Title:
Consider and take action on a resolution adopting an updated League City employee pay scale, an updated League City civil service police officer pay scale, and an updated League City EMS pay scale, beginning January 2, 2023 (Director of Human Resources and Civil Service)
Background:
Approval of this item will approve the adaptation, beginning January 2, 2023, of an updated League City employee pay scale, League City civil service police officer pay scale, and League City EMS pay scale.
Evergreen Solutions, LLC was hired in February of 2022 to conduct a classification and compensation study for the City of League City. The study began in earnest, in April, with the classification analysis of data obtained from job assessment tools (JAT’s) completed by League City employees. These JATs were then validated by the respective employee’s supervisor’s, analyzed by Evergreen Solutions, and a summary of the JAT scoring was returned in July.
Following changes recommended by League City to the JAT summary based on our working knowledge of the positions, a market survey was conducted by Evergreen of our target cities, where benchmark data was obtained. Much of this data was readily available as Evergreen was working with or had just completed salary surveys with other cities in our market. The benchmark data and a draft compensation solution were provided to League City in August.
The compensation solution contained recommended pay scale adjustments and determined costs of various options for adjusting salaries to market. The class parity method of adjustment was chosen as this method addresses compression based on time in classification, adjusts for market, and credits employees for time in their classification.
Survey and Pay Grade Assignments
The following cities were identified as targets for benchmark analysis: Allen, Alvin, Baytown, Cedar Park, Conroe, Denton, Friendswood, Galveston, La Porte, Missouri City, Pasadena (for PD only), Pearland, Round Rock, Sugar Land, Webster, Texas DOT (at Evergreen’s recommendation). Texas City and Dickinson were also selected as target cities, but Evergreen could provide no information on Dickinson, and Texas City had old data as Evergreen was currently conducting a survey for them as well.
In general, League City staff accepted Evergreen’s recommendations for the position grade assignments save a few outliers, most notably EMS and telecommunicators. These recommendations led to an 8.5% increase to the midpoints of the majority of pay grades, tapering down as the pay grades increased past the $82,000 midpoint. The pay bands also increased from 40% in 2022 to 45% recommended by Evergreen.
Pay Grade 101, our starting pay grade, was brought up to a $15.00/hr minimum and all positions that started below the $15.00/hr threshold were brought up into this pay grade inflating the grade increase.
Emergency Medical Services (EMS)
EMS has historically been difficult to benchmark, and Evergreen was in agreement, as EMS services report wages, but use varying hours to arrive at the hourly or annual rates based on various work schedules. League City EMS works an average of 50 hours per week. Pearland, Baytown, and La Porte work an average of 56 hours per week. The conversions based on the number of hours worked and whether annual or hourly rate is utilized makes comparison difficult. After further analysis, Evergreen was able to advise a starting rate of $21.82/hr for paramedics. City staff then used this information to reformulate the EMS pay grade chart and conduct class parity assignments for EMS personnel based on the new pay scale. This resulted in a $3.43 increase to the hourly minimums for all non-exempt EMS positions on the pay scale and resulted in an average increase of $3,361 ($4,465.76 median) increase for non-exempt EMS employees. EMS will also begin 48-hour work weeks when the pay change is implemented which brings starting pay for paramedics to $59,001.28 annually, up from $52,597.12 (50-hour work week).
Telecommunicators
Shortly after beginning the survey, telecommunicator staffing dropped significantly. Evergreen was able to provide League City some information regarding starting pay for telecommunicators in order for us to provide a mid-year adjustment to starting salaries for telecommunicators. In the solution provided by Evergreen, telecommunicators were slated to receive the same adjustment (8% to midpoint of pay grade) as the remainder of the city employees. At the behest of the League City Police Officers Association and city staff’s own comparisons, further consideration was given to the starting rates of telecommunicators to maintain competitiveness.
Starting pay for telecommunicators was raised from $20.03/hr (which was raised from $19.03 earlier this year) to $23.00/hr. An additional $0.50 will be added when telecommunicators obtain their certifications and complete their probationary period. A career ladder is currently in place for telecommunicators that moves employees along the pay grade at a faster rate than merit to allow for recognition of training, certifications, and help eliminate employee plateauing. The increase to $23.00 as a starting rate eliminates the first step of the career ladder which called for a 15% increase to pay after two years. This change immediately boosts recently hired and newly hired telecommunicators. To prevent tenured employees from being overtaken in the career ladder by these changes, an increase of 2% will also be given to all telecommunications staff not affected by the initial increase.
These changes make us more competitive, and slightly ahead of Galveston County, ahead of Pearland, and slightly behind but still competitive at the low end with Sugar Land. Sugar Land does still overtake our telecommunicator salaries at the high end.
With the changes to the pay grades by Evergreen, the maximum amount for telecommunicators was also increased which allows for progression for any telecommunicators that were previously at maximum.
Civil Service
For civil service employees, Evergreen recommended a 7%, across the pay scale increase. This amount includes any COLA adjustment. A follow-up analysis by League City staff confirmed that this increase would retain our competitiveness in the area. We would remain comparable if not better compensation-wise with Sugar Land and Pearland, and competitive with Pasadena.
Impact
The completed survey, with the adjustments noted above, will have a direct impact on 347 League City employees. The estimated total cost to League City, with an implementation date of January of 2023, would be $1,131,281.
Lastly, we would recommend using the remaining funds, along with the budget recommended 3% COLA and 2% merit, to provide a pool of funds for the general government (non civil service) of approximately 5% merit.
Attachments:
1. Data Sheet
2. Proposed Resolution
3. Exhibit A1 - Proposed 2023 Pay Scale
4. Exhibit A2 - Proposed 2023 PD Pay Scale
4. Exhibit A3 - Proposed 2023 EMS Pay Scale
FUNDING
{X} Funds are available in the FY2023 Adopted Budget for implementation as proposed above.
STRATEGIC PLANNING
{X} Addresses Strategic Planning Critical Success Factor # 5: Trained, Committed and Valued Workforce