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Interim Human Resources Director Katherine Cathey introduced Benefits Manager <br /> Diane Shepherd, Tracy McCarty with Mark III, the benefits consultant, and Employment <br /> Manager Jewel Ray. She made a PowerPoint presentation. <br /> Pay and Benefits <br /> BOCC Budget Work Session <br /> June 9, 2011 <br /> Work Session Purpose <br /> - Consider and provide direction on employee pay and benefits for FY 2011-12 <br /> - Key components of the recommended employee pay and benefits plan include: <br /> o No increases in base salary (continue at FY 2008-09 levels). <br /> o Funding for up to a 15% health insurance increase. <br /> o Increasing the Living Wage to $10.81 per hour. <br /> o Implementing recommendations of the FY 2010-11 internal classification and <br /> pay study. <br /> o Extending the hiring freeze and voluntary furlough program. <br /> o Continuing the $27.50 per pay period County supplemental retirement <br /> contribution for general employees. <br /> o Increasing the mandated County contribution to the LGERS. <br /> Past Actions: FY 2010-11 Pay and Benefits Plan <br /> - No cost of living increase or in-range salary increase. <br /> - Funded up to 7% health insurance increase. <br /> - Maintained the Living Wage at $10.12 an hour. <br /> - Implemented recommendations of the FY 2009-10 internal classification and pay study. <br /> - Implemented a 6-month hiring freeze (previously 12-months) and eliminated positions. <br /> - Extended the voluntary furlough program. <br /> - Extended the suspension of the County contribution to non-law enforcement <br /> employees' 401(k) accounts (reinstated January 1, 2011). <br /> Cost of Living Increase and <br /> In-range Salary Increases <br /> - The County's cost for employee and retiree health insurance and retirement system <br /> contributions will increase substantially in FY 2011-12. <br /> - Personnel services comprise the largest percentage (nearly 50%) of the County's <br /> operational expenditures. <br /> - No salary increase recommended for FY 2011-12. <br /> Employee and Retiree Health Insurance <br /> - Potential 18% to 30% premium increase, effective January 1, 2012 to retain the same <br /> level of coverage. <br /> - Recommended funding for up to a 15% increase. <br /> - Must consider changes in the plan design (co-pay, deductible, or co-insurance) or <br /> increasing the premium cost for employees to better manage escalating health care <br /> expenses and stay within budget. <br /> - Actual plan designs, premium structure and total cost will be determined in September <br /> 2011 through the annual renewal process. <br />