must first meet the minimum time-in-grade requirement. • S/he must be performing a large portion of the full range of duties of the class, especially the more difficult/higher level duties assigned to the class. • S/he must be performing his/her duties independently, referring only the most unusual questions/situations to the supervisor. Major characteristics of flexible staffing are: • Ability to hire employees at any level in the classification series. • Ability to recognize performance and to promote staff based on demonstrated knowledge, skills, and abilities, independence of work performance, and a specific amount of time-in-grade experience. • Ability to promote from one level to the next without further examination. Resolution No. 10924 (2018 Series) Exhibit A 12 R 10924 Page 9 Job Description Section Definitions The City’s class specifications (aka Job Descriptions) are descriptive and explanatory in defining classifications. Each job description may contain all or part of the following information: Job Title The class title is a brief and descriptive designation of the type of work performed. The class title on payrolls, budgets, personnel reports, and other official forms and reports will provide a common reference to the position. It should be understood that the class title is selected to serve this purpose and is not to be construed as limiting the use of working titles. Where there is more than one class in an career series, prefixing or suffixing modifiers are to be used to indicate levels, e.g., Accountant I and II and Administrative Assistant I and II. Numerical suffixes are preferred to the use of indicators such as “Trainee,” “Junior,” “Assistant,” “Associate,” etc. The use of “Senior” denotes the advanced journey, lead, or highly specialized level. The use of “Manager” denotes a level of management responsibility, and the use of “Director” indicates the department head. Job Summary This section is a general description of the work and includes a brief, concise definition of the primary responsibilities assigned to positions in the class. When the classification concepts define entry level work as routine duties within an assigned functional area of work, the definition should reflect this. When the classification concepts define the responsibilities of a manager as assuming full line and functional responsibility for a division and for the development and implementation of divisional goals, objectives, policies, and priorities, the definition should reflect the above listed range and level of assigned responsibilities. The definition should be supported by the duties. Class Characteristics This section, when used, describes the level of work in relation to higher or lower classifications in the same series, and further expounds on the basic definition. The section identifies the qualities of a class that separate it from other levels of work in the series, and if necessary, from other class series. It is this section that is the most important in determining the class to which a particular job belongs by distinguishing the: 1. entry from the journey level; 2. journey level from the entry and advanced journey levels; 3. advanced journey from the journey level; and 4. class series from other, similar related classifications. Supervision Received and Exercised This can be either one section or two, describes the level of supervision received and exercised by positions in the class, and is used only for supervisory and Resolution No. 10924 (2018 Series) Exhibit A 13 R 10924 Page 10 management classifications. For a definition of the terms used to denote levels of supervision, see the next part of this section on page 12. Examples of Duties and Responsibilities This section is intended to enable the reader to obtain a more complete concept of the actual work performed in positions allocated to this class. It lists typical duties that are common to positions of the class. These examples show the range of duties performed by employees in the class. The list is descriptive, but not limiting. It is not intended to describe all the work performed in all positions allocated to the class. This section merely serves to illustrate the more typical portions of the work. The duties are written in general terms but enable the reader to obtain a more complete concept of the actual work performed. Specific versions of technology, brands of tools or equipment, or other identifying information that could become outdated in a relatively short period of time, should be avoided. The list is not intended to describe all the work performed in all positions in the class, nor do all examples apply to all positions allocated to the class. In the more populated classifications, only one portion of the work examples may apply to a given position. Duties are generally listed in descending order of importance or percentage of time spent relative to other duties. The statement, “Any one position may not include all of the duties listed nor do the listed examples include all tasks that may be found in positions of this class” precedes the list of duties. The statement “Performs related duties similar to the above in scope and function as required” is included in all job descriptions as the last listed duty in order to maintain the general approach to classification and to provide flexibility to management in assigned duties. Knowledge and Abilities This section lists the knowledge/abilities (KAs) that the duties of the class require and that applicants for positions in the class must possess at a minimum to be qualified. It should be stressed that this section does not in any way refer to the qualifications of present employees. Personal characteristics commonly required of all employees, such as honesty, industry, and freedom from habitual use of alcohol or drug addiction, should not be listed, since they are implied as required qualifications for all classifications. It is important that all KAs link back to at least one listed duty. Education and Experience This section lists the educational background and work record that would typically indicate that an applicant would possess the knowledge and abilities to be successful in the job. This section can contain more than one qualifying education and experience pattern such as an internal and an external pattern. If additional experience and/or education can substitute for the listed requirements, a specific substitution pattern may be identified. Possession and Maintenance Of In certain classifications, legal or special provisions require possession of a specific license or certification issued by a Board of Licensure or other governing Resolution No. 10924 (2018 Series) Exhibit A 14 R 10924 Page 11 body as a condition of employment or continued employment. The following is the most common language: “Possession of a valid California Class C driver’s license and a satisfactory driving record.” Applicants for this Position will be Required to Complete the Following Before a Final Offer is Made This section outlines pre-employment checks on which a conditional job offer may be made and prior to a final offer of employment. This section is maintained by HR staff in considering risk management, state and federal requirements, and best practices. Any combination of the following may be required. 