The University may at times apply an equity adjustment to the salaries of certain individuals or groups of employees. While a complete listing of these circumstances is difficult, some situations that may merit consideration are:
· Significant changes in an employee's job responsibilities not requiring promotion.
· Competitive market pressures for certain types of skilled employees.
· Government regulations (minimum wage law).
· Rapid or large salary range increases.
· Salary inflation of specific job functions above the norm.
· Change of job grade ranges.
An equity adjustment to an employee's salary is made in recognition of certain influences that cause the employee's compensation level to move out of line with their responsibilities from an internal standpoint or external competitive market conditions.
Equity increases should only occur on a very limited basis and strong justification should be provided by the Director/Manager to help justify these types of adjustments.
The Compensation Manager and the respective Vice President must approve all equity adjustments.
Red Circled Rates
Red-circled rates are individual salaries that are above the maximum limit of the job grade salary range for that position. Under normal circumstances, employees in this situation would receive minimal or no salary increases until the salary range exceeds the individual's salary. The Office of the President, Vice President of Finance, and Director of Human Resources should review exceptional cases for consideration. Cases where a red-circled rate can occur would include:
· Employee with very long tenure in a particular position and job grade.
· Employee who has been demoted or whose position has been eliminated and has been transferred to a lower position.
GREEN Circled Rates
Green circled rates are individual salaries that are below the minimum limit of the job grade salary range for that position. Under normal circumstances, employees in this situation would receive either larger than average increases (possibly an equity increase) or have accelerated review dates to bring them into their rate range if justified by job performance.
Retroactive pay will only be allowed up to the beginning of the current month. Exceptions will only be made in rare instances and must be approved by the respective Vice President and Director of Human Resources.