[NCASG] Minimum Wage Increase and Salary Compression

Malatesta - DPA, Brandy brandy.malatesta at state.co.us
Mon May 10 09:23:16 MDT 2021 

Good Morning!  I apologize for the delay.  Please see responses from
Colorado below.


   1. Does your state have a compensation philosophy?  If yes, please share.
      The State of Colorado's compensation philosophy is defined in C.R.S.
   24-50-104 and requires the State to provide prevailing total compensation
   to ensure that the State is able to recruit, reward and retain a qualified
   workforce.


   1. Does your state have any type of plan or guidance related to salary
   determination?  If yes, please share.  Current rule suggests hiring at
   the minimum unless difficulty to fill is proven.  We are currently working
   on standardized tools due to equal pay for equal work.
   2. Does your state have any type of plan or guidance to address salary
   compression?  If yes, please share.  Current rule defines compression as
   when longer-term or more experienced employees are paid lower in the range
   for the class than new hires or less experienced employees over a period of
   time resulting in documented retention difficulties.
   3. Does your state modify its pay range minimum and maximum amounts
   annually?  If so, how are the amounts determined?  On average yes.  This
   increase is decided by the legislative joint budget increase and is
   typically 2% to align with World at Work salary range projection increases.
   4. What type of classification system does your state utilize (i.e.,
   class-based, broadband, etc.)?  How long has it been in effect?  Class-based
   with a few of the classes being broad banded meaning that we have a
   Therapist that is OT, PT, Speech/Language combined.  A long time - sorry I
   don't know specifically.
   5. What types of benefits and/or challenges do you experience with your
   current classification system?  Is there a system you have used
   previously that you prefer?  Challenges are market pricing due to the
   example above.  We have classifications that have so many different
   functions in one.
   6. Has your state recently undergone a classification and/or
   compensation study?  If so, what were the key take-aways, and who completed
   the study?  We undergo compensation studies every year.  Linking here
   <https://dhr.colorado.gov/dhr-resources/annual-compensation-reports> to
   the website.  They are conducted by a 3rd party vendor.  We are currently
   using Mercer and have used Gallagher in the past.
   7. What vendors have you utilized for assistance regarding statewide
   classification and compensation, if any?  Mercer and Gallagher


*Brandy B. Malatesta, MPA, CCP, SHRM-CP*

*Senior Manager, Compensation*
P 303.866.5383  |  C 303.919.0507
1525 Sherman Street, Denver, CO 80203
brandy.malatesta at state.co.us  |  dhr.colorado.gov
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|  careers.colorado.gov
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On Thu, Apr 29, 2021 at 8:43 AM Boswell, Jennifer <
Jennifer.Boswell at dms.fl.gov> wrote:

> Good morning colleagues,
>
>
>
> The state of Florida is in need of your assistance.  In November’s general
> election, our voters approved a constitutional amendment raising the
> state’s minimum wage from $8.65 per hour (effective January 1, 2021) to
> $10.00 per hour effective September 30, 2021; and raising it an additional
> $1.00 per hour every September 30th until it reaches $15.00 per hour.
> Earlier this week, a legislative proposal was released including a minimum
> wage increase to $13.00 per hour on July 1, 2021, and tasks each agency
> with developing a plan to address salary compression as a result of
> implementing the increase.
>
>
>
> Any guidance you can provide, including links and or documents, in
> reference to the following questions would be greatly appreciated.
>
>
>
>    1. Does your state have a compensation philosophy?  If yes, please
>    share.
>    2. Does your state have any type of plan or guidance related to salary
>    determination?  If yes, please share.
>    3. Does your state have any type of plan or guidance to address salary
>    compression?  If yes, please share.
>    4. Does your state modify its pay range minimum and maximum amounts
>    annually?  If so, how are the amounts determined?
>    5. What type of classification system does your state utilize (i.e.,
>    class-based, broadband, etc.)?  How long has it been in effect?
>    6. What types of benefits and/or challenges do you experience with
>    your current classification system?  Is there a system you have used
>    previously that you prefer?
>    7. Has your state recently undergone a classification and/or
>    compensation study?  If so, what were the key take-aways, and who completed
>    the study?
>    8. What vendors have you utilized for assistance regarding statewide
>    classification and compensation, if any?
>
> Thank you all for your assistance,
>
>
>
> *Jennifer Boswell *| *Division of State Human Resource Management*
>
> 850.488.2445 (office)
>
> Florida Department of Management Services
>
> *We Serve Those Who Serve Florida*
>
>
>
>
> <https://urldefense.proofpoint.com/v2/url?u=https-3A__www.dms.myflorida.com_&d=DwMFAg&c=sdnEM9SRGFuMt5z5w3AhsPNahmNicq64TgF1JwNR0cs&r=VYLS_Ng8Jdfy4NIYlZDql1W4eqi-x0hmuAYND64FY9k&m=D-mfopRzNPR2VUcVFo4Do7BsQtPFE7New3Ftc7BDu-I&s=wH4yf_vpvCNByELPL4xIEEQ7YPHz66a62yqUMCxsq2Q&e=>
> .
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>
>
>
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