May 10, 2018

Dear Professional & Scientific Staff Member,

Since last October Human Resource Services (HRS) has been working on a P&S compensation and classification study through a professional services agreement with Aon Hewitt. This email is intended to provide important information regarding the project and its outcome. This study did not include athletic coaches and athletic staff on contract appointments.

The original version of the current P&S compensation structure was largely established in 1976 following an external consultant study. While some adjustments have been made to the position classification structure and pay grade matrix over the years, a formal, extensive review has not been conducted by an external consultant since 1991.

The goals for this work with Aon Hewitt included:

• Examine the effectiveness of the current pay grade ranges
• Assess the overall internal equity and external market competitiveness of salaries
• Incorporate a more intentional emphasis on market pay comparisons
• Identify newer or more effective tools for the maintenance and evaluation of positions

As part of the study, Aon Hewitt conducted a competitive market analysis using extensive published salary surveys. Benchmark jobs were identified for positions occupied by 73% of our P&S non-contract staff. This market data helped Aon Hewitt shape a proposed pay matrix to match the composition of UNI's P&S positions. The benchmark positions were then slotted into the proposed pay matrix based on the market median while also considering internal equity. The remaining positions that were not able to be benchmarked were evaluated based on the responsibility/impact of the position, managerial scope, level of complexity as well as market sensitivity where appropriate (recruitment and retention challenges). These positions were then slotted into the pay matrix based on their correlation to the benchmark positions.

Market Analysis Outcome:

Aon Hewitt’s study concluded that overall, base pay for UNI’s P&S staff are within an acceptable market range, which is defined as plus or minus five percent of the market. To enhance our overall market position, UNI will address the five staff members whose pay falls below the new matrix minimums by increasing them to at least the minimum rate on July 1, 2018. A subsequent priority, as funding allows, will be to address individuals whose pay falls well below the market data. With the exception of the five individuals that are below the pay grade minimum, no other P&S staff will require an immediate increase in pay as a result of the study.

Pay Matrix Outcome:

Aon Hewitt’s study also concluded that the University's current pay grade and classification system is no longer serving the needs of the institution, primarily due to its lack of relationship to market data. As a result, HRS is in the process of implementing a new 13 grade, market-based pay matrix with an effective date of July 1, 2018. The new matrix, shown below, will be used for all P&S positions with the exception of athletic coaches and athletic staff who are on contract appointments.

	Pay Grade	First Third		Middle Third		Upper Third
Calendar Year 100%	115	$24,286	$30,762	$30,763	$37,238	$37,239	$43,714
	116	$27,929	$35,376	$35,377	$42,824	$42,825	$50,271
	117	$32,118	$40,683	$40,684	$49,247	$49,248	$57,812
	118	$36,936	$46,785	$46,786	$56,635	$56,636	$66,484
	119	$42,476	$53,803	$53,804	$65,130	$65,131	$76,457
	120	$49,909	$63,218	$63,219	$76,527	$76,528	$89,836
	121	$58,643	$74,281	$74,282	$89,920	$89,921	$105,558
	122	$68,906	$87,281	$87,282	$105,655	$105,656	$124,030
	123	$80,964	$102,555	$102,556	$124,145	$124,146	$145,736
	124	$97,157	$123,066	$123,067	$148,974	$148,975	$174,883
	125	$116,589	$147,679	$147,680	$178,770	$178,771	$209,860
	126	$139,906	$177,214	$177,215	$214,523	$214,524	$251,831
	127	$167,888	$212,658	$212,659	$257,428	$257,429	$302,198

The matrix is divided into ranges with the following general guidelines:

• First Third Range - the target pay range for early career staff and/or staff who are still developing and becoming proficient in their roles.
• Middle Third Range - the target pay range for mid-career staff who are also fully proficient in their jobs and consistently meeting performance expectations.
• Upper Third Range - the target pay range for highly skilled staff who are consistently high performing and typically have substantial time in the position.

Next Steps:

HRS is building the new pay matrix within the e-Biz system. We are also communicating information related to the new pay matrix, resulting procedures and how the new matrix impacts individual staff members through various channels including the following:

• An email with general information, similar to this email, was sent today to deans, directors and department heads.
• A presentation, open to all P&S staff, is being made to the P&S Council today at 1:30pm in Rod Library 301, which will focus on overall management of the new matrix and how it impacts individuals in various scenarios.
• HRS staff are attending division director’s meetings and the Dean's Council during the month of May to discuss how this impacts their management of compensation for P&S staff.
• HRS web site content will be updated with compensation and classification information by June 1.
• You will be informed of your new pay grade assignment in your FY19 salary letter in late June.

*Because of limited time resources, we would appreciate your attention to relevant communications in order to stay informed of the new matrix. Once you have received your salary letter, if you have further questions you may contact Melissa Engdahl, P&S Employment Coordinator at melissa.engdahl@uni.edu or 319-273-6300 or Lisa Frush, Employment Manager at lisa.frush@uni.edu or 319-273-6060.

Michelle
--
Director, Human Resource Services