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Home My WebLink AboutFS 2015-12-08 Item 2C - Resolution - 2016 Non-Represented Employee CompensationCity of Tukwila Jim Haggerton, Mayor INFORMATIONAL MEMORANDUM TO: Mayor Haggerton Finance and Safety Committee FROM: Stephanie Brown, Human Resources Director DATE: November 17, 2015 ( Updated Memorandum memo December 2, 2015) SUBJECT: 2016 Non - Represented Wages and Benefits BACKGROUND In May of 2012, the City Council adopted Resolution No. 1769 which applied different wage adjustments to specific bands of the Non - Represented salary structure. Over the past few years this has affected the salary structure line of regression creating compression at bands C43, D61 -F102. The compression has resulted in employees at lower bands earning more than employees in higher bands. DISCUSSION Upon review of the existing (2015) salary structure it was discovered that the regression line is out of alignment causing compression to occur at bands C43, D61 -F102. To determine what caused this misalignment, we looked back at wage adjustments that have been given to non - represented compensation, since 2012. It appears that when the different percentage adjustments were applied to the different bands within the salary structure, it created this misalignment. Council Resolution No. 1796 states "the goal of the City is to mitigate or avoid salary compression issues where possible. An example of salary compression would be when a non - represented supervisor earns less or is projected to earn less than those that he /she supervises due to contracted wage increases." With the represented groups expected to receive their contractual wage adjustments in 2016, we will begin to see internal equity compression with the lower bands of the non - represented group if we do not provide for a wage adjustment that is comparable. Therefore, the Administration is recommending a threefold approach to address this issue, and would like to discuss the recommendation in more detail with the Finance and Safety Committee. RECOMMENDATION • A 1 % pay increase for all non - represented employees which will preserve internal equity as this will be in alignment with what will be received by some of our represented groups; • Changes to the salary structure line of regression, phased in over two years to address the compression between the lower and upper bands due to previous wage adjustments not applying to all bands. The data to show how phasing of the line over two years was not completed in time for this meeting. Administration requests to bring it for review at the next Finance and Safety Committee meeting on December 8. Alternatively, if the Finance and Safety committee is comfortable with these recommendations, this proposal could go directly to the next Council of the Whole meeting on November 23 with the final schedule. 31 INFORMATIONAL MEMO Page 2 • A commitment during the 1st quarter of 2016 to review the City Council's compensation policy related to non-represented wages and benefits, which would include an opportunity for input from non-represented staff. In addition, this review could include a review of the application of this policy for represented staff. The FiRaRGe and Safety-P.,ornmitltee is being asked tG Ge der th - AA-;-;-4-,-ti()R'S llul— 0016, and. reGGMMeRdatiGR fOr ROR represeRted-emoayee—,,G�pe-n�ep effe AdM iRiStFatiGn return to the Finance and Safety Com-�e-rneet_ n nn rlor omhor 8, G.F _f +k- IAII-E)le alternatively diFeGtly te the G ndil 1 11 — . � I I mee#ng-o"evember 23, to provide the-Gi.ata on the phased-a-lap,moa--h te ----,rreGt the misalignment At the Finance and Safety Committee meeting held on November 17, the Committee requested that Administration return on December 8, and provide additional data to support correction to the regression line for the non-represented salary structure. Attached are the minutes from the November 17, Finance and Safety Committee. The Finance and Safety Committee is being asked to forward this resolution to the Committee of the Whole meeting on December 14, for discussion and the special