Inside Iowa State: Iowa State University

April 6, 2004

Recommendation targets P&S salaries below grade midpoint

by Anne Krapfl
A salary increase proposal for Professional and Scientific employees by the P&S Council would give larger relative increases to employees with salaries below the midpoint in any pay grade, 11-20. The proposal, from the council's compensation and benefits and executive committees, is for the year that begins July 1.

President Gregory Geoffroy is expected to announce later this month an FY05 salary increase policy for employees not covered by a bargained contract.

Noting that the P&S pay matrix was not adjusted on July 1, 2003, the council's proposal first calls for a minimum 3 percent increase to all the pay minimums and maximums in the matrix.

"The matrix was designed to be a reflection of the appropriate job market(s)," reads the proposal. "To remain competitive and recruit employees, the pay matrix must follow the market trend."

Even a 3 percent adjustment wouldn't correct the erosion of the pay matrix when compared against inflation and growth in the market since 1994. However, even if Iowa State faces another decrease in state support next year, the council "urges" ISU administrators to move the matrix forward. A council committee has calculated it would cost about $45,000 to adjust up salaries for P&S employees at their pay grade minimums.

Second, the proposal recommends that minimum salary increases that equal .75 percent of the midpoint in each pay grade be awarded for satisfactory performance. This differs from proposals in recent years that a minimum increase equal one-third of the average anticipated salary increase for all. The .75 percent was selected assuming an average increase of 2 percent.

As proposed, the rest of the available salary pool should reflect individual performances and address equity and other market considerations. The proposal asks administrators to encourage unit managers to pay special attention to employees whose salaries fall within the hiring range (the first third of a pay grade).

"Salaries for employees with several years of experience and satisfactory or better performance should be moved above the hiring ranges, where possible," it reads.

The proposal was sent to Warren Madden, vice president for business and finance.