FY 2018 PERFORMANCE-BASED AND MARKET RETENTION PAY PLAN.PDF

FY 2018 Performance-based and Market Retention Pay Plan
Initiating Department: Human Resources
Board of Supervisor’s Approval Date: 06/21/2017 (C-31-17-041-6-00)
I. Purpose
This discretionary plan helps address retention and recruitment issues that exist in departments
throughout the County and assists with incentivizing employees’ performance so that they are engaged
and continue to provide quality services to the residents of Maricopa County.
II. Applicability
This plan applies to all Maricopa County Elected Offices, appointed departments, and special districts as
well as the Judicial Branch. Administration of this plan for chiefs of staff and assistant chiefs of staff for
Elected Officials, and the direct reports to the Board and County Manager, shall be at the discretion of the
Elected Official or County Manager within allocated plan funds.
III. Plan
A. Departments have three tools to address their recruitment and retention issues:
1. Performance-based Retention Increases: Where higher performers earn more than
employees who are meeting expectations.
2. Critical Recruitment and Retention Increases: Address pay issues that impact retention
of a few high performers or the recruitment of a few difficult to fill vacancies.
a) Must establish that there is a critical recruitment and retention issue.
3. Priority Market Increases: Address pay issues that impact retention of a group of
employees or the recruitment of a group of difficult to fill vacancies.
a) Must establish that there is a priority market issue (e.g., significant recruitment and
retention issues that impact a critical and priority area).
B. Performance-based Retention Increase Eligibility Criteria
1. Be a full or part-time classified, contract or unclassified employee.
2. Continuously employed by the County in a regular non-temporary status for at least one
year as of June 30, 2018.
3. Must currently meet performance standards and have a performance appraisal completed
within FY 2017 or FY 2018 with a rating of meets/fully accomplished or higher.
a) Departments with employees on leave who do not have current performance
appraisals should contact Employee Compensation.
4. Employees who were promoted, transferred or voluntarily demoted are eligible as long as
they meet the other criteria.
5. Employees involuntarily demoted for disciplinary reasons on or after July 1, 2016 are not
eligible.
6. Employees who terminate employment before their pay increases are processed through
the payroll system are not eligible.
C. Critical Recruitment and Retention Increase/Priority Market Increase Eligibility Criteria
1. Be a full or part-time classified, contract or unclassified employee.
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FY 2018 Performance-based and Market Retention Pay Plan
2. Critical recruitment and retention increases and priority market increases may be given to
employees who have not been continuously employed by the County in a regular non-
temporary status for at least one year as long as they are meeting expectations.
3. Employees who, under this plan receive a critical recruitment and retention increase or
priority market increase prior to their year of continuous employment, may not be eligible to
receive an additional increase when they reach one year of employment as they received
their increase early.
D. Funding:
1. Up to two and a half percent (2.5%) of the budgeted regular salaries and associated
variable benefits for eligible employees may be used for Performance-based Retention
Increases, Critical Recruitment and Retention Increases, and Priority Market Increases.
The Budget Department will analyze the funding requirements of departmental plans and
submit an agenda to the Board of Supervisors to adjust appropriations as necessary to
provide budget capacity, where allowable and appropriate. Special revenue funds are
expected to pay for their awards where allowed.
2. In addition to using the two and a half percent (2.5%) funding mentioned above, departments
who establish a Critical Recruitment and Retention Issue or Priority Market Issue may apply
their own funding to help address these issues contingent upon their ability to demonstrate
a business need to resolve the issues and that the additional costs can be absorbed within
the department’s existing and anticipated future budget allocations.
Human Resources will review departments’ plans to validate that priority market or critical
recruitment and retention issues exist and to assess their impact on other departments. The
Budget Department will analyze departments’ proposed additional funding to determine if
the additional costs can be absorbed within the department’s existing budget allocations.
E. Effective Date
1. Performance-Based Retention Increases: For employees employed with the County
continuously for at least one year as of July 3, 2017, the effective date is July 3, 2017. For
employees who become eligible between July 3, 2017 and June 30, 2018, effective dates
will be at the beginning of the next pay period after their eligibility date.
Exception: Employees who become eligible between June 25, 2018 and June 30, 2018 will
have their increase effective June 25, 2018.
2. Critical Recruitment and Retention Increases and Priority Market Increases: For employees
receiving critical recruitment increases and retention increases or priority market increases
under this plan, effective dates will be at the beginning of the next pay period after
concurrence of their plan from Human Resources and the Budget Department.
IV. Implementation
A. Departments will be provided spreadsheets and are expected to verify that all eligible employees
are included and that employee-level information is correct.
B. The County Manager will receive a spreadsheet with the executives (deputy director and above)
for all of the appointed departments.
C. Increases can be given as a percentage of base pay or an hourly dollar amount.
D. One-time lump sums may be offered to employees who are at or above their range maximum.
E. Departments that vary increases for similarly situated employees with the same performance
rating need to explain their strategy and how fair and legally defensible practices were followed.
F. County Manager may approve variations to the plan that are within the plan’s allocated funding.
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