meeting to follow for oossible adootion. -. We look forward to discussing this information with you further. Thank you 32 2 4 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, UPDATING AND CLARIFYING THE NON - REPRESENTED EMPLOYEES' COMPENSATION AND ADOPTING THE NON - REPRESENTED SALARY SCHEDULE AND BENEFITS SUMMARY, EFFECTIVE JANUARY 1, 2016. WHEREAS, the City Council has made a determination to review the non - represented compensation for even - numbered years and provide cost -of- living adjustments (COLAs) in odd - numbered years; and WHEREAS, per Resolution No. 1769, adopted May 21, 2012, different wage adjustments were applied to specific bands of the Non - Represented Salary Structure affecting the structure's line of regression, creating compression over time at bands C43 - F102; and WHEREAS, City Administration recommends a 1% across the board increase to the Non - Represented Salary Structure effective January 1, 2016 to maintain internal equity and reduce compression; and WHEREAS, City Administration recommends correcting the line of regression for the Non - Represented Salary Structure to be phased in over two years, effective January 1, 2016, and on January 1, 2017; NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, HEREBY RESOLVES AS FOLLOWS: Section 1. Non - Represented Wage Plan. A. The 2016 wage schedule for non - represented employees shall increase by 1% across the board, with additional increases to be given to the affected bands at D61 - F102, such increases not to exceed 3.35% each; and on January 1, 2017, additional increases, not to exceed 2.7% each, shall be applied to the affected bands D62, D63, and F102, to bring the line of regression back into alignment as reflected in Attachment A, "Non- Represented Salary Structure 2016/2017 ". W: \Word Process ing \Resolutions \Non - Represented Employees Compensation -2016 12 -2 -15 KG:bjs Page 1 of 2 33 B. In addition, during the 1 st quarter of 2016, City Administration will meet with the City Council to review and discuss City Council Resolution No. 1796 (related to a compensation policy for City employees), specific to comparability related to non - represented employees' compensation and benefits. Section 2. Non - represented salary schedule, benefits summary and longevity pay plan. A. The "Non- Represented Salary Schedule — 2016/2017," Attachment A hereto, is approved, effective January 1, 2016. B. The "Non- Represented Employee Benefits Summary — 2016," Attachment B hereto, is approved, effective January 1, 2016. C. The "Longevity Pay Plan for Non- Represented Employees — 2016," Attachment C hereto, is approved, effective January 1, 2016. PASSED BY THE CITY COUNCIL OF THE CITY OF TUKWILA, WASHINGTON, at a Regular Meeting thereof this day of , 2015. ATTEST /AUTHENTICATED: Christy O'Flaherty, MMC, City Clerk Kate Kruller, Council President APPROVED AS TO FORM BY: Filed with the City Clerk: Passed by the City Council: Resolution Number: Rachel B. Turpin, City Attorney Attachments: - Attachment A, Non - Represented Salary Schedule — 2016/2017 - Attachment B, Non - Represented Employee Benefits Summary — 2016 - Attachment C, Longevity Pay Plan for Non - Represented Employees — 2016 W: \Word Processing \Resolutions \Non - Represented Employees Compensation -2016 12 -2 -15 KG:bjs Page 2 of 2 34 Attachment A (Page 1 of 4) City of Tukwila Non - Represented Salary Schedule - 2016/2017 Classification Title Job Title Range Office Technician Human Resources Technician B21 Office Specialist Assistant to the Chief B22 Administrative Assistant Deputy City Clerk B23 Executive Assistant Assistant to the Director Council Administrative Assistant Program Coordinator Systems Administrator C41 Human Resources Assistant Management Coordinator City Clerk C42 Police Records Manager Management Analyst Council Analyst C42 Human Resources Analyst Parks & Recreation Analyst Public Works Analyst Program Administrator Economic Development Liaison C43 Emergency Manager Project Manager Project Development Manager C51 Program Manager Building Official D61 Communications/ Government Relations Manager Administrative