The University of Memphis

Compensation

POLICIES

The University of Memphis administers compensation in accordance with federal laws, state laws and regulations, and Tennessee Board of Regents (TBR) policies and guidelines.  Compensation practices are also subject to limitations imposed by TBR or the General Assembly.  The university does not discriminate in the area of compensation on the basis of race, color, religion, sex, age, national origin, disability status, or veteran status.

It is the university's intent to pay salaries and wages that are equitable and, to the extent that funding permits, competitive with the applicable labor markets.

The purpose of this policy is to provide information and administrative guidance regarding the university's compensation plans and practices.

• Pay Grade
• Pay Range
• Internal Equity
• External Equity
• Promotion
• Demotion
• Lateral Transfer
• Standard Hiring Range
• Control Point

• General Compensation
• Salary Increase Approvals
• Staff Compensation (Administrative/Professional and Clerical Support)
• Staff Positions
• Professional Certifications
• Exceptions
• Faculty Compensation
• Student / Graduate Assistants Compensation
• Other Compensation Topics

• Extra Compensation and Outside Employment Policy
• Frequently Asked Questions
• General Personnel Policy
• Graduate Student Employment
• Job Description Questionnaire
• Job Descriptions
• Provost Office / Faculty Employment
• Request for Employment Action
• Staff Compensation Website
• Student Employment
• Summer School Compensation Policy
• Tennessee Board of Regents

The number assignment that designates a pay range within the salary structure.

New hires should not be given a rate of pay that is higher than pay for current, better qualified employees in similar positions in the area.

Pay for current employees should be similar to pay for employees within the appropriate labor market, within the constraints of the budget.

A job change where an employee applies for and is selected for a job where the new job has a higher pay grade than the old job.

A job change from one job to another where the new job has the same pay grade as the old job.

The standard hiring range of each pay grade will be from the minimum salary to the control point in the salary range for the assigned grade.

An amount that represents the top of the standard hiring range and is 95% of market value.

Introduction

Applicable TBR and university policies and procedures that govern specific actions relating to compensation will be followed.  Interpretation for specific compensation aspects affecting different categories of employees may be obtained from the offices listed below:

• Administrative/Professional and Clerical/Support Staff - Department of Human Resources
• Faculty - Academic Affairs
• Students - Student Financial Aid Office
• Graduate Assistants - Graduate School Office

Employees not covered by the University of Memphis pay plan include:

• Faculty
• High-level Administrative
• Key support to the President
• Key support to the Provost and Vice Presidents
• Academic positions with primary duties academic in nature
• Students / Graduate Assistants
• Temporary Instructors
• Temporary employees           

General Information

Hiring departments are responsible for setting up positions and ensuring that adequate funding exists before employees are hired.  Contact Financial Planning or Grants and Contracts Accounting.

Each regular University employee will be advised of any adjusted salary rate soon after receipt of the approved annual budget from State officials.

There are six basic categories of University employees:  faculty, executive/administrative/professional, clerical/support, graduate assistants, students and temporary.  See General Personnel Policy for definitions.

The categories of non-student employees and student employees are mutually exclusive.  That is, persons classified as full-time students will normally be employed only as Student Assistants or as Graduate Assistants.

Annually, eight days are designated as holidays and five days are designated as paid administrative closing days

Special Rules

Fiscal Year Appointments

• A partial month's compensation upon initial employment, termination, and leave without pay will be based on the ratio of the number of paid days in the month compared to the number of days the employee worked or was to be paid.
• Lump-sum payment of accrued annual leave will always be calculated on the basis of 1950 hours per year.  The calculation begins with the day following the employee's last physical day at work.
• If an hourly rate is needed for comparison to hourly employee rates, (e.g., comparison to salaries reported in a survey, etc.), the calculation will be based on the annual salary divided by 1950.

The Vice President for Business and Finance may approve exceptions to the above in instances when an exception or alternate calculation would, in his or her judgment, be more equitable.

Approvals for Salary Increases

Most salary increases are subject to approval by the Tennessee Board of Regents (TBR):  When an employee receives a salary increase, he or she must be informed that the increase is subject to review and approval by TBR administration.  Salary increases are not considered final until approved by TBR.

The following reportable pay increases will require TBR's approval:

• All equity adjustments, merit adjustments, special adjustments, critical adjustments and market adjustments
• All reclassifications and degree certification adjustments for non-exempt employees (clerical and support) of $3,500 or more
• All reclassifications and degree certification adjustments for exempt employees (executive/administrative/professional) of $4,500 or more with a resulting annual salary of $75,000 or above
• All increases, regardless of amount, for exempt employees whose resulting base salary is $75,000 or above
• All faculty promotions, regardless of amount

The following non-reportable pay increases will not require TBR's approval:

• All reclassifications and academic degree adjustments for non-exempt employees less than $3,500
• All reclassifications and academic degree adjustments for exempt employees less than $4,500 with a resulting annual salary of less than $75,000

General

Each job title is assigned a pay grade with a pay range from minimum pay to maximum pay.  A job description is written for regular positions.  The staff compensation plans are market-linked, and market data is reviewed on a regular basis.

Establishing Pay Rates for New Hires

New Hire Rate of Pay - Normally, the starting salary for new hires and transfers for current employees will be within the Standard Hiring Range established for the position.  Internal equity with existing employees' salaries, level of education and experience and other factors should be considered in determining offers within the hiring range.  The President must approve exceptions to the Standard Hiring Range.

