2015 FAS Staff Salary Review and Impact Award Process Memo
Transcription
2015 FAS Staff Salary Review and Impact Award Process Memo
2015 FAS Staff Salary Review and Impact Award Process Memo To: FAS Department Chairs, Administrative Deans, Center Faculty Directors, Center Executive Directors, Department Heads, Department Administrators, and FAS managers From: Chris Ciotti, Associate Dean for Human Resources Date: April 14, 2015 Re: FAS 2015 Staff Salary Review and Impact Awards Process for Non-Union Staff This memo outlines the 2015 staff salary review and impact award process for FAS exempt and nonHUCTW, non-exempt staff members. This year we are sharing this salary memo with all FAS people managers. This provides transparency into the decision-making processes for determining merit increases and for recommending impact awards. 1. Time frame: As per the last three years, this year’s salary review process is aligned as closely as possible with this year’s ePerformance process. • The performance review process begins on April 1, 2015, and extends until June 30, 2015. • The salary review process begins on May 4, 2015, and ends on May 29, 2015. 2. The salary review process — Consists of two parts: • A merit increase to base salary, effective July 1, 2015, and reflected in the July 10, 2015, paycheck. • Impact bonus awards for exceptional FAS performers—also to be reflected in the July 10, 2015, paycheck. 3. While the 2015 salary review and impact award processes are similar to prior years, there are several important changes this year: • The 2015 merit increase budget has been increased to 3.0% for this year (up from 2.5% last year). • This year, 3.0% will be the merit increase awarded to employees who consistently demonstrate effective performance. • Please limit the assessment of those whose performance has had a tremendous impact and value to FAS to 15% or less of your employees. Only these employees should be awarded 3.25% increases. • During the past few years, FAS managers have done an excellent job in meeting their merit increase budgets. This year we are asking you to continue to meet your merit budget and to align your performance assessments with your merit increases. 4. Dean Smith’s goal for the FAS has been for managers to provide credible performance assessments and to truly align pay with performance. • To date, FAS assessments have been out of alignment with the rest of Harvard and with other US employers. • FAS assessments as compared to the rest of Harvard: Harvard School FAS HSPH SEAS Harvard Average HBS HKS HMS • 2014 FAS assessments as compared to average performance assessments of other US employers (including non-profits): 60% Perecnt of Employees US Average Performance Assessment 55% FAS Performance Assessment 41% 45% 27% 0% • Average Assessment 4.22 4.16 4.09 3.91 3.72 3.57 3.27 2% 0% 8% 1% 12% 8% This year, when our merit budget (at 3%) is higher than in recent years, provides us with a good opportunity to truly differentiate performance and to align pay to performance. This year’s 3% merit increase amount is higher than the highest available increase last year (2.75%). 2 5. Given this, starting this year, FAS managers are asked to approach assessments differently than prior years. We are working toward a “new normal” in this respect and we need your help. How to approach this: • When you assess the performance of your employees, evaluate the performance based on the description attached to the assessment, not on the assessment label itself. • Your direct reports whose performance is best described as: “Consistently demonstrates effective performance…reflective of a fully qualified and experienced individual…who gets the job done and effectively prioritizes work....Achieves valuable accomplishments in several critical areas of the job” should be awarded a merit increase of 3% this year. • Your direct reports who: “Consistently demonstrate high levels of performance…[and who are] Viewed as a role model in position…[and who] demonstrates high levels of effort, effectiveness, and judgment with limited or no supervision” should be awarded a merit increase of 3% this year, as well. • Only those few employees whose: “contributions have tremendous and consistently positive impact and value to the department and/or the organization. [Who have] unique, often one-time achievements that measurably improve progress towards organizational goals. [Those who are] easily recognized as a top performer compared to peers. Viewed as an excellent resource for providing training, guidance, and support to others. Demonstrates high level capabilities and proactively takes on higher levels of responsibility” should be awarded 3.25%. At a divisional level, no more than 15% of merit increases should be at 3.25%. • Your divisional leadership will work with you, as appropriate, to calibrate your assessments (and merit increases) across your division. Further guidance regarding calibration can be found here. • For any employee whose performance merits a 3.25% increase, the manager will need to seek approval from their divisional administrative dean or unit head, as appropriate. 3 6. Why focus on assessments? • Because it will enable FAS managers to provide true feedback and performance coaching to FAS employees. (Our engagement survey data has consistently shown that FAS staff are looking for credible feedback and performance coaching.) • Because it will allow managers to effectively identify their strongest employees. • Because it will enable the FAS to truly pay for performance. (“My performance has an impact on my pay” has been the single best predictor of engagement at Harvard.) • Because the data shows us that we are out of alignment with the rest of Harvard and with the majority of other US employers. 