Slide Number:

Faculty Range Salary Schedule RecommendationMarch 20, 2012

ALAMO COLLEGES

UMGHRHARNESSING THE POWER OF HUMAN CAPITAL

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INTRODUCTION

• An Alamo Colleges “Advisory Committee” was established to issue recommendations to the Chancellor’s Executive Committee on possible ways to reorganize and rebalance the faculty salary schedule within existing resources for full-time faculty

• The Advisory Committee was composed of faculty and administrators across the District and was tasked to review Alamo’ 2008-2009 Faculty Compensation Study conducted by UM Global HR

• A final report and proposed faculty salary schedule was submitted to the Chancellor and Executive Committee

• As part of the Alamo Colleges’ Faculty Compensation Study, UM Global HR was asked to review the committee’s proposed salary schedule

• This report is the result of the review and presentation of a “Range” salary schedule which incorporates the major elements of the Advisory Committee’s salary schedule report, while addressing cost and equity issues inherent in Alamo Colleges current “Step” salary schedule

March 20, 2012

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• On December 2nd 2011,UM Global HR met with the Advisory Committee and recommended a change from the current Step Salary Schedule to a Range Salary Schedule with a slightly lower initial placement rate.

– Currently four of the Big Eight colleges use a step salary schedule (Alamo, Austin, El Paso, and Houston), and four use a Range Salary Schedule (Dallas, Lone Star, San Jacinto, and Tarrant).

• After reviewing the Step Schedule and the Range Schedule, it was agreed that UM Global HR, Alamo HR, and a faculty representative work together to adjust the Range Schedule to take into account salary compression, provide for a transparent reporting system, and to report back.

– Salary compression is when current faculty earn the same or less than new faculty.

• The revised Range Salary Schedule was reported to the Advisory Committee by the faculty representative and Alamo Colleges Human Resources in early March.

BACKGROUND

March 20, 2012

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CONTEXT

In the 2008-2009 comparison of Alamo Colleges with peer colleges:

Alamo Colleges’ total average faculty salary ranked 6th among peers

Alamo Colleges’ average salary by salary class ranked no better than 4th or 5th

Of the salary classes, BA, MA, MA+12, and PhD showed the greatest disparity

In the TCCTA 2010 – 2011 annual faculty survey of community colleges, among peer colleges, Alamo College’s total average faculty salary is ranked 8 among the Big Eight Colleges

March 20, 2012

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THE SALARY RANGE SCHEDULE

The purpose of the new range schedule is to:

1. Make Alamo Colleges’ faculty salaries competitive with peer colleges

2. Address internal equity and salary compression issues between current faculty and new hires

3. Address faculty salary needs identified in Alamo’s 2008 to 2009 Faculty Compensation Study and 2010-11 TCCTA Comparisons

4. Align Alamo’s compensation policies and practices as third among peer colleges— the “threeness” criterion

March 20, 2012

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UNDERSTANDING ALAMO COLLEGES’ CURRENT FACULTY STEP SALARY

SCHEDULE

ection ONE

March 20, 2012

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ALAMO COLLEGES’ EXISTING SALARY STRUCTURE

1. Initial placementStep A, new hire with no experience and no credit hours at MA = $38,758

Up to 5 years credit for experience, or Step F = $43,789

2. Step increases of 4% first year and roughly 2% thereafter

In bygone days, steps were the next pay level for each year of service, up to step AC (29yrs)

An annual step increase is not guaranteed

Step increase are always Board approved based on available funding

3. Progression in salary classificationSeven classifications defined by degree and graduate credit hours; from BA, MA, to PhD

Variable increases ranging from 2.6% to 5.6% between MA classes and more for BA and PhD.

2010

– 2

011

Base

Sal

ary

Sche

dule

 Salary Classes (Defined by Degree and Graduate Credit Hours)

Step

I II III IV V VI VIIBA MA MA + 12 MA + 24 MA + 36 MA + 48 PhD

A $35,049 $38,758 $39,841 $40,943 $42,044 $43,128 $45,312

B $36,445 $40,300 $41,439 $42,577 $43,715 $44,835 $47,112

C $37,252 $41,181 $42,357 $43,513 $44,670 $45,827 $48,140

D $37,968 $41,989 $43,164 $44,358 $45,551 $46,726 $49,095 E $38,648 $42,889 $44,137 $45,404 $46,653 $47,920 $50,417 F $39,309 $43,789 $45,111 $46,432 $47,773 $49,095 $51,757

