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Setting the Hiring Range and Initial Pay

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Setting the Hiring Range and Initial Pay

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    1. Setting the Hiring Range and Initial Pay Doyce – Classification System I’m going to talk about pay ? separate from the classification system. LOOKED LIKE -----? Doyce – Classification System I’m going to talk about pay ? separate from the classification system. LOOKED LIKE -----?

    2. Old System Old System = Pay imposed on grades Pay tied to grades Min – Mid – Max, etc. Move through system by moving grades Old System Old System = Pay imposed on grades Pay tied to grades Min – Mid – Max, etc. Move through system by moving grades

    3. Pay is No Longer Constrained by Structure Pay Grades (Translated to) Ranges (Determined) Employee’s Pay Old System ? Higher grades = More Pay NO LONGERPay Grades (Translated to) Ranges (Determined) Employee’s Pay Old System ? Higher grades = More Pay NO LONGER

    4. Setting the Hiring Range New System ? We set hiring Ranges ? Joint Effort: HR & Unit 3 things feed hiring range: Market Information (What does the Market Pay?) Internal Comparisons – Similar Jobs Across Campus (Internal Mkt) Value Added – (How critical a position is to a department) All this is Funneled through – Budget which is biggest constraint – Most likely All these items work together to help set a hiring range One Key to this system is setting this initial hiring range – starting point is here that all future pay decisions are based on LOOK AT THESE IN MORE DEPTH ---?New System ? We set hiring Ranges ? Joint Effort: HR & Unit 3 things feed hiring range: Market Information (What does the Market Pay?) Internal Comparisons – Similar Jobs Across Campus (Internal Mkt) Value Added – (How critical a position is to a department) All this is Funneled through – Budget which is biggest constraint – Most likely All these items work together to help set a hiring range One Key to this system is setting this initial hiring range – starting point is here that all future pay decisions are based on LOOK AT THESE IN MORE DEPTH ---?

    5. Market Information Survey reflects relevant labor market Use salary surveys Economic Research Institute CUPA-HR (Big 12) Other Match job to similar survey job Survey has to reflect the relevant market – Geographic, Field, etc. - For example: - Recruit Custodians – Locally - Recruit Lab Tech’s – State wide - Directors – Nationally or in Big 12 Variety of surveys used ERI (Economic Research Institute) College and University Professional Assoc (CUPA – HR) – Association of College and University HR professionals - Includes survey on the big 12 Other – Some depts may have specialized survey – Ex: College of Vet Med Match job to similar job in survey Survey has to reflect the relevant market – Geographic, Field, etc. - For example: - Recruit Custodians – Locally - Recruit Lab Tech’s – State wide - Directors – Nationally or in Big 12 Variety of surveys used ERI (Economic Research Institute) College and University Professional Assoc (CUPA – HR) – Association of College and University HR professionals - Includes survey on the big 12 Other – Some depts may have specialized survey – Ex: College of Vet Med Match job to similar job in survey

    6. Internal Comparison Pay for similar positions on campus Determining similar positions on campus Within Department Within College/Division University-wide How a position relates to other positions in a department Similar positions – gives you something to compare to. We can Compare in a variety of ways - By Dept - By College/Division - University-wide Relating to positions w/in dept – look at same positions - In relation to other positions ? EXAMPLE: Lab Tech I to a Lab Tech 2 for instance. Similar positions – gives you something to compare to. We can Compare in a variety of ways - By Dept - By College/Division - University-wide Relating to positions w/in dept – look at same positions - In relation to other positions ? EXAMPLE: Lab Tech I to a Lab Tech 2 for instance.

    7. Value Added How critical is the position to your mission? Look at: How would department function without this position? What are the consequences to the department if this position is not filled? How many of a given position is in the department? Value Added – (How critical a position is to a department) Explain what Value added is Emphasize: OSU has always taken this into account ? Pay exceptions, etc. Same as before - NOW we are - Formally recognizing that same position is not weighted same for every dept. This is for position – Not person Things to look at: - How would department function without this position? - What are the consequences to the department if this position is not filled? - How many of a given position is in the department? – Spread the work around Give an example: Harmon’s Example - New Grant - Need Lab Tech to make the success of the entire contract Value Added – (How critical a position is to a department) Explain what Value added is Emphasize: OSU has always taken this into account ? Pay exceptions, etc. Same as before - NOW we are - Formally recognizing that same position is not weighted same for every dept. This is for position – Not person Things to look at: - How would department function without this position? - What are the consequences to the department if this position is not filled? - How many of a given position is in the department? – Spread the work around Give an example: Harmon’s Example - New Grant - Need Lab Tech to make the success of the entire contract

    8. Budget May be a constraint NOT necessarily more money Set range that can be funded Budget is biggest constraint – Most likely You’re not going to get a bigger budget with the new plan. Not everyone is going to get a raise!!!! - Supervisors need to address any misconceptions about this!!!!! Depts. need to ? Fund the range they set Gives you flexibility If system works – when the budget comes back you will have flexibility to pay the people you want to hire. Depts. need to consider the budget when they set ranges. Budget is biggest constraint – Most likely You’re not going to get a bigger budget with the new plan. Not everyone is going to get a raise!!!! - Supervisors need to address any misconceptions about this!!!!! Depts. need to ? Fund the range they set Gives you flexibility If system works – when the budget comes back you will have flexibility to pay the people you want to hire. Depts. need to consider the budget when they set ranges.