1. a pre-employment physical; 2. a pre-employment DOT drug screening; 3. a polygraph; 4. a Police background check; and 5. a credit check. Resolution No. 10924 (2018 Series) Exhibit A 15 R 10924 Page 12 Definitions of Levels of Supervision The following terms may be used to denote the levels of supervision received and exercised by positions in the various classifications of work: Direct Supervision The basic characteristics of direct supervision are the assignment of tasks; the observance, review, and evaluation of performance; the administration of line personnel functions (e.g., selection, discipline, grievances, privileges); and responsibility for the worker, as well as the work. The gradations of direct supervision are described below in terms of supervision received by employees. Immediate Supervision The employee works in the presence of his/her supervisor or in a situation of close control and easy reference. Work assignments are given with explicit instructions or are so routine that few, if any, deviations from established practices are made without checking with the supervisor. This type of supervision generally is exercised over the entry level in a technical or clerical series and trainee level in a professional series. General Supervision Assigned duties require the exercise of judgment or choice among possible actions, sometimes without clear precedents and with concern for the consequences of the action. The employee may or may not work in proximity to his/her supervisor. This type of supervision typically pertains to the journey levels in a technical or clerical series and the entry level in a professional series. Direction The employee receives general instructions regarding the scope of and approach to projects or assignments, but procedures and techniques are left to the discretion of the employee. This category is usually applied to journey-level professional positions and advanced journey level technical and clerical positions in which employees are expected to operate with a reasonable degree of independence. General Direction The employee is responsible for a program or function and is expected to carry out necessary activities without direction, except as new or unusual circumstances require. This category is usually reserved for supervisory positions or advanced journey level professional classifications. Administrative Direction The employee has broad management responsibility for a large program or set of related functions. Administrative direction is usually received in terms of goals; review is received in terms of results. This category is usually reserved for administrators, managers, or assistant directors. Resolution No. 10924 (2018 Series) Exhibit A 16 R 10924 Page 13 Policy Direction This is reserved for department heads, division managers, and assistant/City managers. This type of direction uses a set of principles and long-term strategies and goals to form the basis of making rules and guidelines, and to give overall direction to the planning and development of the organization. Indirect Supervision Indirect supervision is characterized by some form of authority over the work of employees not under direct supervision. In other words, the “supervisor” who provides indirect supervision is responsible for the work, but not for the worker. The descriptions above were written in relation to the employee under direct supervision; the following subsections describe persons with responsibility for exercising indirect supervision. Technical Supervision The “supervisor” is responsible for prescribing procedures, methods, materials, and formats as a technical expert in a specialty. S/he may produce or approve specifications, guides, lists, or directions. S/he may give direction to employees, but usually on “how” and “why,” and does not assign tasks or observe and evaluate performance. Technical supervision is related to an occupational specialty or function, not to specified employees. Functional Supervision The “supervisor” is responsible for a project or recurrent activities that involve tasks performed by persons over whom s/he has authority to give direction in regard to that project or activity, even though they are under the direct supervision of someone else. Functional supervision may include technical supervision, but goes beyond it in that the supervisor schedules and assigns tasks, monitors progress, reviews results, evaluates the employee regarding the area of assignment, and is the person responsible for the completed work product. Occupational Groups and Job Description Language The following defines the six major occupational categories that cover the City’s job classifications, and outlines the appropriate job description language for each occupational category and the specific working levels, if any: Executive Management This category is reserved specifically for the City Manager and his/her direct reports (with the exception of any professional or clerical reports); positions at this level may be responsible for directly managing one or more departments within the City, or may have responsibility for policy development at the highest level within the City. The term “at-will” should be included in the job summary section (see next paragraph). Resolution No. 10924 (2018 Series) Exhibit A 17 R 10924 Page 14 Job Summary: Work mainly involves problem solving and mediating highly conflicting, unexpected and unusual problems involving multiple groups. Class Characteristics: This section will include the following language: “This is an at-will position, employment in this position may be terminated with or without cause or notice, at any time, at the will of the City in its sole discretion.” Level of Supervision Received: This class works under administrative/ policy direction, which includes broad management responsibility for a large program or set of related functions. Work is usually received in terms of goals; review is received in terms of results. Level of Supervision Exercised: This class may provide direct and/or indirect supervision to lower-level personnel. Management This work involves formulating, evaluating, authorizing and interpreting policy for a distinct organizational unit in a work unit or division of a department. 1. Definition Section: Work mainly involves problem solving and mediating highly conflicting, unexpected, and unusual problems involving multiple groups. 2. Level of Supervision Received: This class works under administrative direction, which includes broad management responsibility for a large program or set of related functions. Work is usually received in terms of goals; review is received in terms of results. 