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ORANGE COUNTY <br /> BOARD OF COMMISSIONERS <br /> ACTION AGENDA ITEM ABSTRACT <br /> Meeting Date: December 4, 2000 <br /> Action Agenda <br /> Item No. <br /> SUBJECT: Personnel Ordinance Amendment— Equity/Retention Salary Adjustment <br /> DEPARTMENT: Personnel PUBLIC HEARING: (YIN) No <br /> ATTACHMENT(S): INFORMATION CONTACT: <br /> Draft Personnel Ordinance Amendment - Elaine Holmes, Personnel Director, <br /> Equity/Retention Salary Adjustment Extension 2550 <br /> TELEPHONE NUMBERS: <br /> Hillsborough 732-8181 <br /> Chapel Hill 968-4501 <br /> Durham 688-7331 <br /> Mebane 336-227-2031 <br /> PURPOSE: To consider an amendment to the Orange County Personnel Ordinance section <br /> covering Equity/Retention Salary Adjustment to give the Manager authority to approve <br /> temporary.amendments to the classification and pay plan to address retention needs. <br /> BACKGROUND: During 1998-99, the Board of Commissioners completed a comprehensive <br /> review of the employee pay and benefits plan. As a result of its review, one element the Board <br /> approved adding to the pay plan was the establishment of an "Equity/Retention Fund." Under <br /> this policy as set out in the Orange County Personnel Ordinance, the Manager may approve an <br /> equity or retention salary adjustment to establish equitable salary relationships among <br /> employees in a work unit or in related work units or to address retention needs, within the <br /> availability of funds. For 1999-00 and 2000-01, the Board approved a fund of $25,000 annually <br /> for the Manager's use to address such issues. <br /> During 1999-00, the Manager used the fund successfully to address equitable salary <br /> relationship issues in specific work situations. As reported earlier, the Manager approved 24 <br /> salary adjustments under this fund in 1999-00. <br /> However, in terms of addressing retention needs, the Manager and Personnel have identified <br /> the need for the capability to address retention needs when the employee is at or near the <br /> salary range maximum. Under the present Ordinance (Item 20.4), no employee may receive an. <br /> adjustment that results in the employee's salary being above the maximum of the salary range. <br /> This means — even when a retention issue exists —that the Manager may not authorize a salary <br /> adjustment to address it. <br /> It is recommended that the Ordinance be amended to give the Manager the authority to address <br /> a retention need when the employee is at or near the salary range maximum for the assigned <br /> salary grade. As provided in the attached draft Personnel Ordinance amendment, the Manager <br />