Salary increases will come in two parts

Editor's note: This story was added after deadline to the June 13 Inside Iowa State, following approval of Iowa State's proposed salary parameters by the state Board of Regents' executive director. For readers who missed it last week, we post it again in this edition.

In support of President Wendy Wintersteen's top budget priority to retain talented employees, faculty and professional and scientific staff with satisfactory work evaluations will receive a two-part salary increase in the fiscal year that begins July 1. An initial 1% increase will take effect July 1, a second 1% on Oct. 1 -- both calculated on the employee's June 30 salary. Employees who aren't doing satisfactory work won't be eligible for either increase. Increases for merit employees are not part of the phased approach. All merit employees will receive a 2.1% increase on July 1 consistent with the state contract.

Interim senior vice president for operations and finance Pam Cain said delaying the second half of the salary increase gives units a little time to plan for it. In addition to salary increases for their employees, units face other cost increases next year, she noted. "Deferring a portion of the salary adjustment provides additional time to identify resources for this cost," she said in a memo to budget employees.

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Because the October increase is not retroactive to July 1, the actual cost for the salary adjustments next year will be 1.75%.

"I understand that implementing salary increases, even ones as modest as these, in a shifting budget environment will require careful, strategic thinking," Wintersteen wrote in a June 13 campuswide communication. "But it is my hope this plan signals how serious we are about our number one budget priority -- retaining excellent faculty and staff. Our people determine the high quality of our teaching, research and extension programs, and support an exceptional experience for our students."

Cain said central funding will cover the majority of the estimated $4.8 million cost for the July 1 increase. Divisions will need to reallocate or identify other funding streams to cover the difference and the total cost of the Oct. 1 salary increase.

The salary adjustment policy applies to post-docs, contract employees and all fund sources, including employees whose positions are funded by external grants. Federal guidelines apply to salary adjustments for Ames Laboratory employees.

High achievement

Units have the option to give performance-based increases higher than 1% on Oct. 1 to reward extraordinary performance. If the total increase (including the 2% for satisfactory performance) for an employee exceeds 10%, the appropriate senior vice president or the president must approve it.

However, salary adjustments to address individual retention, equity or market considerations shouldn't be part of either the July 1 or Oct. 1 adjustments, according to the parameters. These adjustments occur year-round through a request process, and forms are on the university human resources website.

P&S pay matrix will adjust

The maximums for all pay grades in the P&S salary matrix will adjust up 1% on July 1. P&S employees with satisfactory work evaluations who are at the top of their pay grades will receive the salary increase on July 1 and a one-time payment (equal to 1%) on Oct. 1 that doesn't become part of their base salaries. The appropriate combination of salary increase and one-time payment also will be used for employees near the top of their pay grades since base salaries can't exceed the maximum in any pay grade.

Merit employees

The state's new two-year contract with the American Federation of State, County and Municipal Employees (AFSCME), Council 61, which represents the university's approximately 1,300 merit employees, calls for a 2.1% pay increase on July 1. Minimums and maximums in the merit pay matrix also adjust upward on July 1.

Where to confirm your new salary

After July 1, salary increase information will be viewable in Workday. Employees can locate their compensation history from their "worker profile" pages. Select "compensation" in the left menu, then the "pay change history" tab at the top of the screen. E-salary slips in AccessPlus won't be active after July 1.