3. Level of Supervision Exercised: This class may provide direct and/or indirect supervision to lower-level personnel. Supervisory This work involves planning, scheduling and assigning work for others to perform; reviewing, evaluating, and reporting on the performance of those supervised; and recommending changes to management for better achieving the objectives of the organization. Such work constitutes the major part of the work of these job classifications. 1. Definition Section: Work mainly involves having primary responsibility for full-time supervision of staff, including hiring/firing, corrective action, and completing and conducting performance evaluations. 2. Level of Supervision Received: This class works under direction, receiving general instructions regarding the scope and approach to projects or assignments; procedures and techniques are left to the discretion of the employee. 3. Level of Supervision Exercised: This class provides direct supervision to lower-level personnel. Resolution No. 10924 (2018 Series) Exhibit A 18 R 10924 Page 15 Professional/Administrative Professional – This works involves the continuous exercise of independent discretion and judgement in areas that are predominantly intellectual, philosophical, governed by conceptual understanding, analytical and varied in character. Administrative – This work involves obtaining and analyzing information needed by management and developing, recommending and implementing policies, systems, and procedures, as authorized. 1. Entry - this is the first level in the series, and assignments are generally limited in scope. • Definition Section: Work mainly involves the review of information, including summarization, analysis, interpretation and re-presentation in a different format. 2. Journey - this is the fully-trained level within the series; incumbents are expected to be fully competent to independently perform the full range of duties. • Definition Section: Work mainly involves the gathering and interpretation of data dealing with problems and difficult situations. Incumbents may put forth alternative solutions for consideration. • Level of Supervision Exercised (if the class is assigned supervisory responsibility): This class may provide indirect supervision to lower- level personnel. 3. Advanced Journey – this is the highly specialized and/or lead level responsible for the most complex assignments. Some positions may perform full supervisory duties, but do not do so for a preponderance of time (50% or more). • Definition Section: Work mainly involves the gathering and interpretation of data dealing with complex problems and unexpected situations, including making recommendations. • Level of Supervision Exercised (if the class is assigned supervisory responsibility): This class may provide direct and/or indirect supervision to lower-level personnel; however, this supervisory responsibility is not the primary purpose of the class. Technical/Paraprofessional This work involves the use of specific skills, knowledge and abilities acquired for use in a specialized area. Employs practical knowledge to perform learned techniques, particularly in fiscal, scientific or mechanical areas. 1. Entry - this is the first level in the series and assignments are generally limited in scope. • Definition Section: Work mainly involves performance of prescribed tasks in predictable order with minimal exceptions to standard procedures. Resolution No. 10924 (2018 Series) Exhibit A 19 R 10924 Page 16 2. Journey - this is the fully trained level within the series; incumbents are expected to be fully competent to independently perform the full range of duties. • Definition Section: Work mainly involves performing prescribed tasks in a somewhat predictable order. Exceptions are regular but are carried out according to pre-determined policies or procedures. 3. Advanced Journey – this is the highly specialized level responsible for the most complex assignments. Some positions may perform full supervisory duties, but do not do so for a preponderance of time. • Definition Section: Work mainly involves the review of information, including summarization, analysis, interpretation and re-presentation in a different format. • Level of Supervision Exercised (if the class is assigned supervisory responsibility): This class may provide direct and/or indirect supervision to lower level personnel; however, this supervisory responsibility is not the primary purpose of the class. Clerical This work involves the transformation, organization, transmittal, recording, or maintenance of data or information. The performance of this group may involve the use of a variety of manual or electronic office equipment. 1. Entry - this is the first level in the series and assignments are generally limited in scope. • Definition Section: Work mainly involves performance of prescribed tasks in predictable order with minimal exceptions to standard procedures. 2. Journey - this is the fully trained level within the series; incumbents are expected to be fully competent to independently perform the full range of duties. • Definition Section: Work mainly involves performing prescribed tasks in a somewhat predictable order. Exceptions are regular but are carried out according to pre-determined policies or procedures. 3. Advanced Journey – this is the highly specialized level responsible for the most complex assignments. Some positions may perform supervisory duties, but do not do so for a preponderance of time. • Definition Section: Work mainly involves the review of information, including summarization, analysis, interpretation and re-presentation in a different format. • Level of Supervision Exercised (if the class is assigned supervisory responsibility): This class may provide direct and/or indirect Resolution No. 10924 (2018 Series) Exhibit A 20 R 10924 Page 17 supervision to lower level personnel; however, this supervisory responsibility is not the primary purpose of the class. Classification Studies In addition to containing all of the agency’s job classifications, a classification plan also includes a systematic process for grouping jobs into common classifications based on similarities in duties, responsibilities, and requirements (knowledge, skills, and abilities). It is a way of formally describing the specific job classifications of an agency to determine the appropriate class and/or level for a classification, or to update the specification content to more accurately describe the duties and responsibilities of a class. To properly maintain the classification plan, it is sometimes necessary to conduct classification studies which may involve anything from a single-classification audit to determine if a job is properly classified, to a study of an entire classification series or organizational unit. If a class study results in a new class, significant revisions to an existing class, or a salary change, the City will follow the provisions of the applicable MOA in communicating those changes to the employee representatives. To help understand the process and issues related to classification studies, the information in this section provides answers to common questions about classification studies and outlines a typical process. Why Are Studies Conducted? 