Manage Maintenance Operations Manager D62 Assistant Director Deputy Community Development Director D63 Deputy Finance Director Deputy Public Works Director Municipal Court Administrator Department Manager Assistant Fire Chief D72 City Engineer Department Administrator Economic Development & Strategic Planning E81 Manager Deputy Police Chief Deputy Police Chief E82 35 Attachment A (Page 2 of 4) City of Tukwila Non - Represented Salary Schedule - 2016/2017 Classification Title Job Title Range Department Head Human Resources Director E83 DCD Director Finance Director IT Director Parks & Recreation Director Department Director Fire Chief E91 Police Chief Public Works Director City Administrator City Administrator F102 36 Attachment A (Page 3 of 4) Non - Represented Salary Structure (Monthly) - 2016 DBM Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Step 7 A 1 1 $3,976 $4,102 $4,227 $4,351 $4,474 Al2 $4,291 $4,429 $4,565 $4,700 $4,833 A13 $4,619 $4,760 $4,905 $5,050 $5,192 B21 $4,824 $5,005 $5,187 $5,367 $5,552 B22 $5,138 $5,330 $5,524 $5,717 $5,912 B23 $5,447 $5,652 $5,857 $6,061 $6,270 B31 $5,718 $5,968 $6,218 $6,468 $6,719 B32 $6,173 $6,444 $6,715 $6,986 $7,258 C41 $6,359 $6,612 $6,867 $7,123 $7,377 $7,633 C42 $6,717 $6,987 $7,256 $7,525 $7,794 $8,066 C43 $7,015 $7,297 $7,579 $7,860 $8,140 $8,424 C51 $7,245 $7,569 $7,894 $8,221 $8,545 $8,874 C52 $7,744 $8,091 $8,440 $8,789 $9,138 $9,413 D61 $7,661 $8,044 $8,427 $8,812 $9,195 $9,786 D62 $8,058 $8,460 $8,864 $9,269 $9,671 $10,071 D63 $8,342 $8,759 $9,177 $9,596 $10,013 $10,427 D71 $8,516 $8,981 $9,449 $9,916 $10,381 $10,850 D72 $8,814 $9,296 $9,780 $1 0,263 $1 0,745 $11,230 E81 $8,878 $9,322 $9,768 $10,209 $10,686 $11,165 $11,623 E82 $9,188 $9,647 $10,109 $10,565 $11,059 $11,555 $12,029 E83 $9,511 $9,986 $10,464 $10,936 $11,447 $11,961 $12,451 E91 $9,843 $10,335 $10,830 $11,318 $11,847 $12,378 $12,886 E92 $10,188 $10,696 $11,209 $11,714 $12,262 $12,812 $13,337 F101 $10,544 $11,071 $11,601 $12,124 $12,691 $13,260 $13,804 F102 $10,629 $11,160 $11 ,695 $ 12,222 $12,793 $ 13,367 $13,915 37 Attachment A (Page 4 of 4) Non - Represented Salary Structure (Monthly) - 2017 DBM Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Step 7 All $3,976 $4,102 $4,227 $4,351 $4,474 Al2 $4,291 $4,429 $4,565 $4,700 $4,833 A13 $4,619 $4,760 $4,905 $5,050 $5,192 B21 $4,824 $5,005 $5,187 $5,367 $5,552 B22 $5,138 $5,330 $5,524 $5,717 $5,912 B23 $5,447 $5,652 $5,857 $6,061 $6,270 B31 $5,718 $5,968 $6,218 $6,468 $6,719 B32 $6,173 $6,444 $6,715 $6,986 $7,258 C41 $6,359 $6,612 $6,867 $7,123 $7,377 $7,633 C42 $6,717 $6,987 $7,256 $7,525 $7,794 $8,066 C43 $7,015 $7,297 $7,579 $7,860 $8,140 $8,424 C51 $7,245 $7,569 $7,894 $8,221 $8,545 $8,874 C52 $7,744 $8,091 $8,440 $8,789 $9,138 $9,413 D61 $7,661 $8,044 $8,427 $8,812 $9,195 $9,786 D62 $8,104 $8,509 $8,915 $9,322 $9,727 $10,129 D63 $8,387 $8,807 $9,227 $9,648 $10,067 $10,483 D71 $8,516 $8,981 $9,449 $9,916 $10,381 $10,850 D72 $8,814 $9,296 $9,780 $10,263 $10,745 $11,230 E81 $8,878 $9,322 $9,768 $10,209 $10,686 $11,165 $11,623 E82 $9,188 $9,647 $10,109 $10,565 $11,059 $11,555 $12,029 E83 $9,511 $9,986 $10,464 $10,936 $11,447 $11,961 $12,451 E91 $9,843 $10,335 $10,830 $11,318 $11,847 $12,378 $12,886 E92 $10,188 $10,696 $11 ,209 $11,714 $12,262 $1 2,812 $13,337 F101 $10,544 $11,071 $11,601 $12,124 $12,691 $13,260 $13,804 F102 $1 0,913 $11,458 $1 2,007 $ 12,548 $13,135 $13,724 $14,287 W Attachment B (Page 1 of 2) Non - Represented Employee Benefits - 2016 Social Security (FICA): Social Security benefits shall be provided as contained in Section 2.52.010 of the Tukwila Municipal Code (TMC). State -Wide Employee Retirement System (PERS): Retirement shall be provided as contained in Section 2.52.020 of the TMC. Holidays: Holidays shall be provided as contained in Section 2.52.030 of the TMC. An additional floating holiday has been granted to each non - represented employee, for a total of 2 floating holidays. Regular part -time employees shall be entitled to benefits on a pro -rata basis. Sick Leave: Sick leave shall be provided as contained in Section 2.52.040 of the TMC. Regular part -time