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Attachment 3 <br /> Relationship Between Performance and Pav_ <br /> Examples of several types of relationships are listed below. <br /> 1. Directly-Tied <br /> A given Performance Rating such as Effective results in a <br /> given merit pay amount such as 1.25%. <br /> 2 . Performance Rating Establishes Eligibility_ <br /> The employee' s performance rating must be a specified <br /> level for the employee to be eligible for merit. The <br /> merit increase itself may be an amount within a specified <br /> range and the final amount may take account of <br /> other factors such as the employee' s salary placement in <br /> the salary range in relation to other employees. <br /> Uniformity across departmental lines is provided by use <br /> of a funding or per capita allocation for merit. <br /> Requires that employees be reviewed at the same time. <br /> 3 . Performance Rating Sets Merit Increase Range <br /> The employee ' s performance rating determines the range <br /> within which the merit increase, if any, may fall. For <br /> example, a given rating may result in an increase from <br /> one to three percent and the final amount may take <br /> account of other factors. <br /> Uniformity across departmental lines is provided by use <br /> of a funding or per capita allocation for merit. <br /> Requires that employees be reviewed at the same time. <br /> 4 . Salary Position In Salary Range <br /> The merit amount for which an employee is eligible based <br /> on a given performance rating differs depending on <br /> whether the employee is below or above the midpoint of <br /> the salary range. Typically a greater increase is <br /> authorized to an employee below the midpoint of the <br /> salary range. Another variation is to provide a greater <br /> portion of the merit award as bonus rather than salary <br /> increase to employees above the salary range midpoint. <br /> ( 10-28-93) <br />