16 CHAPTER II - COMPENSATION Section 1. Compensation Administration Policy No employee will be paid less than the applicable legal minimum wage. Each job, or position within the City has been formally described in a written Position Description that describes in summary form the purpose of the position, the essential duties and responsibilities of the position, the supervision given and received, the minimum qualification standards that must be met by a candidate for employment to be hired for the position, the physical demands of the position and the typical work environment experienced when performing the work. Based on the Position Description, each position has been evaluated based on objective factors with consideration given to current competitive labor-market conditions and assigned to a Salary Range, which establishes the value of the position in relation to other positions in the organization. Within this framework, an employee's salary will be related to qualifications, experience and job performance. Each Salary Range provides a Minimum, Mid-Point and Maximum salary for each position. It is the policy of the City that employees will not be paid less than the Minimum nor more than the Maximum of a given Range for a particular position, except employees hired under a training program as described in the Competitive Hiring Section who may be paid less than the Minimum until such time as they successfully complete the training plan. The City Administrator will ensure that the salary schedule is evaluated on a regular basis to ensure that the City's compensation remains internally equitable and market competitive with comparablysized municipalities for comparable work performed in these other jurisdictions. All salaries listed on the schedule are gross salaries and are subject to mandatory withholding and voluntary deductions. Salary increases are based on individual employee merit and performance as indicated in the annual written employee evaluation described in Section 2, below. The achievement of a certain period of time in a position does not, in itself, justify a salary increase. Salary ranges for any job classification may be increased (or decreased) by the City Council. Salary increases depend on the City's ability to meet its budget. The provisions of this section do not apply to temporary employees. The salaries of such employees are individually determined by the City Administrator. ADJUSTMENTS TO THE SALARY RANGES The City Administrator will periodically review the Salary Ranges to ensure that the pay structure remains competitive. Periodic position-based pay adjustments based upon market changes may occur, depending upon employee assignment, employee performance, market dynamics, budgetary constraints and other factors that may apply. Any adjustments will be recommended by the City Administrator and must be approved by the City Council before becoming effective, and may include pay increases or decreases, as appropriate. If, as a result of a change in the Salary Range of a position, individual employees' compensation falls above or below the new Salary Range parameters, adjustments may or may not be made at that time. If pay increases or decreases are indicated, these will be communicated by the City Administrator to the Department Director and enacted, with their approval depending on the availability of budgeted funds. The Director is expected to communicate with the employee regarding such changes. If an employee is paid over the Maximum at the time the Range for the position is established, and the employee's salary is not reduced, the employee will be ineligible for an increase in pay ("Red
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