G $39,988 $44,670 $46,084 $47,479 $48,874 $50,270 $53,079

H $40,667 $45,570 $47,038 $48,507 $49,994 $51,463 $54,401

I $41,347 $46,451 $48,011 $49,554 $51,096 $52,638 $55,741

J $42,026 $47,350 $48,966 $50,582 $52,197 $53,813 $57,063

K $42,687 $48,250 $49,939 $51,628 $53,317 $55,007 $58,385

L $43,366 $49,131 $50,894 $52,656 $54,437 $56,200 $59,725

M $44,046 $50,031 $51,867 $53,703 $55,539 $57,375 $61,047

N $44,707 $50,912 $52,840 $54,731 $56,641 $58,568 $62,369 O $45,386 $51,812 $53,795 $55,778 $57,761 $59,743 $63,709 P $46,047 $52,693 $54,768 $56,824 $58,862 $60,918 $65,031

Q $46,726 $53,593 $55,723 $57,852 $59,982 $62,112 $66,371

R $47,406 $54,492 $56,677 $58,881 $61,084 $63,287 $67,693

S $48,115 $55,337 $57,669 $59,927 $62,204 $64,462 $69,015

T $48,764 $56,273 $58,623 $60,974 $63,305 $65,655 $70,337

U $50,104 $57,155 $59,578 $62,002 $64,407 $66,849 $71,677

V $51,445 $58,054 $60,551 $63,048 $65,527 $68,005 $72,999

W $52,785 $58,936 $61,506 $64,076 $66,647 $69,199 $74,321

X $54,107 $60,515 $62,479 $65,105 $67,748 $70,374 $75,662

Y $55,447 $61,763 $64,113 $66,151 $68,850 $71,567 $76,983

Z $56,787 $63,617 $65,729 $67,859 $69,970 $72,742 $78,324

AA $58,128 $65,178 $67,363 $69,548 $71,733 $73,936 $79,646

AB $59,468 $66,739 $68,997 $71,255 $75,294 $75,772 $80,968

AC $60,790 $68,299 $70,613 $72,963 $77,057 $77,626 $82,969

What’s Included?

March 20, 2012

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ALAMO COLLEGES IS THE ONLY PEER COMMUNITY COLLEGE AMONG PEERS THAT PAYS FOR RANK

1 Rank pay is cumulative: an Assistant Professor is paid $1,468 above base salary, an Associate Professor is paid $2,919 above base ($1,469 + $1,450), and a professor is paid $4,388 above base ($2,919 + $1,469).

2New faculty with a doctoral degree in the teaching field, on the recommendation of the President, and with the concurrence of the Chancellor, may be appointed at the rank of Assistant Professor. In such cases, the faculty member is placed in the appropriate cell of the salary schedule and $1,468.80 is added to their pay.

3Faculty hired prior to January 1977 may apply for promotion to Asst. Professor If the criteria for Class I are met.

Rank Schedule1

All Salary

Classifications

See footnotes 2 and 3

Initial Placement1

INSTRUCTOR

3 Years as Instructor

$1,468.80

Additional Criteria:• MA + 12 or Above• Satisfactory Progression

on Tenure Track

ASST. PROFESSOR2 $1,450.44

Additional Criteria:• MA + 24 or Above• Satisfactory Progression

on Tenure Track

4 Years as Asst. Prof.

ASSOC. PROFESSOR

5 Years as Assoc. Prof.

$1,468.80

Additional Criteria:• MA + 36 or Above• Satisfactory Progression

on Tenure Track

PROFESSOR

March 20, 2012

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COMPONENTS OF ALAMO COLLEGES’ FACULTY COMPENSATION

+++

BASE BUILDINGPer Existing Schedule

Promotion to a higher Salary Classification

Based on Degree or Credit Hours

CLASS

PROMOTION IN CLASS

BASE BUILDINGFlat Rate

RANK

Evaluation System for Tenure Track

Faculty

PROMOTION IN RANK

BASE BUILDING

Per Existing Schedule

General Increase

Percent Increases Based

on Board Approval and

Fund Availability

GENERAL PERCENT

INCREASES

BASE BUILDING

MARKET AVERAGES

Placement in Salary Schedule at

Hire Based on Degree, Credit

Hours, and Prior Experience

INITIAL PLACEMENT

Salary Schedule

1

Rank Schedule

2 3 4 = Salary

March 20, 2012

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PROPOSED RANGE SALARY STRUCTURE

ection TWO

March 20, 2012

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To improve Alamo Colleges’ faculty salary competitiveness

in each “Salary Class” by achieving “Threeness” among

Alamo’s eight peer community colleges

Note: The “Threeness criterion is based on the Advisory Committee’s goal of placing Alamo Colleges Faculty salaries among the top three of entry level salaries and average salaries compared to peer

institutions.

