The terms below are important terms in understanding employee compensation matters. They are not necessarily referred to in this section of the Web site.
Demotion
A demotion may occur voluntarily or involuntarily and involves the placement
of an employee to a job with a lower market target rate. This action may,
or may not, result in a salary change.
Job Family
Jobs involving work of the same nature, but requiring different skill and
responsibility levels. For example, Maintenance Worker and Senior Maintenance
Worker are in the same job family.
Lateral Transfer
A lateral transfer is moving from one job to another with the same market
target rate of pay, or is a change in departments with no change in job title.
Market Adjustment
A market adjustment increase is made to correct internal or external market
inequities. These adjustments typically occur when market conditions change,
requiring the City to raise its rates of pay to remain competitive. Such
adjustments help keep the City's salary program flexible and equitable
with labor market conditions.
Market Target Rate of Pay
The market target rate of pay (also called the target rate of pay) is the
benchmarked salary for each job as determined by the City. The target rate
of pay reflects the competitive job market from which the City hires employees.
The market target rate for each level is generally set at approximately 5%
above the average rates of pay for benchmarked jobs. The most recent market
target rates of pay can be found by accessing City's Intranet site – OPNet,
and selecting HR Self-Service.
Performance Increase
A performance increase is a percentage increase in an employee's base
salary, as determined by the employee's overall performance rating.
A performance increase may be adjusted, delayed, or withheld in accordance
with guidelines established in Administrative Policy 102.
Prorated Performance
Pay
Prorated performance pay is pay
that covers a period less than twelve months to recognize performance since
an employee's last performance review.
This action usually occurs for new employees that are hired-in after increases
have been delivered for the budget year.
Promotions
The City recognizes two types of promotions:
- Bona-Fide promotion
- Job Family promotion
Under the Bona-Fide promotion, you must apply and be selected for a job that has a higher market target rate than your present job – this promotion carries a 6% salary increase.
The Job Family promotion is an automatic increase within an established job family once an employee meets the qualifications for the next level and is approved for the increase by their department (e.g., Maintenance Worker to Senior Maintenance Worker.). The Job Family promotion provides a 3% salary increase.
Reclassification
Reclassification is the re-evaluation of a job to a different job band or
level due to changes in job duties. A salary change may, or may not be made
depending on the employee's relative position to the new market target.
In general, an employee who is at or above the market target rate will not
be eligible for a salary increase. If an increase is granted, the amount
cannot exceed one-half of the usual bona-fide promotional increase percentage.
Target
Rate of Pay
The target rate of pay (also called the market target rate of pay) is the
benchmarked salary for each job as determined by the City. The target rate
of pay reflects the competitive job market from which the City hires employees.
The market target rate for each level is generally set at approximately 5%
above the average rates of pay for benchmarked jobs. The most recent market
target rates of pay can be found by accessing City's Intranet site – OPNet,
and selecting HR Self-Service.