1. To address gradual or sudden changes in duties performed. 2. To address changes in organizational relationships and responsibilities. 3. To address recruitment and/or retention problems. 4. To ensure more equitable internal alignment — to establish an orderly, rational, systematic structure of jobs based on their “worth.” 5. To assist in setting pay rates that are comparable with related jobs in other organizations (although a compensation study would need to be conducted). 6. To measure work against a common standard — plan and organize work effectively by defining work task, duties, responsibilities, functions, and related requirements. 7. To identify a career ladder of progression or direction for employee advancement. 8. To provide a solid foundation for addressing compensation issues (once again, a compensation study would need to be conducted). When Are Studies Conducted? 1. Per the City’s Personnel Rules and Regulations, requests for class/position studies are to be submitted in February of each year. This is meant to link the class/job study process to the annual budget process; therefore, department heads may request class/job studies for their department during that time of the year. 2. Unless the class study is exceptionally large and/or the request was submitted at the end of the window period, every effort will be made to complete the study Resolution No. 10924 (2018 Series) Exhibit A 21 R 10924 Page 18 before the budget is finalized. This will allow for any impact(s) from the study to be addressed in the regular budget process. What Happens During a Study? The City’s methodology for conducting a class study typically includes: 1. Maintaining reciprocal communication between HR and the study incumbent(s) and department. 2. Reviewing all pertinent documentation. 3. Providing a Job Analysis Questionnaire (JAQ). 4. Developing and/or updating classification specifications. 5. Conducting orientation sessions with all employees if there are several employees in the study. 6. Reviewing completed questionnaires. 7. Conducting interviews. 8. Analyzing the data. 9. Coordinating an informal review process. 10. Developing and presenting a preliminary report. 11. Developing and presenting a final report. Tools/Processes Used in a Study The JAQ is a form that is used to provide a detailed description of the duties and responsibilities of a position. If a JAQ was not submitted with the request, Human Resources will usually send the JAQ to the department for the incumbent to complete. Human Resources will research the history of the position and the class, and in most cases, interview the incumbent, the incumbent’s supervisor, and other employees who perform similar work. These are called “audits,” and are intended to: 1. Gather information about duties and responsibilities, not to judge work performance. 2. Audit both single position classifications, as well as a group of position classifications. 3. Gather information about multiple position classifications, which will be audited as a group, with selected representation from each group. 4. Gather information from supervisors in order to provide clarification or additional information. 5. Sometimes, other departments and/or comparable agencies with similar classifications will be asked to provide information. It is also important to interview the supervisor to clarify issues or identify issues that will occur in the near future of which the employee may not be aware. Resolution No. 10924 (2018 Series) Exhibit A 22 R 10924 Page 19 The formal job evaluation process involves thoroughly researching, analyzing, determining, and documenting the responsibilities, duties, skills, knowledge, and abilities related to a position. Human Resources looks at various factors in determining the proper class, such as, but not limited to, decision making responsibilities; scope and complexity of work; nature of contact with others; required knowledge, skills, and abilities; supervision received and exercised; working conditions; physical effort and organizational level, size, etc. After all of the relevant information has been collected, a written recommendation is prepared. The written recommendation is an analysis of the data collected, which Human Resources will use to prepare preliminary recommendations. Recommendations are then reviewed and compiled in a draft report. Recommendations may include reallocating a position to a different classification, developing a new classification, changing the classification title, modifying the class specification, or determining that the position is appropriately classified, and no revisions are warranted. The draft report is sent to the involved department(s) for review. Changes may be made based on additional information provided to Human Resources by the involved department based on Human Resources’ (or the HR consultant’s, if one is used) professional judgment. If the study results in a recommendation to establish a new class or revise and/or retitle an existing class, then it may be required that the study go before the City Council. Salary issues are not to be addressed in a classification study. The purpose of a classification study is to determine the appropriate classification for a given position, not to determine the appropriate salary for a classification. How Long Does it Take to Conduct a Study? A study may take from a few weeks to several months. Some of the factors that affect the length of a study are the number of classifications and positions included in the study, the amount of research necessary, the extent of the recommendations, the department’s shifting priorities, the length of time it takes to get information from the department and/or incumbent, and the workload of Human Resources. How is the Incumbent Involved in the Study? The incumbent’s role is to thoroughly and accurately complete the PDQ so that Human Resources can fully understand the duties and responsibilities of the position. Human Resources may also personally meet with the incumbent to discuss the PDQ in more detail, tour the work area, and/or possibly observe the incumbent performing certain tasks. Human Resources may also want to see samples of the incumbent’s work. If the study is of an entire class with multiple incumbents, each incumbent may not be asked to provide information; rather, a representative sample will be selected and/or group interviews conducted. For single position classifications, each person generally participates in a desk audit. This typically involves meeting with an HR representative to review/clarify the content of the submitted JAQ, to show/provide samples of work, to view the overall work environment, and to answer questions. The intent is to clarify. Enhance, and supplement information about the duties, responsibilities, requirements, and environment of the subject position. Human Resources may also meet with Resolution No. 10924 (2018 Series) Exhibit A 23 R 10924 Page 20 supervisors and managers to clarify information and to provide a higher view of the position in the overall organization. How is a Recommendation Developed? The recommendation is based on the review of the information previously mentioned, and a comparison with the job description (also called class specification). A change may impact other positions in the class or another class. Some of the factors that do not influence a study are: volume of work, length of service, job stress, quality of work, status on eligibility/hiring lists, the fact that other employees are not working within their class, and the incumbent’s particular qualifications. Incumbents should remember that the study is an evaluation of a classification, and is not an evaluation of their performance. Factors That May Justify a Reclassification 1. Significant or substantive changes in type of work/essential functions (e.g. secretary now doing accounting work). 