GOAL

March 20, 2012

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THE RANGE STRUCTURE

March 20, 2012

• Faculty with no experience are placed at the minimum of their “Range Class”. New faculty with up to seven years experience are placed higher in the range according to an "Initial Placement Salary Schedule".

• Faculty can move within a range through annual increases, market increases, internal equity adjustment, or promotion in Rank.

• Faculty move to higher classes by achievement of required credit hours and/or higher degree.

Range Spread Per Class = 96.4%Midpoint to Midpoint Progression = 2% to 9%

The 96.4% Range Spread represents threeness among base 8 colleges.

Max

Midpoint

Min

BA Max

Midpoint

Min

MA Max

Midpoint

Min

MA + 12 Max

Midpoint

Min

MA + 24 Max

Midpoint

Min

MA + 36 Max

Midpoint

Min

MA + 48 Max

Midpoint

Min

PhD

= Range Spread

= Midpoint to Midpoint Progression

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RANGE SALARY SCHEDULE

March 20, 2012

  RangeMidpoint

ProgressionClass MIN(Initial Pay) Midpoint MAX Spread

(Min to Max)

BA $38,500 $57,057 $75,614 96.40%  

MA $42,000 $62,244 $82,488 96.40%$5,1879.1%

$1,5562.5%MA+12 $43,050 $63,800 $84,550 96.40%

$1,5562.5%MA+24 $44,126 $65,395 $86,664 96.40%

$1,5562.5%MA+36 $45,229 $67,030 $88,831 96.40%

$1,6762.5%MA+48 $46,360 $68,706 $91,051 96.40%

$3,4355.0%PhD $46,678 $71,141 $95,604 95.41%

 

RANKAssistant Professor $1,469

Associate Professor $2,919

Professor $4,388

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TREATMENT OF INITIAL PLACEMENT UNDER THE RANGE SCHEDULE (INCREASE FROM 5 TO 7 YEARS)

Initial placement for new hires is increased from 5 years to 7 years, with 1.75% increase for each year, to a 12.25% maximum (current value is 12%)

A constant, non-compounded, 1.75% per year (instead of the current 4% for the first year and 2% thereafter up to 5 years) helps prevent salary compression and places more value on years at Alamo

March 20, 2012

Initial Placement Under the Range Salary ScheduleEDUCATION Base Years of Experience

CLASSIFICATION 0 Years 1 Year 2 Years 3 Years 4 Years 5 Years 6 Years 7 Years

BA $38,500 $39,174 $39,848 $40,521 $41,195 $41,869 $42,543 $43,216

MA $42,000 $42,735 $43,470 $44,205 $44,940 $45,675 $46,410 $47,145

MA + 12 $43,050 $43,803 $44,557 $45,310 $46,064 $46,817 $47,570 $48,324

MA + 24 $44,126 $44,898 $45,670 $46,443 $47,215 $47,987 $48,759 $49,531

MA + 36 $45,229 $46,021 $46,812 $47,604 $48,395 $49,187 $49,978 $50,770

MA + 48 $46,360 $47,171 $47,983 $48,794 $49,605 $50,417 $51,228 $52,039

PhD $48,678 $49,530 $50,382 $51,234 $52,085 $52,937 $53,789 $54,641

Experience Increase Non-Compounding   1.75% 3.50% 5.25% 7.00% 8.75% 10.50% 12.25%

Credit per Year   1.75% 1.75% 1.75% 1.75% 1.75% 1.75% 1.75%

Alamo's Current Rate 2.00% 4.04% 6.12% 8.24% 10.41% 12.62% 14.87%

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HOW DOES THE RANGE SALARY SCHEDULE MEET ALAMO COLLEGE’S NEEDS?

ection Three

March 20, 2012

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MARKET “THREENESS”

Current vs. Proposed

March 20, 2012

Impact of Range Salary Schedules on Initial Placement and Compensation Drivers

 Initial Placement Per Salary

Schedule Rankings

Salary Classification Alamo Current Proposed Alamo Current ProposedOverall Average (Actual Salaries) $54,166 $57,684 8 3