    9. Set the Hiring Range Looked at all the factors and set a hiring range This is amt depts. live by - this is what is posted - this is what is paid Usually 15% spread Key to this system is setting this initial hiring range – starting point is here that all future pay decisions are based on Looked at all the factors and set a hiring range This is amt depts. live by - this is what is posted - this is what is paid Usually 15% spread Key to this system is setting this initial hiring range – starting point is here that all future pay decisions are based on

    10. Recruit for Position Post the position Review applications Request diversity information Interview applicants Check references Identify candidate you want to hire The Range is Set ? Now what do we do? - fill the position - Post the position - Review applications - Interview applicants - Identify candidate you want to hire The Range is Set ? Now what do we do? - fill the position - Post the position - Review applications - Interview applicants - Identify candidate you want to hire

    11. Now you know who you want to hire You Weigh the qualifications of the applicant Look @: - Education - Certifications - Years of Experience - Type of experience - Any Professional/Community Involvement Determine where in the range you want to pay them. Lets Look @ EXAMPLE ---?Now you know who you want to hire You Weigh the qualifications of the applicant Look @: - Education - Certifications - Years of Experience - Type of experience - Any Professional/Community Involvement Determine where in the range you want to pay them. Lets Look @ EXAMPLE ---?

    12. Employment Representative (Administrative Support Contributor) Minimum Qualifications 2 yrs post secondary & 2 yrs exp - OR HS/GED and 4 yrs exp Preferred Qualifications Bachelors degree 2 years of experience Direct staffing experience HR ? Employment Rep Duties Post jobs for recruitment Collect job applications and forward to department Help departments recruit applicants Test applicants Ensure staffing process complies with the law and OSU policy Minimum Qualifications ? Min required by structure 2 yrs post secondary & 2 yrs exp - OR HS and 4 yrs exp Preferred Qualifications ? What we really want person to have Bachelors Degree 2 years of experience Direct Staffing ExperienceHR ? Employment Rep Duties Post jobs for recruitment Collect job applications and forward to department Help departments recruit applicants Test applicants Ensure staffing process complies with the law and OSU policy Minimum Qualifications ? Min required by structure 2 yrs post secondary & 2 yrs exp - OR HS and 4 yrs exp Preferred Qualifications ? What we really want person to have Bachelors Degree 2 years of experience Direct Staffing Experience

    13. Employment Representative: Market Information Relevant Market: Stillwater, OK Recruit Locally ? Stillwater Market Economic Research Institute (ERI) - 10th = $11.70 - 90th = $17.49 - Median = $14.19Recruit Locally ? Stillwater Market Economic Research Institute (ERI) - 10th = $11.70 - 90th = $17.49 - Median = $14.19

    14. Employment Representative: Internal Comparison Comparison for similar positions Employment Rep is - only in HR - Lowest pd. = $10.82 - Highest pd. = $11.95 - Avg = $11.30 In this Example we didn’t have to really look at College/Division and University-wide for these positions but in a lot of positions we would. Fictitious data – By the way ? Comparison for similar positions Employment Rep is - only in HR - Lowest pd. = $10.82 - Highest pd. = $11.95 - Avg = $11.30 In this Example we didn’t have to really look at College/Division and University-wide for these positions but in a lot of positions we would. Fictitious data – By the way ?

    15. Employment Representative: Internal Comparison Comparison to other positions in Dept. Looking at consistency b/w positions It fits okay in relation to others in dept. – based on level of work. - Pay for work Employment Rep does is consistent with the pay for what an Employee Svcs Rep does.Comparison to other positions in Dept. Looking at consistency b/w positions It fits okay in relation to others in dept. – based on level of work. - Pay for work Employment Rep does is consistent with the pay for what an Employee Svcs Rep does.

    16. Employment Representative: Value Added Limited due to: Maintenance position with little direct emphasis on department’s top priority goals Three positions in department Limited Value Added - Maintenance position not directed toward main department goal - 3 Positions – Spread the work Limited Value Added - Maintenance position not directed toward main department goal - 3 Positions – Spread the work

    17. Employment Representative: Budget Considerations How much is budgeted?: $12.45 hourly Are there additional funds in current year?: Unlikely Are any changes in budget expected?: Maybe Amt budgeted: $11.57 Additional Funds: Yes Budget Changes: Yes, Cuts Keep these in mind when building rangesAmt budgeted: $11.57 Additional Funds: Yes Budget Changes: Yes, Cuts Keep these in mind when building ranges

    18. Employment Representative: The Range Hiring Range: $10.95 – $12.59 We set range: - $11.25 - $12.94 - 15% spread We set range: - $11.25 - $12.94 - 15% spread

    19. We have top notch candidate in mind: - Education – Bachelors - Experience – 3 yrs - Type of Experience – Staffing Agency Weigh the qualifications of the applicant to see where in the range we want to pay them. We determined to pay them above mid point or on the higher end of the range.We have top notch candidate in mind: - Education – Bachelors - Experience – 3 yrs - Type of Experience – Staffing Agency Weigh the qualifications of the applicant to see where in the range we want to pay them. We determined to pay them above mid point or on the higher end of the range.

    20. Employment Representative: Applicant Offer Offer: $12.45 Make Offer - $12.45 Are there any Questions???? Introduce Christa ? Formalized PlansMake Offer - $12.45 Are there any Questions???? Introduce Christa ? Formalized Plans

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