employees shall be entitled to benefits on a pro -rata basis. Medical Insurance: The City shall pay 100% of the 2016 premium for regular full-time employees and their dependents under the City of Tukwila self - insured medical/ dental plan. Premium increases above 8% per year shall result in a modified plan document to cover the additional cost above 8 %, or a premium shall be implemented for the difference, at the City's discretion. The City reserves the right to select all medical plans and providers. Regular part - time employees shall be entitled to benefits on a pro -rata basis. Employees who choose coverage under the Group Health Cooperative plan shall pay the difference between the City of Tukwila plan full - family rate and the rate charged to them by Group Health. Dental Insurance: The City shall provide 100% of the 2016 premium for the regular full -time employees and all dependents under the City of Tukwila self - insured medical /dental plan for dental coverage. Regular part -time employees shall be entitled to the same benefits on a pro - rata basis. Life Insurance: For regular full -time employees, the City shall pay the premium for Plan C (Multiple of annual earnings) or similar group life and accidental death and dismemberment insurance policy. Said plan shall be at 100% of annual earnings rounded up to the next $1,000. Regular part -time employees that work at least 20 hours per week shall be entitled to benefits on a pro -rata basis (per insurance program requirements). Vision/Optical: Benefits provided to all non - represented regular full-time employees and their dependents at the rate of $200 per person, to a maximum of $400 per family unit each year. Regular part -time employees and their dependents shall be entitled to benefits on a pro -rata basis. Disability Insurance: The City shall provide 100% of the premium for regular full-time employees for a comprehensive long -term disability policy. Regular part -time employees that work at least 20 hours per week shall be entitled to benefits on a pro -rata basis (per insurance program requirements). Health Reimbursement Arrangement/Voluntary Employee Benefit Association (HRA/VEBA): VEBA benefits shall be provided as contained in Resolution No. 1445 and as amended. 39 Attachment B (Page 2 of 2) Non - Represented Employee Benefits - 2016 Vacation: Following the sixth month of continuous employment, annual vacation leave of six full days (each day is calculated at eight hours, regardless of schedule worked) shall be granted. Thereafter, an additional day of annual leave shall accrue each month, up to a total of 12 days. Three additional days of annual leave shall be granted on the employee's anniversary date after the third, fourth and fifth years. After six years, the employee shall be granted one day per year additional annual leave to a maximum of 24 days per year. The maximum number of accrued hours is 384 or 48 days. Years of Service Vacation Accrual Years of Service Vacation Accrual 0 -1 years 12 days* 10 years 19 days 1 -2 years 12 days 11 years 20 days 3 -6 years 15 days 12 years 21 days 7 years 16 days 13 years 22 days 8 years 17 days 14 years 23 days 9 years 18 days 15 years 24 days (maximum) *Six full days will be granted following the sixth month of continuous employment. (Days accrue at eight hours, regardless of schedule worked.) Regular part -time employees shall be entitled to benefits on a pro -rata basis. Uniform Allowance: An annual uniform allowance of $650 shall be granted to the following employees: Fire Chief, Assistant Fire Chief, Police Chief, Deputy Police Chief, and Records Manager. .i Attachment C Longevity Pay Plan for Non - Represented Employees -- 2016 The monthly longevity flat rates shall be as follows for regular full-time employees after the completion of the number of years of full time employment with the City set forth below. Regular part -time employees shall receive longevity on a pro -rata basis. Completion of 5 years $75 Completion of 10 years 100 Completion of 15 years 125 Completion of 20 years 150 Completion of 25 years 175 Completion of 30 years 200 41