1992 - Laserfiche WebLink

This is similar to the idea of the "A to E step system." 2. Lower Third, Middle Third and Upper Third � The existing plan is based on the premise that in a no afr organization one third of the individuals will be be ^een 80 and 93% of the control point, one third will be in the middle third of the range or between 93% and 107% of the control point and one third will be in the 108% to 120% of control point. The plan emphasizes that only those employees whose performance over time far exceeds expectations can achieve compensation in the upper range. It anticipates that the individual will move along the continum over time. 3. Basis for salary increase As described in the management plan, an individual in the lower third may receive a larger increase than those in the middle or upper third for meeting expectations in a given year. I have attached as exhibit 2 a copy of the chart from the management plan for a 6% salary pool. Coincidentally, this years management salary pool was also six percent. 4. Comparison to Bargaining Unit Increases I have heard many comments that some of the management staff may expect to receive annually exactly what the bargaining unit receives. While on the surface, that may appear to be a favorable idea, I would caution all of you on extending that logic too far. The Council will annually approve a management pool to be used for management increases. With the pay_ for performance system, it will most likely be less tltri the exact % increase provided to the bargaining units. The pool concept as described earlier allows smaller or larger individual increases than the % pool provided, based on the performance of individuals. I fully support that concept. It is important to remember that the % pool and individual increases provided to management will yield a greater amount of cash to managment personnel at smaller % increases than the bargaining unit received. This cash is then distributed based on performance evaluations to all managment staff. I have attached a copy of the relevant portions of the management plan for your review as Exhibit 3.