Memo: Management & Professional Compensation Review (Jan. 23, 2013)

Memorandum
Date: Jan. 23, 2013
From: Linda McKnight, Director, Advisory Services, Human Resources, Michelle Berner, Director, Total Compensation, Human Resources
To: Deans, Directors, Department Heads, Administrators
CC: Human Resources Advisory Services, Total Compensation
Subject: Management & Professional Compensation Review

Further to our memo of August 11, 2011 (http://www.hr.ubc.ca/memos/2012-mp-compensation-review-aug-11-2011/), this provides an update on the 2011 Compensation Review of M&P jobs.

Background

The Agreement between AAPS and the University recognizes the essential nature of a fair and competitive compensation system to retaining and recruiting Management and Professional Staff (M&P Staff). One of our principles is that the University should endeavour to compensate at the 50th percentile of a representative comparator market. In order to approach this objective in a structured way, the University has committed to conducting a salary survey of a representative comparator market at appropriate intervals.

As we did in 2004 and 2008, the University engaged Mercer to conduct a market survey to evaluate the competitiveness of the University’s M&P compensation. Survey results were compiled in late 2011, and presented by Mercer to the University in early 2012.

The University’s Compensation team conducted an extensive costing analysis utilizing the market survey and current M&P compensation data, and proposed changes to the M&P compensation matrix. AAPS grieved the University’s approach, and last month mediator Mark Brown assisted the parties in achieving a resolution, which is a phased approach involving four implementation dates:

  • January 1, 2013;
  • January 1, 2014;
  • July 1, 2014 (after any general wage increase that is negotiated); and
  • December 1, 2014.

We are now planning the first phase, which will likely be implemented in March 2013, but retroactive to January 1, 2013 (time is required for programming the changes, but there are a number of collective agreement changes for various bargaining units that have to be implemented first).

Implementation of Results

It is important to note that like other M&P compensation reviews, this implementation does not result in a General Wage Increase (GWI) for all M&P staff. Adjustments are targeted at those job family levels that have fallen behind the 50th percentile of the relevant comparator market. A separate GWI was negotiated through collective bargaining, and that will result in an across-the-board lift to the overall pay structure and salaries (2% at July 1, 2012, and 2% at July 1, 2013).

The changes that will be implemented as a result of the M&P Compensation Review will not result in an additional lift of the overall pay structure, but rather will result in changes to the salary grade of targeted levels within job families.

For your reference, a list of M&P job family levels that will be changed as a result of the January 1, 2013, phase is attached at the end of this memo. Please contact Kathleen Cheng or your Human Resources Advisor if the implementation of these changes results in issues within your department or unit.

Implementation Rules

Even if a job family level is adjusted, this does not mean that every staff member within that level will receive a salary adjustment. Much depends upon where the M&P staff member’s salary is within the pay grade.

The implementation rules are as follows:

[1] If the staff member’s salary fell below the minimum of the “new pay grade,” then it will be increased to the minimum of the “new pay grade.” This will occur effective January 1, 2013.

[2] If the staff member’s salary was at or above the midpoint of the “old pay grade,” but fell below the midpoint of the “new pay grade,” then it will be increased to the midpoint of the “new pay grade.” This will occur effective January 1, 2013.

[3] Staff members who were above the midpoint of the “old pay grade,” and who remain above the midpoint of the “new pay grade,” will not receive a salary increase.

[4] Staff members who were between the minimum and midpoint of the “old pay grade” and who remain between the minimum and midpoint of the “new pay grade,” will not receive a salary increase.

Note that due to the current government compensation freeze, excluded management and professional staff are not eligible for increases at this time.

Implementation Date

We will keep you apprised of the date of implementation, but our goal is March, 2013.

Department Administrators will receive a spreadsheet from Human Resources with changes denoted for each eligible M&P staff member in the faculty/department. The spreadsheet will be sent as soon as possible, and prior to implementation. In addition, staff members whose salaries are impacted will receive a letter directly from Human Resources advising them of their new salary as a result of the changes.

It is important that you contact Kathleen Cheng (604.822.8148) immediately if there are any issues, concerns, or corrections.

Funding

At the Vancouver campus, Faculties are responsible for funding salary adjustments for all positions.

Central University will fund salary adjustments for positions in the Administrative Units in Operating funds (G, F and C)

Next Phases of Implementation

We will communicate details about the final three phases of this implementation once they have been finalized.

Conclusion

It is important to the University that M&P compensation remains competitive, given its fundamental nature in retaining and recruiting outstanding staff.

Thank you.

M&P Compensation Review 2011

Job Families and Levels Affected by the Compensation Review

Note: Only Job Family Levels that were affected are indicated below. Job Family Levels that are not indicated in the table below will not be changed in this phase of the implementation, but may be changed in the three phases that follow.

Pay Grade After Implementation

Job Family

Job Family Level

Current Pay Grade

Effective January 1, 2013

Athletics & Recreation

A (merging with A2)

2

5

Athletics & Recreation

B

6

7

Athletics & Recreation

C

10

11

Business Development

F

13

14

Business Development

G

14

15

Business Development

H

15

16

Business Development

I

16

17

Business Operations Management

D

7

9

Business Operations Management

E

8

10

Business Operations Management

F

9

11

Business Operations Management

G

10

12

Business Operations Management

H

12

13

Business Operations Management

I

13

14

Business Operations Management

I2

14

15

Business Operations Management

J

15

16

Business Operations Management

K

16

17

Business Operations Management

L

17

18

Cooperative Education

C

9

10

Counsellors/Psychologists

C

9

10

Counsellors/Psychologists

D

10

11

Editorial & Production Services

A

5

6

Editorial & Production Services

B

6

7

Editorial & Production Services

B2

7

8

Educational Programming

B

5

6

Health Safety & Environment

B

6

7

Health Safety & Environment

C

7

8

Health Safety & Environment

C2

8

9

Information Services

C

8

9

Information Services

C2

9

10

Information Services

D

10

11

Information Systems & Technology

D

9

10

Institutional Analysis

D

9

10

Institutional Analysis

E

10

11

Investment, Finance and Insurance

C

9

10

Investment, Finance and Insurance

D

10

11

Investment, Finance and Insurance

E

11

12

Investment, Finance and Insurance

F

12

13

Investment, Finance and Insurance

G

13

14

Marketing & Sales

B

6

7

Research & Facilitation

F

11

12

Research & Facilitation

G

12

13

Security

A

3

7

Security

B

5

8

Security

B2

7

9

Security

C

9

10

UBC’s salary scales are posted online at http://www.hr.ubc.ca/compensation/salary-administration/salary-scales/.

 

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