2. Change in lead/supervisory responsibilities. 3. Change in authority for making operational changes or in developing, recommending, and interpreting policies and procedures, and the impact to the organization (work group/section only? division? department? City-wide impact?). 4. Addition of stronger, more complex duties/removal of lower duties; or, an evolution to lower level, less complex duties. 5. Change in organizational structure or mandate that affects reporting relationships, level in the organization, amount of management review, and/or interactions. Factors That do NOT Justify a Reclassification 1. Performance of the incumbent in the position; reclassification should not be considered a reward or means to promote someone. 2. Retention of a specific employee. 3. Increase in workload that is of the same nature and level of complexity (volume) - this is a workload issue. 4. Change in the emphasis of existing essential functions that are generally of the same complexity. 5. Knowledge, skills, and abilities possessed by the incumbent that are not required or regularly used in the position. 6. Technological changes or tools (i.e. new software) that do not substantially alter the essential functions of the job (particularly if the “industry” is similarly changing to the new technology). 7. Job “stress.” Perceived stress cannot be reliably measured and varies between individuals. Resolution No. 10924 (2018 Series) Exhibit A 24 R 10924 Page 21 If a Classification is Changed, Does it Automatically Affect the Incumbent? No. Since the study is of the classification, the effect to the incumbent is a separate issue from the study. When a job is reclassified to a higher class, some of the factors considered include: Developing and/or updating classification specifications; whether the incumbent’s job was part of a study that affects all employees in a department, major division, or occupational field; and/or if the duties of the job evolved over a long period of time. The City’s policy, if a job is reclassified, is that the employee must meet the minimum qualifications before s/he can move into the recommended classification. If s/he does not, then it may be necessary to find the employee another job in the class in which they have status; if no such vacancy exists, then a lay off may be necessary. Allocation Factors Allocation factors are standards that are used to measure requirements of individual jobs. These factors can be compared to measure the similarities and differences among jobs. The allocation factors used to develop the City’s classification plan are: 1. Decision-Making; 2. Scope and Complexity; 3. Contact with Others Required by the Job; 4. Supervision Exercised and Received; and 5. Minimum Qualifications, Including Knowledge, Skills and Abilities. These allocation factors are carefully and consistently applied during the analysis of each classification included in the study. They are then compared with the same elements in jobs that involve similar kinds of work. Not all factors will be as pertinent to all jobs, and each factor is analyzed in accordance with the importance of that particular factor to the type of job. Consideration of these allocation factors leads to the identification of various classifications. More specifically, jobs are typically divided first into classification families and series that involve the same kind of work, and then subdivided into classifications based on levels of responsibility within each group. Jobs are classified according to the nature and kind of duties assigned to the job. The assignment of additional duties of a similar nature to a job does not justify a higher classification. Problems of excessive workload are properly solved by redistributing work or adding employees, not by reclassifying existing positions. The allocation factors are briefly defined below: Decision-Making This allocation factor consists of (a) the decision-making responsibility and degree of independence or latitude that is inherent in the job, and (b) the impact of the decisions. Resolution No. 10924 (2018 Series) Exhibit A 25 R 10924 Page 22 Scope and Complexity This allocation factor defines the breadth and difficulty of the assigned function or program responsibility inherent in the classification. Things to consider may include: regulatory issues, budget responsibility, supervision exercised, independence of action, consequence of error, relative complexity and difficulty of duties, interactions with officials (elected and appointed), etc. Contact with Others Required by the Job This allocation factor measures (a) the types of contacts (public, internal vs. external, formal presentations, contact with officials, boards, commissions, etc.), and (b) the purpose of the contacts (direct to other resources, provide information, give direction, etc.). Supervision Exercised and Received This allocation factor describes the level of supervision received from others and the nature of supervision provided to others. It relates to the independence of action inherent in a job. Minimum Qualifications, Including Knowledge, Skills, and Abilities This allocation factor defines the required experience and education, knowledge, skills, and abilities necessary to perform assigned responsibilities. Resolution No. 10924 (2018 Series) Exhibit A 26 R 10924 Page 23 PART III – COMPENSATION PLAN Administration Policies Because pay administration touches on so many areas of human resources administration, it is important to cover some of them in the Plan so that all the pieces can be seen and understood in the proper context. The City’s policies, directives, resolutions, etc. on salary adjustments, initial salary step appointment, minimum performance evaluation criteria, the effects of reclassification, transfer, and promotion on salary, etc., are found in various City documents and guiding rules/regulations, such as Chapter 2.36 of the Personnel Rules and Regulations, the City’s Compensation Philosophy (Resolution No. 10238 (2011 Series)), Memorandum of Agreements with represented employee groups, the Pay for Performance Plan, and the Skills-Based Pay Guidance Document. Salary Structure Principles Salary Ranges The City utilizes a pay step system for most of its classifications. Generally, the