Compensation Plan Guidelines

An employee’s pay is normally determined using the following guidelines:

• A recommended pay range is calculated by Human Resources using two different mathematical formulas creating a minimum and maximum pay rate.
• The mathematical formulas are based on these salary calculation rules:
  
  • Education credits = years of education
  • Specific experience credits = one credit per year of specific work experience minus the minimum required as defined by the career band
  • Related experience credits = one credit per year of related work experience minus the minimum required as defined by the career band divided by two
• The recommended pay range is given to the hiring manager along with any relevant equity or market information to assist them in determining an employee’s pay rate. The Human Resources Office is always happy to receive additional relevant market data for specific positions from hiring managers to assist in their development of pay range recommendations.
• Pay rates outside the human resources-recommended range (above or below) require hiring departments to provide documentation substantiating the rationale of the request before the proposal can be reviewed by the provost. 

These guidelines apply to the following events:

• New hires
• Internal promotions
• Reclassifications including both higher and lower career band moves
• Lateral transfers (if applicable after review)

**Additional pay is recommended based on the difference between the employee’s current pay range and the pay range calculated at the higher career band.