Human Resources Manual
| Policy No.: | 7-1 | This policy applies to: | |
| Policy Name: | Salary Administration |  |
Non-exempt staff |
| Effective Date: | 08/01/04 | |
Exempt staff |
| Revised: | Faculty | ||
Policy
It is the policy of Loyola University New Orleans to establish and maintain salary levels which reflect position responsibilities, are competitive with the external market, and are capable of attracting, retaining, and motivating competent employees who are qualified to contribute to attaining the University’s mission.
Loyola’s Salary Administration Program establishes and maintains sound, practical guidelines and procedures for effective salary administration. These guidelines and procedures are designed to create a better understanding of the principles of salary administration and to permit delegation of authority and responsibility for the administration of salaries within the framework of the salary policy.
Loyola’s Salary Administration Program strives to provide:
- a job classification system based on a market pricing model which systematically results in fair and consistent assignment of job grades;
- a program that is understood and supported by top administrators;
- a program that is easily explained and justified to employees and supervisors within a system of checks and balances;
- a system that considers employment practices and trends in the competitive labor market; and
- a system that is easy to administer.
Elements of Salary Administration Program
The basic elements of Loyola’s Salary Administration Program consist of:
Position Definition
Establishes written position descriptions which define the duties and responsibilities of each position.
Salary Ranges
Establishes the minimum and maximum dollar limits to be paid for each position classified within a given pay grade based on competitive salary information and the relative value of each position to the university.
Salary Reviews and Adjustments
Establishes the criteria and procedures for employee salary reviews and salary adjustments.
All salary administration decisions are subject to budgetary considerations.
Procedure
To ensure the successful implementation and administration of the Salary Administration Program, the following have been assigned specific areas of responsibility:
President’s Cabinet
Annually approves salary structure and salary increase budgets.
Reviews and approves adjustments to the salary grade structure.
Reviews and approves all exceptions to salary policies, as appropriate, for
all positions.
Reviews and rules on disputed new position grading or re-classification requests.
Director of Human Resources
Coordinates development and implementation and administration of the program.
Works with departments to ensure that compensation policies are communicated,
understood and applied. All exceptions will be brought to the President’s
Cabinet at designated times for approval.
Reviews and approves (or disapproves) all recommended changes in the grades
of current jobs and assignment of new jobs into grades.
Ensures that individual employee annual and promotion increases are within
authorized guidelines. Reviews and evaluates out-of-policy salary activity
in coordination with the President’s Cabinet and makes recommendations
to the President.
Reviews and recommends annual salary structure adjustments and salary increase
budgets.
Managers and Supervisors
Maintain a thorough knowledge of salary administration policies and procedures
and apply them in recommending adjustments.
Keep employees informed on a timely basis of all aspects of the Salary Administration
Program and related procedures.
Consider performance of each subordinate as part of the compensation review
process.
Advise Human Resources of significant changes in the scope or responsibility
of subordinate positions.
Conduct an annual formal performance review for each employee under their
supervision.
Discuss all salary increases individually with each employee under their
supervision, connecting performance to salary increase.
