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CC Resolution No. 40 RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF BAYTOWN ADOPTING THE RECOMMENDED CLASSIFICATION AND SALARY PLANS FOR THE CITY OF BAYTOWN, AS PRE- PARED BY GRIFFENHAGEN-KROEGER , INC., WITH THE EX- CEPTION OF THE RECOMMENDED PLAN FOR RECOGNITION FOR STABILITY OF EMPLOYMENT AND STEPS ONE (1) AND FOUR (4) OF INSTALLATION AND ADMINISTRATION. WHEREAS, on September 20, 1%3, the City of Baytown entered into an agreement with Griffenhagen-Kroeger, Inc. , management consultants, in order to obtain profes- sional assistance and recommendations regarding the classification and compensation of all City jobs and related matters ; and WHEREAS, Griffenhagen-Kroeger, Inc. agreed to gather and analyze information relating to the duties and responsibilities of all positions, to group them into appropriate classes and to prepare a complete set of class specifications for use in all personnel processes; and WHEREAS, Griffenhagen-Kroeger, Inc, agreed to develop a compensation plan which will provide for competitive rates in relation to the applicable labor markets and appropriate relationships between the various classes of work; and WHEREAS, Griffenhagen-Kroeger, Inc, has completed their report on the position classification and salary recommendations and in order to give effect to this plan, with the exception of recommendations hereinafter mentioned, the City Council hereby adopts said plan; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN: Section 1: That henceforth, the "Classification and Salary Plans, Baytown, Texas", as submitted by Griffenhagen-Kroeger, Inc. , are hereby adopted except for the following deletions, to-wit: "Recognition for Stability of Employment Authorities in the field of personnel compensation differ on the necessity for recognition of longevity of employment. Some say that longevity pay is contrary to the principle of rewarding quality of performance and that the salary funds expended might be better used in paying higher entrance salaries. Others point out the value of en- couraging the retention of experienced employees after they have reached the maximum for their class. Since Baytown now has a form of longevity bonus and since stability of employment is desirable, we are proposing a plan which we believe will provide maximum value to both the City and its employees-: 1. Employees would qualify for the stability payment after serving in City employment for a total of five years. At that time, they would be eligible for 1/2 of 1% of their annual salary multiplied by the number of years of service, or, 5 x 1/2% = 2-1/2%. By not recognizing stability until after five years of service the City can avoid payment to casual or short term personnel. Also, by that time a sufficient sum will be built up to result in a substantial amount for the employee who does remain. 2. For each additional year after five they would qualify for an additional 1/2 of 1% up to and including the tenth year. After the tenth year the employee has usually identified himself sufficiently with the City and is less likely to shift jobs. Therefore, after the tenth year, stabil- ity payments would continue at the same rate as the tenth year. 3. We recommend that payments for stability be made in a single payment on the December payroll to those who qualify and are actually in the service on December 1. This should serve as an inducement to remain with the City and will provide the money in an amount large enough to be significant and at the same time of year when it will be particul- arly appreciated. 4. Since, under the provisions of Article 1583-2 of the Texas Penal Code fire and police employees are given longevity pay of $2.00 a month for each year of service, only those receiving over $4800 a year would be entitled to any additional payment under the plan being proposed here for other City employees. Installation and Administration After adoption of the proposed salary plan, we recommend the following steps for its installation and administration. 1. On the effective date of the plan, each employee then in the service of the City will be adjusted to the new base rate for his class or to the applicable growth step which is next higher in dollar value above his current rate. However, if the increase produced by this formula is less than 2-1/2% of his current rate, the employee's new rate shall be adjusted to the next higher growth increment. If the application of this procedure results in obvious inequities, the City Manager should be authorized to take the necessary corrective actions. 4. On the regular payroll date closest to December 1 of each year, follow- ing the adoption of the new salary plan, lump sum payments for stability based on the number of years of service with the City shall be made in accordance with the conditions stated in this report." .INTRODUCED, REND and PASSED by the City Council this, the day of 1 , 1%4. C. L. Liggett, M.D. , Mayor ATTEST: � l d Edna Oliver, City Clerk APPROVED: 1 I Q ICJ Georg handler, City Attorney