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Pip- MAY 2 Z 1990 1 year service as of May - -- - 1990 0% 800F 80 f'AA51 1986 General Increase 2.5% 1990 + Performance Increase 0 to 2.5% 1987 General Increase 5.0% 1988 General Increase ( variable elements) ave. 5.0%+ 1989 General Increase 5.0% The general increases are intended to maintain the competitiveness of the pay ranges and consider such factors as other jurisdiction changes, inflation, recruiting, and funding availability. These increases have generally achieved the intended results. Although the individual ranges for each position have been formally established and are . advertised in recruiting, there is no program, with the exception of South County Fire, which advances an employee within their range. The only increases are end of probation pay (generally at 6 months) and an initial increase if an employee is promoted. Promotion probation increases were used previously, but were also discontinued in 1987. These factors have contributed to a compression of employees within the ranges. As a result, many longer term and more experienced county employees salary rates are near or at the same level as an entry level employee in the position. Currently, 68% of all employees are in the lower 1/2 of their grades. Turnover is another factor. 310 of the employees have been employed by Indian River County for less than one year. The absence of a pay progression plan also is a handicap in attracting qualified applicants for open positions. The pay ranges are generally competitive but applicants are discouraged by the fact that there is no mechanism for moving up the range from bottom to top. The external survey included 9 Florida counties similar to Indian River and some other area public employers. (Summary attached). Analysis of the survey information led to two clear impressions. First, there is a wide variety of pay techniques used to package pay progression systems. They are called merit, steps, longevity, automatic, annual, incentives, lump sums, etc. Second, regardless of what they are called, most public employers do provide a method for an employee` to advance within their ranges. Because each work force is unique, it is important to formulate a program that meets the needs of the individual organization. The system must also be equitable and administered consistently. Additionally it should not be overly complex nor overly simple. Too complex a system makes management a slave to a myriad of requirements which can adversely effect the overall efficient administration of the program. Too simple a system will prevent management from being able to respond to individual employee performance. Predicated on the preceding, the following program is proposed for the Commission's consideration. The proposal is not applicable to South County Fire District employees covered by the bargaining agreement, since a program is already in effect. RECOMMENDATION 1. Interim Adjustment In order to eliminate some of the inequities that have developed' since 1987 and establish a foundation for the overall program, . I recommend an adjustment effective May 25, 1990 (first pay date June 8) for all permanent employees not already at grade maximum. This pay increase would be based upon longevity with the following allocation of increase percentages: Less than 1 year service as of May 25, 1990 0% 1 to 5 years service as of May 25, 1990 2.0% 6 to 10 years service as of May 25, 1990 3.0% Over 10 years service as of May 25, 1990 3.5% This increase would be totally independent of all other pay change mechanisms. It will not affect the parameters of the pay ranges. 22