Wednesday, October 7, 2009

New state merit pay plan proposed

State government’s employment agency chief on Tuesday recommended a plan that would end the merit pay system under which most state workers receive a 4 percent annual raise on their anniversary date.

Her proposal moves toward a “performance-based” system, under which employees with outstanding job ratings could receive up to 6 percent pay raises.

But the move could also mean no raises for some employees even if they get a “meets expectations” or better job rating.

That’s because the variable pay raise plan gives discretion to state agencies, which must promulgate guidelines that set out what’s important to them in employee job performance, said Civil Service director Shannon Templet.

Commissioner Chatham “Chat” Reed asked where Templet thought criticism to the plan would come.

“People are going to say their supervisors are not fair and the performance ratings are subjective,” replied Templet.

Civil Service would retain the authority to recommend general cost-of-living pay raises, but the governor would have to approve them, Templet said.

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