City’s salary ranges for non-exempt classifications, consist of 5 steps with approximately 5% between each step. Exempt classifications (department heads and management classifications), have salary ranges with minimum and maximum rates instead of steps. Appointed officials have a flat-rate salary. Some non-exempt classifications with an emphasis on skill acquisition such as Skills Based Pay or Master Police Officer, have more than 5 salary steps instead of multiple levels of the same class. Internal equity or how classifications are paid relative to each other, is an important factor when establishing and maintaining a pay plan. Classifications are assigned to salary ranges based on increasing duties and responsibilities, varying levels of skill, knowledge, ability, and judgment, assignment of supervisory, program, or budgetary authority, and span of control. Salary differentials are measured by calculating the difference between the highest rate in one salary range to the highest step in the other salary rang. The differential ranges that are a “best practice” are outlined below, though there are sometimes exceptions, especially given salary ranges are modified through the meet and confer process with represented employee groups and timing of increases with one group may affect the differential with classifications in another labor group. The following represents the “optimal” (but not required) differentials between levels: 1. Entry to journey level of series = 5% to 10% differential; 2. Journey to advanced journey level of series = 10% to 15% differential; 3. Supervisory = 10% to 15% differential over the highest level supervised; 4. Division management = At least 10% to 15% differential over the highest level supervised; and 5. City-wide/Department management = At least 15% differential over the highest level supervised. Resolution No. 10924 (2018 Series) Exhibit A 27 R 10924 Page 24 There are some special circumstances that would warrant a reasonable differential, based upon industry standards, between two classifications at the upper end of the differential ranges. For differences between working levels in a class series (# 1 and 2 above), the higher levels may be up to 15% higher than the next lower level if the higher- level job requires more education and/or experience to be considered qualified for advancement than other journey or advanced journey level jobs. The basic rule of thumb is to use the minimum differential when movement to the next higher class is primarily based on additional experience. Higher requirements (e.g. education, certification, licenses, etc.) may warrant a differential at the high end of the range. For differences between subordinates and their supervisors/managers (#3, 4, and 5 above), the range of acceptable differentials is greater to accommodate the variety of special circumstances that may occur and be accounted for. The main reasons for allowing a supervisor/subordinate differential to be at the high end of the range are: ➢ To ensure equitable compensation for supervisors over employees who earn high amounts of overtime or other special pays. ➢ To compensate for supervisors who must possess a different and higher level of educational and/or technical proficiency than their subordinates. For example, an engineer required to oversee a division that consists of maintenance/trades personnel. ➢ To keep pace with the market. For very small supervisor-subordinate salary range differentials of 5% or less, the City Manager, through recommendation by the Human Resources Director, may adjust the salary range of a manager by up to 10% to help mitigate the salary compaction problem and/or to help with documented recruitment/retention difficulties. Internal Relationships The relative value of each job among all jobs within an organization is the internal relationship of classifications as described in the City’s Compensation Philosophy. “Internal relationships” refers to the relative value of classifications to one another as determined by the City. Classifications performing comparable duties, with comparable responsibilities, requiring a similar level of skill, knowledge, ability, and judgement, will be valued similarly in the City’s compensation structures. This ordered set of classifications represents the job structure or hierarchy. The basic concept is simple: classifications that require higher qualifications, more/greater-level responsibilities, and more complex duties should be paid more than jobs that require lower qualifications, fewer/lesser responsibilities, and less complex job duties. The City utilizes its current salary range system as a means of effecting internal equity. Equity maintenance is achieved by the systematic approach to job/class studies that review certain jobs for proper classification, and therefore, proper salary grade/range placement. This process is called “job evaluation,” and is very important as a means to create and maintain an internally consistent job structure. Effective job evaluation identifies and defines job content by describing the job duties and tasks as well as other Resolution No. 10924 (2018 Series) Exhibit A 28 R 10924 Page 25 pertinent factors, such as skill and effort needed to perform the job adequately. With the adoption of this Plan, the City will codify its historical use of the Whole Job Method. While this method tends to look at a job as a “whole”, it also utilizes the common allocation factors of: decision-making, scope and complexity, contact with others required by the job, supervision exercised and received, and the minimum qualifications that include the knowledge, skills, and abilities. Internal equity is further emphasized as an important factor in the City’s Compensation Philosophy (Attachment A). Market Surveys Market-competitive pay systems play a significant role in setting a salary that will attract and retain well qualified employees. Conversely, paying more than is necessary may represent an undue burden for the organization and for taxpayers. Because money is a limited resource, organizations must strike a balance between offering sufficiently high compensation to attract and retain well qualified employees and providing sufficient resources to enable them to be productive.2 To this end, the City’s strategy for surveying the relevant labor market to determine the organization’s place in the external market, and determining the frequency and benchmarks for surveys is documented in the City’s Compensation Philosophy. Relevant Labor Market Relevant labor markets represent the fields of potentially qualified candidates for particular jobs, and are defined on the basis of occupational classification, geography, and service/function/industry provided. The following factors, including those outlined in in the City’s Compensation Philosophy (Attachment A), should be considered in determining the relevant labor market: Comparable Industries – The size, type, and function of other organizations are a major consideration. It is difficult to compare compensation with other industries/organizations that do not organize themselves around a public sector model which serves the voters and taxpayers and which does not function in a non-profit, accountable, and transparent environment. In addition to these factors when comparing a public entities to private sector enterprises, it is very difficult to obtain private section compensation data. And, for any data that is collected, comparisons are difficult to make given the types of retirements plans provided to private sector versus public sector employees and types of other compensations such as bonuses. For these reasons, comparisons to other cities and the local county will provide the best market data. Geographic area we recruit or lose employees to: Geography is important for a couple of reasons. First, the potential candidate pools are shared by similar agencies that are close in proximity. If there is any potential of employees being recruited away from the City, it most likely will be by a closer agency than one at some distance. 