7. Steps before making final decisions. • Before finalizing performance assessments and associated salary increase recommendations, we strongly encourage you to calibrate, as appropriate, with other managers in your unit or department to ensure consistency and fairness. • Important: To provide larger increases to those few employees who are truly leading performers, managers should offset lower increases for those performers who are building consistent performance. 8. Salary Review Program – Merit increase to base salary. • The salary review program applies to all benefits-eligible, exempt staff and non-HUCTW, nonexempt staff hired before April 1, 2015. • The salary program does not apply to HUCTW staff members whose salary increases will be negotiated between the University and the union in upcoming negotiations. 4 Assessments from ePerformance Review Form Merit Increase Consistently demonstrates effective performance. Performance is reflective of a fully qualified and experienced individual in this position. Viewed as someone who gets the job done and effectively prioritizes work. Contributes to the overall objectives of the department and/or the organization. Achieves valuable accomplishments in several critical areas of the job. (Solid performance) 3% increase (Most FAS employee performance is most likely best described by this description.) Consistently demonstrates high level of performance. Consistently works toward overall objectives of the department and/or organization. Viewed as a role model in position. Demonstrates high levels of effort, effectiveness and judgment with limited or no supervision. (Strong performance) 3% increase (A smaller proportion of employees perform as role models in their positions.) Contributions have tremendous and consistently positive impact and value to the department and/or the organization. May be unique, often one-time achievements that measurably improve progress towards organizational goals. Easily recognized as a top performer compared to peers. Viewed as an excellent resource for providing training, guidance, and support to others. Demonstrates high level capabilities and proactively takes on higher levels of responsibility. (Leading performance) 3.25% increase (Reserve this increase amount for a small number of employees performing at a higher level.) Working towards gaining proficiency. Demonstrates satisfactory performance inconsistently. Achieves some but not all goals and is acquiring necessary knowledge and skills. For new employees: this rating can be used when an employee is still coming up to speed with their job duties as appropriate, based on their tenure in the position. (Building Consistent Performance) 1% increase (Most employees new to their roles fall into this category.) The quality of performance is inadequate and shows little or no improvement. Knowledge, skills and abilities have not been demonstrated at appropriate levels. (Not meeting expectations) 0% increase • Department Administrators should enter the proposed salary increase percentage in ASPerIN which aligns with your employee’s performance assessment. Departments may enter proposed increases of: 0%, 1%, 3%, or 3.25% for staff members. Percentage increases in other amounts will not be accepted into the system. • Once all increase recommendations have been entered, they may be adjusted, if needed, so that FAS can meet its 3.0% FAS merit increase budget. 5 9. Timeframe for processing salary increases • Salary increase recommendations must be submitted (via ASPerIN) between Monday, May 4, 2015, and Friday, May 29, 2015. (We recognize that not all managers have access to Asperin for the purposes of inputting merit increases.) • Instructions for processing salary increases using ASPerIN are available to managers on the FAS HR website at http://www.hr.fas.harvard.edu/salaryreviewprocess. For those who are uncertain about using ASPerIN for this process, please contact your FAS HR consultant. • In situations where a proposed increase would increase a staff member’s salary beyond the maximum of the Harvard-wide salary range for their job level, the staff member will receive a bonus in lieu of an increase for any excess amount over the salary range maximum. • If you have eligible staff with appointments that end on or before June 30, 2015, please use the salary increase process to process their reappointments. NOTE: You must set the new salary for these reappointed employees when making the reappointment; you will not be able to do so on the salary increase worksheet. Important: Prior to reappointing, be sure that you have requested and received approval to do so via the Position Management Form (PMF). • Salaries for staff departing from FAS prior to July 1, 2015, will be excluded from the salary review process. Please let your HR consultant know if you are aware that someone will be departing from FAS prior to July 1, 2015, and should therefore be removed from this year’s salary review process. 