HomeMy WebLinkAboutRexburg Salary Study Final Deliverable Presentation1
City of Rexburg
Salary Study
April – December 2018
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•Compare position descriptions across 14 cities, 7 counties, the State
of Idaho, and the Private Sector *
•Approved by the Rexburg City Council
•Create a wage matrix to examine and compare the following data
points between matching entity jobs:
•Variances of min and max pay ranges
•Variance: Percent difference from Rexburg
•Total Compensation
•Benefits – Medical, Dental, and Vision
•Wages
•*Pocatello, Meridian, Blackfoot, Ammon, Twin Falls City, Idaho Falls, Chubbuck, Jerome, Mountain Home,
Burley, Eagle, Coeur d’Alene, Moscow, Post Falls, Madison County, Bonneville County, Bannock County,
Kootenai County, Jefferson County, Twin Falls County, and Bingham County.
Scope
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Position Matching Process
•HR Directors from each community were asked to match positions
based on Rexburg job descriptions.
•Research team verified accuracy of suggested matches based on
job title and/or position description.
•Draft results were presented to elected officials and employees
•After consideration of comments/recommendations from elected
officials and employees, Rexburg Staff also verified accuracy based
on job title and/or position description and made final proposed
grade changes from salary study results for city council to consider.
Methodology
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Location Based Wage Adjustment
•Wages were adjusted in comparison communities to match Rexburg
living expenses.
•Used MIT Required Living Wage Study (2017) to compare living
expense differences between Rexburg and the comparison
communities.
•Living wages were compared for a family scenario
•Two adults (one working) with three children
•COLA adjustment to compare FY 2018 wages
Methodology For Adjusted Range
5 Required Living Wage
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Before 1.39% Increase
After 1.39% Increase
Range Adjustment Example
City/County Job Title Range Min Range Max
Rexburg Building Official $29.78 $42.39
Twin Falls City Building Official $33.51 $48.26
County Job Title Range Min Range Max
Rexburg Building Official $29.78 $42.39
Twin Falls City Building Official $33.98 $48.94
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•HR Directors at 14 cities and 7 counties
•U.S. Census Bureau: American Community Survey
•Bureau of Labor Statistics: Quarterly Census of Employment and Wages
•Massachusetts Institute of Technology: Required Living Wage Study
•Will Jenson
•Former Labor Economist, Idaho Dept. of Labor
•Economics Professor, BYU-Idaho
•Director of Business Research, RBDC
Data Sources
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Current Policy
•City of Rexburg uses a Grade/Step Compensation System based on merit
•No current employees will have pay reductions as a result of the study.
•If the study suggests a change in the grade of a position, it does not affect
the current wages of the employee in that respective position; it does affect
the salary range and long-term earning capacity for the position.
•If a wage change is recommended immediately, it shall require approval by
the City Council.
Compensation Study Criteria – What Will Happen
9 Salary Study Criteria
10 Salary Study Criteria
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Proposed Policy
•Continue to use the City of Rexburg Grade/Step Compensation System based on merit.
•Base recommended grade changes on the adjusted max
•No current employees will have pay reductions as a result of the study.
•If the study suggests a change in the grade of a position, it does affect the salary range
and long-term earning capacity for the position.
•Wage changes are recommended in the following situations:
•If a grade increase is given that would take an employees respective step below a 1, then a wage
adjustment would be made to bring their step up to the minimum of 1 in the new salary range.
•A wage adjustment of 1% or 1 step is recommended per grade increase to help bring actual pay
closer to that of the market.
•Step increases should be given to those that are topped out to ensure that a pay reduction does not
occur, where they will no longer be eligible for a lump sum review until the review after they reach the
top step in their range.
Salary Study Final Recommendations Summarized
12 Salary Study Final Recommendations Summarized
13 Salary Study Final Recommendations Summarized
14 Salary Study Final Recommendations Summarized
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•Wages/Benefits Over 1 calendar year $ 266,166
•Wages/Benefits in Fiscal Year 2019 $ 221,805
•10 months (83%) during fiscal year with change 12/15/18
•2019 Budget available:
•$232,450 was budgeted for health/dental increases that will not occur
•With the reduction in health/dental we will save an additional $46,000 in 2019 as well
•No additional dollars need to be budgeted in 2019 if you use the health
and dental increases budgeted-could budget adjust from benefits to
wages to reflect actual costs if recommendation approved
•Ongoing costs would need to be budgeted through regular budget
process
Costs to Approve Recommendations