BA or Equivalent $35,049 $38,500 8 3

MA + 0 $38,758 $42,000 6 3

MA+12 $39,841 $43,050 5 2

MA+24 $40,943 $44,126 5 3

MA+36 $42,044 $45,229 4 3

MA+48 $43,128 $46,360 5 3

PhD $45,312 $48,678 5 3

Duty Days 164 166 1 3

Class Range: Min to Max 76.20% 96.4% 6 3

MA+0 to PhD Class (With Rank Pay) 25.00% 25.00% 1 1

Cost   $2,960,383    

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IMPACT OF PROPOSALS ON ACTUAL FACULTY SALARIES

March 20, 2012

  BA MA MA+12 MA+24 MA+36 MA+48 PhDOverall Average

Current Avg. Salary $40,569 $45,230 $49,884 $54,124 $59,374 $60,975 $61,911 $54,166

Range Market Adjustment $44,188 $48,100 $52,533 $56,515 $61,483 $62,674 $63,702 $56,491

Total With Compression Adjustment $45,233 $49,403 $53,757 $57,572 $62,567 $63,783 $64,943 $57,684

Percent Change Over Current 11.50% 9.23% 7.76% 6.37% 5.38% 4.61% 4.90% 6.49%

N 21 193 152 84 99 112 179 840

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ANNUAL REPORTING

March 20, 2012

Distribution of Faculty Salaries By Class and Years of Experience. Rank Pay Not Included.

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THREE-STEP IMPLEMENTATION

December 2, 2011

STEP ONE: Transition from Step Table to Range Schedule

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STEP TWO: Compression Fix— Adjust the salaries of 425 faculty with 0 to 7 years experience by a factor of 1.75% depending on year hired.

THREE-STEP IMPLEMENTATION

December 2, 2011

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STEP THREE: Increases all faculty base salaries by 1.25% to address overall compression between current faculty and new hires.

THREE-STEP IMPLEMENTATION

December 2, 2011

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Q & A

March 20, 2012

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CURRENT DUTY DAYS

Colleges Duty Days Ranking*

Houston Community College 164 1

Alamo Colleges 164 1

El Paso Community College 165 2

Lone Star College 165 2

Austin Community College 166 3

Tarrant County College 166 3

San Jacinto College 169 4

Dallas Community College 173 5

* Low numbers in duty days are ranked higher

March 20, 2012

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PROPOSED 2013 SUMMER RATES

March 20, 2012

COLLEGES Formula/Summer Pay Written Policy

Total Summer Courses Allowed

# of Courses at Premium

Rate Premium Pay

per Course Adjunct Rate RankAvg pay per

Course

San Jacinto Flat Rate: 165% of Adjunct Rate 3 NA $3,010.00 1 $4,966.50

Austin 1/3 of 9 mo. for two summer sessions 5 5 $3,998.00 $3,020.00 2 $3,997.50

Lone Star (9 mo salary/9)x1.5 = for one summer 2 2 $4,997.00 $1,814.00 3 $3,405.50

Houston (Mo.Sal x1.5)/6)*3 if <6, Adjunct $ If >6 4 2 $4,997.00 $1,743.00 4 $3,370.00

Alamo PROPOSED: 120% of Adjunct Rate 5 NA NA $2,202 - $2,550 5 $2,643 - $3,278

Dallas Changed to: Formula pay to 1 3-hr course 8 1 $3,998.00 $1,969.00 6 $2,476.25

El Paso Flat Rate: $823/Lec Hr. = $2,469 4 NA NA $2,469.00 7 $2,469.00

TarrantAdjunct Rate (Varies by Degree & Credit Hours) 4 NA NA $2,016.00 8 $2,016.00

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PROPOSED SUMMER 2013 RATES AND NON-TEACHING DUTIES

March 20, 2012

Adjunct 120% AdjunctBA $2,202.18 $2,642.62 MA $2,366.40 $2,839.68

MA+12 $2,439.84 $2,927.81 MA+24 $2,511.24 $3,013.49 MA+48 $2,661.18 $3,193.42

PhD $2,731.56 $3,277.87 Avg $2,549.50 $3,059.40

Non-teaching Duties:

A faculty member is obligated to perform 10 hours of non-teaching work for each course compensated at 120% adjunct at any time during the summer.

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COST SUMMARY

March 20, 2012

Cost of Salary Range Schedule = $2,960,383Summer Savings = $2,019,611Net Cost Before Benefits = $940,772Net Cost With Benefits = $1,016,034