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HomeMy WebLinkAboutIR 186 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 22-186 To the Mayor and Members of the City Council December 6, 2022 G Page 1 of 1 1,A. SUBJECT: PAY ADJUSTMENTS FOR RETENTION, RECRUITMENT AND VA MARKET COMPETITIVENESS yez3 The purpose of this informal report is to provide an update on base pay adjustments for City of Fort Worth general employees to be implemented in December 2022. This is an update to the Budget Response on Competitive Salary Analysis provided on August 25, 2022. The City's ability to retain and recruit a qualified workforce that is dedicated to providing the quality and extent of services taxpayers expect, relies on the City's ability to value employee performance and individual contributions to city service. In line with this vision, in 2016 the City introduced a pay for performance model. The program is managed by the Human Resources (HR) Department through an annual performance evaluation process which aligns employees with the City's Core Values of Exceptional Customer Service, Accountability, Ethical Behavior, Diversity, Mutual Respect and Continuous Improvement and allows for position specific goals. Annually, during October and November, performance appraisals are completed for eligible employees and base pay increases are identified as part of the City's Pay for Performance (P4P) program as approved in the Fiscal Year(FY) budget. The FY 2023 P4P increases ranged from 0%to 7% dependent on the respective appraisal ratings with a City average increase of 3.96%. Base pay increases (or lump sum payments) were effective pay period beginning November 19, 2022 for December 9, 2022 payday. In line with the City's philosophy, to recognize and value employee performance, the City is also committed to retaining our workforce through market competitive pay. In FY 2023, the City is proposing to increase base pay through an additional pay adjustment for employees of 2%or 3% in accordance with HR defined eligibility criteria. Valued employees that fully and consistently satisfied the City's high-performance expectations will receive a 2% increase and 3% increase will be issued to accomplished employees who demonstrated exceptional results and whose accomplishments had significant impact on the City's success. The pay adjustments will promote the retention of existing employees and allow for greater flexibility to recruit top talent. In addition, the pay adjustment will positively impact base pay for eligible General Employees in comparison to the external labor market. The proposed pay changes will apply to General employees hired before October 1, 2022, Police and Fire Command staff, and District Directors, however, will not apply to Civil Service employees. To recognize and increase base pay for employees through this initiative provides for an organizational culture that fosters a shared sense of commitment to the residents we serve while improving the City's position to be market competitive. It should be noted this initiative compliments a number of other ongoing pay related programs all designed to continuously evaluate the City's classification and compensation system. Dianna Giordano, Human Resources Director, is available if you have any questions. David Cooke City Manager ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS