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HomeMy WebLinkAboutCouncil Agenda StatementCITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 2, 2014 AGENDA ITEM NO. ITEM TITLE: Resolution of the City Council of the City of National City approving the compensation plan for the unrepresented Confidential employee group. PREPARED BY: Stacey Stevenson PHONE: 336-4308 EXPLANATION: See attached staff report DEPARTMENT: Human Resources APPROVED BY: FINANCIAL STATEMENT: ACCOUNT NO. Fiscal Year 2015: $15,355 Fiscal Year 2016: $15,468 ENVIRONMENTAL REVIEW: This is not a project and, therefore, is not subject to environmental review. ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: ` % ,e— Finance APPROVED: MIS STAFF RECOMMENDATION: Accept staff's recommendations and adopt the proposed Compensation Plan for the City of National City Confidential employee group. BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: Staff report Resolution CALIFORNIA NATIONAL CITy .L / INCORPORATED City Council Staff Report September 2, 2014 ITEM Staff Report: Resolution of the City Council of the City of National City approving the Compensation Plan for the unrepresented Confidential employee group. BACKGROUND The Confidential employee group is one of four City of National City employee groups that is not represented by a labor association. As such, they are not subject to State of California rules and procedural guidelines established for public employee collective bargaining. In establishing and maintaining a Compensation Plan for the Confidential group, because of similarities in placement in the organization and types of duties, historically, the City has tied key elements of the Confidential Compensation Plan to the Municipal Employees' Association (MEA) employee group. MEA is one of three City of National City employee groups that is formally represented by a labor association. The other two groups are public safety groups and not considered comparable to job classifications that compose the Confidential employee group. DISCUSSION Having concluded formal labor negotiations with the three formal labor associations, staff initiated a review of the Confidential employee compensation package and brings forward compensation adjustments for consideration. The areas of compensation under consideration are consistent with those reviewed and adjusted for other employee groups: salary, holiday pay and health care. The recommendations seek to find balance between the goal of consistency with the similar classifications of the MEA employee group and a recognition of the unique nature of Confidential classifications. Holidays: a. Fixed holidays falling on a regularly scheduled workday will be based on the employee's assigned daily work schedule. Floating holidays will be paid in eight (8) hour increments. b. In the event a fixed holiday falls on an employee's regular work day, if the employee is not required to work, such employees shall be compensated at straight time equal to the number of hours the employee would have been assigned to work. Page 2 Staff Report — Resolution of the City Council of the City of National City approving the Compensation Plan for the unrepresented Confidential employee group. September 2, 2014 Health Care: Effective January 1, 2015, Confidential employees will be eligible to receive $10 per month for each year of service with the City as the City's contribution towards medical insurance if the employee: retires from the City of National City; is working in a Confidential employee group classification at the time of retirement; and has 20 full years of pensionable service credit with the City of National City. Compensation: a. Two before tax payments each equal to 3% of the employee's salary step at the time of payment. Payment shall be made in the first full pay period following City Council approval; and in the first full pay period following July 1, 2015. The retention incentive shall not be reported as compensation to CalPERS. • Confidential employees must have at least one full consecutive year of service in a Confidential classification in order to be eligible. • Confidential employees with less than one year of service at the time the City Council approves the Compensation Plan shall receive their 3% retention incentive in the pay period after reaching their one year anniversary. The City shall have no obligation to pay a retention incentive to any employee who does not reach his/her one year anniversary with the City. • The employee may choose to contribute part or all of the retention incentive into their 457 deferred Compensation Plan account or convert (all or part of) their incentive into vacation hours. b. The current collective bargaining agreement between the City and MEA includes a provision allowing for a reopener on the issue of salary increase for fiscal year 2016. The agreement does not bind the City to grant a salary increase to any classification represented by MEA. As written, the provision allows either side to request that both parties come to the table and confer on the subject of wages. If such conference results in a general salary increase or upward cost of living adjustment, said increase or adjustment will be applied to employees in the Confidential employee group at an equal percentage. All other existing provisions of the Compensation Plan remain the same. RECOMMENDATION Accept staff's recommendations and adopt the proposed Compensation Plan for the City of National City Confidential employee group. FISCAL IMPACT Fiscal Year 2015: $15,355 Fiscal Year 2016: $15,468