total compensation fy 2019 - amazon web …...2018/03/19 · total compensation goals...
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TOTAL COMPENSATION FY 2019
Total Compensation Goals
• Competitiveness
• Affordability
• Sustainability
Pay, Benefits and Retirement options that attract, retain, reward and motivate current and future employees.
We want to maintain:
Employee Demographics
Age Years of Service
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Recent Enhancements
Fiscal Year Pay Enhancements
FY 2018 • Merit increases included• Increased Transit Subsidy by $50 per month• Implemented a Dependent Care Flexible Spending Account (FSA)
employer match of $500 per employee
FY 2017 • Merit increases included• 1.75% increase to the maximum of each grade/range and
implemented open pay ranges• Lowest base pay rate increased to $14.50/hour from $13.13/hour
for all permanent employees• Implemented a Commercial Driver’s License (CDL) bonus program• Increased New Parent Leave from 2 weeks to 4 weeks
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Path Forward towardsCompensation Goals
Implementation of Classification Maintenance Plan
- Focus on pay competitiveness for all classes and pay programs
- Implementation over five years
- External benchmark of salary range, Internal review of organizational structure, Updates to Admin Reg
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FY19 Proposed Budget Items for Public Safety Employees
• Year 1 of Classification Maintenance Plan- Emphasis on Police, Sheriff and Fire ($2.9M)- Subsequent years average $0.65M, annually
• Implementation of Kelly Day for Fire Department- Provides an extra day off per 28-day cycle- Reduces the workweek to a level closer to other
jurisdictions- Reduces burn-out and some overtime costs- Adds 36 uniformed employees over four
years; adding nine new FTE’s per year
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FY19 Proposed Budget Items for General Employees
• Continued Open Range Pay Plan- 3.25% increase up to max of grade ranges
• 1% Increase to Each Grade- General Employees’ salary range will increase by 1.0%
• Base Rate Increasing to $15.00/hr (from $14.50/hr) for permanent and most temporary employees
Competitive Metrics
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*Projected employees at max by end of FY18 is 17%
Total
Comp
Element
FY2015 FY2016 FY2017 FY2018 to
Date
Benchmark
classes
lagging at
midpoint
16% 16% 3%
(due to
increasing
ranges by
1.75%)
13%
Employees
hired over
midpoint
35% all
91% MAPs
34% all
75% MAPs
24.2% all
80% MAPs
34.8% all
67% MAPs
Turnover 9.9%
6.5% non-
retirement
10.5%
7.4% non-
retirement
9.3%
5.9% non-
retirement
5.7%
4.0% non-
retirement
Employees
at max
11% 13% 10% 14%*
Comparison of Proposed FY 2019 Comp Adjustments in the Region
Merit Increases Structure Change
AverageIncrease
Other
Arlington 3.25% General3.5% (PS and PFP)
1% 2.85%
Fairfax 1.25% - 3.0% General2.25% Public Safety
2.25% COLA or partially funded at 1.26% COLA
4.25% General4.5% Public
Safety
Funding for specific job
classes
Alexandria 2.3% -5.0% None N/A $1.5M public safety
Prince William
3.0% None N/A 1%-2% one-time bonus for EEs at
max
Loudoun 3.5% 3.0% N/A
ArlingtonPublic Schools
5% (Teachers)4% - (Other employees)
None 2.8%
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FY19 Proposed Budget Items Other Benefits
• New Adoption Assistance- Financial assistance of $5,000 per child adopted
• Increased Volunteer Leave- Volunteer hours increased from 4 hours to 8 hours
• Health Insurance Coverage - 5% increase to the overall budget- Premium increases may vary based on plan and tier- Smallest increase since FY14
Alexandria Arlington Fairfax Prince William*
Major health plan
2.2% 5.0% 5.5% 5.3%
Cost SharingIndividual2-Party/Family
City/Employee
80/2080/20
County/Employee
80/2075/25
County/Employee
85/1575/25
County/Employee
95/575/25
FY19 Proposed Health Care Increases Across the Region
*Prince William does not cover retirees on their health plans
• Clinic use avoided over $600K for ER/Urgent Care
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5% Premium Increase Means: Cigna In-Network Coinsurance Plan
Additional CostPer Pay Period
IndividualEmployee +
SpouseEmployee + Child(ren)
Family
Employee $3.00 $7.67 $6.56 $11.24
County $12.00 $23.02 $19.65 $33.70
THE BOTTOM LINE: An Employee’s Pay Slip
Average Annual Salary $75,000.00
Average Salary Increase: 3.25% $2,438.00
Cigna Coinsurance Increase (Family) $292.24
Gross Salary Increase after Health $2,145.76
Note: All premiums are deducted pre-tax
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Retiree Medical
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Alexandria Arlington Fairfax Prince William*
Monthly Subsidy
$260 $600 (hired before 7/1/08)$300 (hired on or after 7/1/08)
$230 $210
*Prince William – Health insurance “credit” - $165 from County and $45 from VRS for 30 yr career- No post-Medicare benefits
Recent Enhancements
• Dependent Care FSA Reimbursement: increased enrollment by 30%
• Increased Transit Subsidy: maintained ridership in sub-optimal service environment
• Tuition Reimbursement:
– Used by approximately 150 employees each year
– Funds slots in COG-Certified Public Manager, GMU-Masters in Public Administration, and Leadership Center for Excellent (Leadership Arlington) programs
• Live Where You Work: projected to be fully utilized
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Looking to the Future• Comprehensive Benefits Study
-Phase One: Completed Survey, Focus Groups, Benchmarking
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Health CareFebruary - July
Leave/Other BenefitsApril - September
RetirementJuly - December
Phase Two: Steering Committee
Wo
rkin
g G
rou
ps
2 – 5 Year
Strategic Plan
Looking to The Future• Continue the classification maintenance plan
for years 2-5
• Re-evaluate total compensation principles including competitors beyond current 3 neighbors and market position of average midpoint
Competitiveness
• Maintain affordable pay and benefits for County and employees
• Evaluate pay policies for hiring and internal movement
• Continue strategic review of benefit programs
Affordability & Sustainability
• Consider choice in benefits
• Encourage mobile work and flexibilityFlexibility
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