2 Compensation of represented employees are subject to the collective bargaining unit process. Resolution No. 10924 (2018 Series) Exhibit A 29 R 10924 Page 26 Comparable demographics to the City of San Luis Obispo. Parameters such as population, education level of the community, cost-of-living, median income, etc. are often factors to be considered when determining why that makes a good comparison agency. Quality of life, while subjective, may also be considered when selecting comparable municipal and other governmental agencies. Number of agencies surveyed. The most effective number of survey agencies is between 8 and 12. Anything less than 8 survey agencies increases the chance that there will be insufficient data collected when a specific job is hard to match. More than 10 or 12 agencies, however, do not significantly affect the data results in most cases. The increased data adds little to the value of the survey; only making it more costly and time- consuming to gather and report the data. Choosing Benchmark Jobs It is unnecessarily burdensome and expensive to survey all of the City’s classifications, either for a city-wide survey or for a specific bargaining unit. Benchmark jobs play an important role in compensation surveys because they allow pay levels to be determined from the information collected on one job to apply to other, similar jobs. Benchmark jobs have four characteristics: 1. The job contents are well-known, relatively stable over time, and agreed upon by the employees involved. 2. The jobs are common across a number of different employers. 3. The jobs represent the entire range of jobs being evaluated within an organization such as the journey level. 4. The jobs are generally accepted in the labor market for the purposes of setting pay levels. Because it is so important to determine and survey benchmark classifications, it is essential that the City maintain its current internal equity chart which lists all of the benchmark classifications and the relationships of all non-benchmarks classifications to the benchmark classifications. If this maintenance is kept up as new classes are added/deleted, salary ranges adjusted, internal relationships reevaluated, etc., then when a new market study is conducted, the study will run much smoother, can be started more quickly, and the resulting recommendations implemented across the board in a fair and equitable manner. Resolution No. 10924 (2018 Series) Exhibit A 30 R 10924 Page 27 Data to Collect for Total Compensation Surveys In most cases, the collected data will be for total compensation surveys. This means, that in addition to collecting base salary information, data will also be collected on a variety of “pays” provided to the employee. Total compensation includes all compensation elements that add to an employee’s pay even if it is not a direct payment. For instance, if an employer pays the employee’s portion of her/his retirement contribution, then the effect is an increase in the employee’s pay since they are not making those payments themselves. The following are some common pay/cash benefit elements included in a total compensation survey: • Employer-paid insurance premiums for health, dental, vision insurance, life insurance and long-term disability insurance policies. • Employer-paid retirement contributions of the employee’s portion of retirement. • Any employer contributions to deferred compensation plans. • Allowances such as auto allowance. • Special pays such as certificate pay, longevity pay, etc. • Employer contributions to cafeteria plans and/or health savings accounts. Other data may be collected on amounts of vacation, holiday, and other leaves provided to employees as well as on some employment practices; however, this information should not be monetized and folded into a total compensation amount. Calculating Meaningful Information from the Data Gathered There are two common statistics that are used in analyzing survey data: the “mean” and the “median.” Mean The mean (average) salary is calculated by adding all of the collected data point and dividing by the total number of surveyed data points in the set (the City’s salary is not used in the equation). Many times, the set of salaries collected will contain one or more outliers (salaries that are extremely large or small in comparison to the other salaries), which can lead to a distorted representation of the typical salary. The mean understates the “true” typical value when there are one or more extremely small values and it overstates the “true” typical value when there are one or more extremely large values. While this problem can be mitigated if numerous survey cities and data points are used, the additional work in collecting data from so many survey cities is often not worth the gain. Resolution No. 10924 (2018 Series) Exhibit A 31 R 10924 Page 28 Median The median is the middle value in an ordered sequence of numerical data (excluding the City’s data). If there are an odd number of data points, the median is literally the middle observation. If there are an even number of data points, the median is the mean of the values corresponding to the two middle numbers. The median does not create distorted representations like the mean because its calculation is independent of the magnitude of each value. Because the median is not influenced by outliers as the mean can be, and is used with a lesser number of data points, the City calculates the median on its market surveys to determine its place in the market. Timing of Market Surveys When all of the recommendations and guidelines in this Plan are followed, such as using a systematic and regular job evaluation process, determining the appropriate labor market and establishing benchmark classifications, as well as annually adjusting salaries for any cost of living increases that have been approved, it is not necessary to conduct market surveys on an annual or bi-annual basis. Rather, with a well thought-out and developed approach and solid process, the City can maintain its place in the market by conducting a market survey