10. Salary decisions regarding less than satisfactory performance • A 1% increase amount allows you to differentiate the performance of those who are appropriately building consistent performance from those who are not meeting expectations. • Staff members who are part of a formal or informal performance discipline process or currently on a performance improvement plan should receive a 0% increase. • It is important to communicate to employees the reasons why they are not receiving an increase or why they are receiving a 1% increase. Please work closely with your HR consultant as you make these determinations and as you communicate these decisions to your employees. • Be sure to inform any staff member who will not receive an increase, or who will receive a 1% increase, well in advance of the effective date of the increases (July 1, 2015) so there are no surprises. 11. Suspension of other salary change requests • To facilitate the salary review process, all departments should refrain from submitting other salary change adjustments between April 14, 2015, and July 1, 2015. 6 12. Setting salaries for newly hired staff or staff moving into new positions • New FAS staff members (internal or external to Harvard) hired or changing jobs within FAS on or after April 1, 2015, are not eligible for a July 1 merit increase. This clarification will be explicitly specified in all FAS offer letters. 13. Salary increase letters • After June 19, 2015, a Microsoft Word document template will available on the FAS HR website. Managers should use this template to provide a hard copy letter of the merit increase decision to each employee and to place a copy of the letter into each employee’s personnel file. As over the past several years, FAS managers will generate salary letters; they will not be generated and sent from FAS HR. 14. Impact Awards • Impact awards can be awarded to a maximum of 15% of eligible FAS staff. • Each FAS division/area will be allotted a certain percentage of impact bonus awards based on the number of eligible FAS staff in each division/area. All FAS departments should recommend eligible employees for an award based on the following criteria: o Benefits-eligible, full-time or part-time staff (a pro-rata amount will be awarded to parttime employees) o Exempt or non-HUCTW, non-exempt staff o Hired as of July 1, 2014 o Pay grades 47 through 61 o Employee performance in FY15 meets or exceeds the following criteria: A strong collaborator who has consistently exhibited sustained, superior performance with exceptional effectiveness. Given the employee’s professional conduct and the results produced, she/he is recognized as a role model in her/his position. Someone who delivered contributions that were visible, measureable and broadly acknowledged by colleagues. This individual demonstrates a high degree of good citizenship and an exemplary work ethic to meet the objectives of her or his area and of FAS. This person’s performance consistently surpassed expectations in the face of significant challenges in FY15. • While there may be some exceptions, in most situations, impact awards should be granted to employees whose performance is leading. 7 15. Process for submitting impact award recommendations • Impact award recommendations should be submitted online at https://harvard.az1.qualtrics.com/jfe/form/SV_eyD8CEoHUUG69lH from Monday, May 4, 2015, through Friday, May 29, 2015. • All recommendations will be forwarded to the appropriate administrative dean for review. FAS administrative deans will make final recommendations to Dean Smith within their given allotment. • Dean Smith will determine the final impact award recipients and FAS HR/Finance will process the bonus awards. • Department administrators may also recommend an impact award to eligible FAS staff outside of their organization that support them in a cross-functional capacity. (For example, an academic department may choose to recommend the FAS Finance member who supports their area.) • While FAS managers are responsible for recommending employees for impact awards, final decisions on what to submit to Dean Smith will be made at the Adminstrative Dean level. • Generally, for department administrators, award recommendations will be made by the administrative dean and/or the faculty chair/center director, as appropriate. • Since impact bonus awards are intended to recognize truly exceptional accomplishments within FAS, a department’s review of staff performance may result in no recommendations. • Keep in mind, there are performance situations that occur during the year that may warrant recognition with a smaller, local bonus funded at the departmental level, in accordance with the FAS local-level bonus guidelines. Please contact your HR consultant to discuss the uses of local bonus awards. 16. Funding and timing of impact awards • Impact bonus awards will be centrally funded. They will not be allocated from your departmental budget. • Impact bonus awards will be reflected in the July 10, 2015, paychecks. 17. Questions and Support • If you have questions on any of the above information, please contact your FAS HR consultant. • If you are unsure as to whom your HR consultant is, please call 495-1592 or review the FAS HR website at http://hr.fas.harvard.edu/people-taxonomy/consultants 8 FAS HR Consultants Name Ann Marie Acker Anna Anctil Bob Bellantuoni Gary Cormier Andrea Kelton-Harris Aatiyah Paulding Elise Sacchetti Kathy Santoro Etaine Smith Sandy Stergiou Phone (617) 495-5532 (617) 496-2379 (617) 496-1150 (617) 495-5571 (617) 496-3141 (617) 496-5575 (617) 495-7915 (617) 495-4275 (617) 496-9380 (617) 496-4039 E-mail aacker@fas.harvard.edu anctil@fas.harvard.edu rbellantuoni@fas.harvard.edu gcormier@fas.harvard.edu alharris@fas.harvard.edu apaulding@fas.harvard.edu esacchet@fas.harvard.edu ksantoro@fas.harvard.edu etainesmith01@fas.harvard.edu stergiou@fas.harvard.edu 9