Title
Chief Administrative Officer and the Director of Human Resources recommending the Board:
1) Approve and authorize the Chair to sign the revised Salary and Benefits Resolution for Unrepresented Employees - Resolution 016-2020 effective the first pay period following adoption;
2) Approve and authorize the Chair to sign Resolution 018-2020 revising the Salary Schedule for unrepresented classifications - effective the first pay period following adoption which will bring Appointed and Elected Department Heads to 8% below the market median and Administrative Management and Confidential employees to 10% below the market median;
3) Direct the Human Resources Department and the Auditor-Controller's Office to administer and implement the Resolutions’ provisions; and
4) Provide direction to staff regarding the Board of Supervisor’s compensation as it is 9.42% below the market median of benchmark agencies and respective classifications utilized by the County. (Est. Time: 15 Min.)
FUNDING: Various.
Body
DISCUSSION / BACKGROUND
Unrepresented Employees Resolution
In June 2016, the County engaged Koff and Associates (K&A) for the provision of professional services to design, conduct, and assist in a classification and compensation study for all County positions. Additionally, in September 2017, the Board adopted a compensation philosophy for the County which is to ensure transparency and comparability between the County and other agencies (Resolution 147-2017). Using the study framework created by K&A, the Human Resources Department has updated the original study to determine the current market median of positions. This market median has been used to determine negotiated increases with bargaining units. To date most classifications in the County have reached between 7-10% of the market median.
The unrepresented employees contained in the classifications identified as Elected Department Heads (EL), Appointed Department Heads (UD), Administrative Management (UM), and Confidential (CO) have not been brought to a percentage of market median as most classifications have. Human Resources has updated the compensation study to reflect 2019 rates and the Chief Administrative Office is recommending the following updates to the Unrepresented Employees Resolution.
Elected and Appointed Department Heads Unit:
Effective the first full pay period following adoption, the County will increase base wages for employees in the respective Units to ensure that benchmark job classifications within the Units are approximately 8% (+/- 1%) below the market median. The County will increase the base wages of non-benchmark job classifications to maintain current internal ties and percentage wage differences between ranks - estimated annual cost: $235,000.
There are five law and justice positions in the Elected and Appointed Department Heads Unit. The Undersheriff classification receives increases based on El Dorado County Charter, Section 504: Sheriff’s Salary Limitation. On June 4, 2019 with Legistar Item 19-0854 the Board approved a resolution to increase the Sheriff’s salary by 2.5% to address compaction with the Undersheriff and to have the District Attorney’s salary match the Sheriff’s salary. The Resolution attached to this item revising the salary schedule will establish the Public Defender’s salary at 15% below the District Attorney’s salary.
It should be noted that due to increases to the law enforcement classifications that are affected by the El Dorado County Charter, Section 504, and the corresponding classifications tied to them, the Chief Probation Officer base pay will be 2.8% less than the Sheriff’s Captain and Chief Investigator (D.A.) after bringing the Chief Probation Officer compensation to 8% below the market median. In addition the Chief Probation Officer salary will be 16% below the Public Defender after bringing the Chief Probation Officer compensation to 8% below the market median.
Administrative Management Unit:
Effective the first full pay period following adoption, the County will increase base wages for employees in the Unit to ensure that benchmark job classifications within the Unit are approximately 10% (+/- 1%) below the market median. It was determined to move the unit to 10% (+/- 1%) below the market median as they retain the longevity structure outlined in the previous Unrepresented Employees Resolution. The County will increase the base wages of non-benchmark job classifications to maintain current internal ties and percentage wage differences between ranks - estimated annual cost: $447,000.
Additionally, the County will contribute to Administrative Management employees 2.5% of base salary in each pay period to deferred compensation consistent with the deferred compensation contribution received by Appointed and Elected Department Heads - estimated annual cost $84,300.
Confidential Employees Unit:
Effective the first full pay period following adoption, the County will increase base wages for employees in the Unit to ensure that benchmark job classifications within the Unit are approximately 10% (+/- 1%) below the market median. It was determined to move the unit to 10% (+/- 1%) below the market median as they retain the longevity structure outlined in the previous Unrepresented Employees Resolution. The County will increase the base wages of non-benchmark job classifications to maintain current internal ties and percentage wage differences between ranks - estimated annual cost: $11,121.
The cost of bringing Confidential employees up to market median is significantly less than the other units as the majority of positions have their compensation tied to positions in bargaining units that have already been brought to 7-10% of market median.
Other Resolution Changes:
Changes to the provisions for holiday compensation, Tahoe employment differential, on-call and call-back pay, building certificate compensation, overtime compensation, compensatory time off, and longevity have been included to update the resolution to current laws, regulations, and policies.
Additional clerical and updated language changes are included in the recommended resolution. These additional changes can be seen in redline copy of the resolution attached to this item.
Board of Supervisors Compensation:
Included in the compensation study of unrepresented employees was an analysis of the market median of the Board of Supervisors classification. The updated 2019 study found that the County’s classification of Supervisor-Board of Supervisors is 9.42% below the market median.
County Ordinance Sec. 2.06.020 outlines that members of the Board of Supervisors shall receive a monthly salary of $6,406.40. This salary was effective January 6, 2007.
Staff are seeking Board direction on compensation for the Supervisor-Board of Supervisors classification, and if the Board desires to update County Ordinance Sec. 2.06.020: Board of Supervisors Salary Provisions.
ALTERNATIVES
The Board could choose not to adopt the new Salary and Benefits Resolution for Unrepresented Employees and direct the Director of Human Resources and Chief Administrative Officer to identify alternatives.
The Board could also choose to not approve the increases to compensation based on the market median and direct the Director of Human Resources and Chief Administrative Officer to identify alternatives.
PRIOR BOARD ACTION
The last Salary and Benefits Resolution for Unrepresented Employees was adopted on December 17, 2019 (Legistar #19-1184).
The original classification study as well as the County’s compensation philosophy was presented to the Board on September 26, 2017 (Legistar #16-0098 V2).
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel
CAO RECOMMENDATION
It is recommended that the Board approve the resolutions, and provide direction to staff.
FINANCIAL IMPACT
Bringing the unrepresented classifications to 8-10% of the market median will increase base pay compensation by approximately $558,000 annually with an additional increase of approximately $171,000 more in CalPERS obligations. The revised Salary and Benefits Resolution for Unrepresented Employees will increase the deferred compensation to applicable employees by approximately $88,500 annually.
The total cost of the recommended resolution is approximately $858,000 annually. This total cost includes all costs that are tied to increases in compensation.
CLERK OF THE BOARD FOLLOW UP ACTIONS
Please provide a fully executed copy of each Resolution to Katie Lee in Human Resources.
STRATEGIC PLAN COMPONENT
Good Governance
CONTACT
Don Ashton, Chief Administrative Officer
Tameka Usher, Director of Human Resources