every five years or so, or just before negotiations begin, if needed. This will allow sufficient time to check in on the external market to ensure that the City is offering a compensation level that helps to recruit and retain qualified employees in its regular workforce. The specific language on market survey timing from Attachment A reads: At least every five years, the City will evaluate its compensation structure, programs, and policies to assess market competitiveness, effectiveness, and compliance with state law. Adjustments to the compensation structure may be made as a result of this periodic evaluation and will be done through the collective bargaining process, if applicable, or other Council-management process. Compensation Philosophy Once the market survey data have been collected and analyzed, what an agency does with the information depends upon the overall compensation philosophy. The City’s Compensation Philosophy (Attachment A) states employees will be compensated competitively with an overall objective of attracting and retaining well qualified employees. In determining “competitive compensation” the City takes a measured approach, with the financial sustainability of the City and community acceptability as important factors to consider, along with the external relevant market survey results. Therefore, in addition to market survey results, the following are the guidelines and factors that the City considers when making compensation decisions, as outlined, in part, in Attachment A: 1. The City will consider total compensation, including but not limited to, salary, health, retirement, and other pay/cash benefits. 2. In cases of setting salaries for specific new, revised, or existing classifications, or if a check on pay is needed to address concerns Resolution No. 10924 (2018 Series) Exhibit A 32 R 10924 Page 29 expressed by an employee or manager, base pay will be the primary consideration. 3. Financial sustainability includes the City’s financial condition as reflected in the financial forecast, competing service priorities, maintenance needs, capital improvement and other asset requirements, fund service levels, and revenue projections, prior to implementing changes in compensation. 4. Since taxpayers and ratepayers fund all employee compensation, community acceptability is considered. 5. Internal relationships are an important consideration that looks at the relative value of classifications to one another as determined by the City. 6. Other relevant factors may include unforeseen economic changes, natural disasters, states of emergency, changes in City services, and changes in regulatory or legal requirements. Section 2.36 of the Personnel Rules and Regulations (Attachment B) describes the purpose of the City’s Compensation Plan as based upon the classification plan and designed to establish levels of pay and benefits that reflect on appropriate relationships among classifications within 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. Resolution No. 10924 (2018 Series) Exhibit A 33 R 10924 ATTACHMENT A – Page 1 ATTACHMENT A RESOLUTION NO. 10248, COMPENSATION PHILOSOPHY Resolution No. 10924 (2018 Series) Exhibit A 34 R 10924 ATTACHMENT A – Page 2 Resolution No. 10924 (2018 Series) Exhibit A 35 R 10924 ATTACHMENT B – Page 1 ATTACHMENT B - Job Description Template Date: Salary Range: Class Code: Association: EEO: JOB TITLE: The class title is a brief and descriptive designation of the type of work performed. JOB SUMMARY: This section is a general description of the work and includes a brief, concise definition of the primary responsibilities assigned to positions in the class. When the classification concepts define entry level work as routine duties within an assigned functional area of work, the definition should reflect this. CLASS CHARACTERISTICS: This section describes the level of work in relation to higher or lower classifications in the same series, and further expounds on the basic definition. The section identifies the qualities of a class that separate it from other levels of work in the series, and if necessary, from other class series. SUPERVISION RECEIVED AND EXERCISED: Describes the level of supervision received and exercised by positions in the class. EXAMPLES OF DUTIES AND RESPONSIBILITIES: (Any one position may not include all of the duties listed, nor do the listed examples include all tasks that may be found in positions of this class.) This section is intended to enable the reader to obtain a more complete concept of the actual work performed in positions allocated to this class. It lists typical duties that are common to positions of the class. These examples show the range of duties performed by employees in the class. The list is descriptive, but not limiting. The duties are written in general terms but enable the reader to obtain a more complete concept of the actual work performed. The list is not intended to describe all the work performed in all positions in the class, nor do all examples apply to all positions allocated to the class. Duties are generally listed in descending order of importance or percentage of time spent relative to other duties and may be grouped along lines of similar responsibilities. • Performs related duties similar to the above in scope and function as required. Resolution No. 10924 (2018 Series) Exhibit A 36 R 10924 ATTACHMENT B – Page 2 KNOWLEDGE AND ABILITIES: This section lists the knowledge/abilities (KAs) that the duties of the class require and that applicants for positions in the class must possess at a minimum to be qualified. Personal characteristics commonly required of all employees, such as honesty, industry, and freedom from habitual use of alcohol or drug addiction, should not be listed, since they are implied as required qualifications for all classifications. It is important that all KAs link back to at least one listed duty. Knowledge of: • Ability to: • EDUCATION AND EXPERIENCE: Lists the education and experience background that would typically indicate that an applicant would possess the knowledge and abilities to be successful in the job. This section can contain more than one qualifying education/experience pattern such as internal and external patterns. and or An equivalent combination of education and experience. POSSESSION AND MAINTENANCE OF: In certain classifications, legal or special provisions require possession of a specific license or certification issued by a Board of Licensure or other governing body as a condition of employment or continued employment. • A valid California Class C driver’s license and a satisfactory driving record. APPLICANTS FOR THIS POSITION WILL BE REQUIRED TO COMPLETE THE FOLLOWING BEFORE A FINAL OFFER IS MADE: (Note: Only include the ones of the following that apply) • a pre-employment physical; • a pre-employment DOT drug screening; • a Polygraph; • a Police background check; and • a credit check. Reviewer Routing List Reviewer Name Date Reviewed Supervisor Department Head Human Resources Posted on NEOGOV Resolution No. 10924 (2018 Series) Exhibit A 37 R 10924