Exceptions to the Standard Hiring Range - Some positions may be extremely difficult to recruit due to current labor market conditions.  Occasionally, an extremely well-qualified candidate will command a hiring rate higher than control point.  In these cases, the Department of Human Resources, in conjunction with the hiring department, will determine a reasonable hiring rate that is subject to final approval by the President.

Funding - The hiring department must provide the necessary funds—both current year and base budget—for any increased budget requirement.

Temporary employees should be paid an amount commensurate with the duties of the job.  The appointment of a temporary employee may not exceed one (1) year.

Interim (Temporary) Assignment to Higher Position

An employee assigned on a temporary or interim basis to perform in a vacant higher graded position or a position which is out of the pay plan may be eligible to receive additional pay over and above the base rate.

1. To be eligible the employee must be officially assigned to perform the higher level duties.
2. The assignment must be expected to last longer than three (3) consecutive calendar months for administrative/professional positions and longer than six (6) consecutive weeks for clerical/support positions.
3. Written documentation of the assignment must be approved by the appropriate Vice President or the Provost and forwarded to the Human Resources Compensation office.
4. An employee will not remain in an interim position longer than twelve (12) months without approval of an exception by the President for administrative/professional positions or the Assistant Vice President of Human Resources for clerical/support positions.

Staff Positions, Job Descriptions, Pay Grades, and Job Titles

No position in the pay plans will be advertised or filled prior to the development of a job description, an evaluation of the job, the establishment of a pay grade and the creation of a budgeted position.  

To ensure uniformity, consistency, meaning, and equity when establishing job titles, positions, job descriptions and pay grades, the Compensation Analyst will refer to the following Department of Human Resources' guidelines: 

• The Compensation Analyst will fully understand the duties of the position in order to determine the appropriate title and pay grade.
• The analyst will review other similar or related positions on campus to see if an existing title is appropriate. For example, a position might be classified as an Office Associate, since it performs duties similar to the duties in the general job description.
• If no existing title is appropriate, a new title will be established.
• The analyst may determine that a relationship exists between this position and another position on campus and that the other position is either higher or lower than the position being considered. The difference between the two positions is determined, an equity analysis is performed, and a pay grade is assigned.
• If the position performs duties that are common among other employers, salary survey information may be available. The analyst searches through published surveys to see if a match can be made. 

Actions to create, fill or reclassify a position are initiated via the internal workForum channel in the Spectrum portal.  Select the appropriate action in workForum.  Many actions require that a Job Description Questionnaire be completed. 

Human Resources will place all positions to be filled, except temporary group positions, in workForum Employment Opportunities.

Certified Professional Secretary or Certified Administrative Professional Certification

Employees who work in a clerical support non-exempt position who passes all parts of the (CPS) Certified Professional Secretary Examination or (CAP) Certified Administrative Professional Examination shall be granted a nine percent (9%) increase in salary.  Exempt employees are not eligible for the increase.  An individual cannot receive more than one such salary increase from the University.  The pay increase will become effective with the next pay period beginning after the employee's passing grades on all parts of the examination are certified by the International Association of Administrative Professionals.  The certification date is located in the upper left-hand corner of the Candidate Performance Report generated by the IAAP.  (It is not the date that the test is administered or the date that the report from IAAP is received.)  It is the employee's responsibility to provide the appropriate verification to Human Resources.  Documentation of successful examination results should be submitted to the Human Resource Compensation Department upon receipt.  Employees may contact the Human Resource Compensation Office with questions regarding eligibility for the increase. 

Professional Certifications/Licenses

Upon the receipt of a nationally recognized professional certification or a state license to practice in their field, administrative/ professional and clerical/supporting employees may be eligible for an increase of five percent (5%) of their salary in effect at the time of certification or licensure. This increase is contingent upon Tennessee Board of Regents regulations and an individual cannot receive more than one such salary increase from the University.

• The certification must come from a nationally recognized professional organization generally acknowledged by professionals in the field as the primary professional organization for that field. After January 1, 1995, a license from the state of Tennessee also qualified under this guideline.
• The employee must receive the actual certification or license while in the employ of the University.
• Appropriate documentation from the licensing/certifying body must be presented for inclusion in the employee's personnel file.
• The certificate or license must apply directly to the duties and responsibilities of the position currently held by the employee and must indicate a significantly increased capability for discharging these duties and responsibilities.
• Certification/licensure must include the passing of a comprehensive test demonstrating knowledge of the particular field.
• The department or activity head must recommend the additional compensation.

To make a recommendation for a salary increase under this guideline, the administrative head of the department should make the request by memo, and obtain the provost/vice president's signature.  Appropriately signed memos should be sent to the Department of Human Resources' Compensation Office for review and implementation. The increase will be effective on the date the certificate is issued if the documentation is provided within the same fiscal year the certificate is earned.  Pay increases may be limited and/or suspended due to budget constraints.  An individual cannot receive more than one such salary increase from the University.

Requests for Exceptions

Requests for exceptions to any of these guidelines must be in writing and should contain suitable justification for the exception.  Such requests should originate with the hiring department and contain space for the Department of Human Resources' comments prior to the review by the appropriate Provost/Vice President and the President's review for final approval/disapproval.

Policy Exceptions

Please note that any compensation pay increase, incentive, and/or reward may be limited or suspended due to Budget constraints. 

Employee Recognition Program:

Staff employees are eligible for nomination in the quarterly Outstanding Employee category and the annual Distinguished Employee category.  Each winner receives a monetary award and a plaque.  Contact the Employee Relations Office for more details.

Extra Compensation:

See policy UM1490, Extra Compensation and Outside Employment, for details.

Staff Degree Incentive Program:

See policy UM1586, Staff Degree Incentive Program, for details.

Employee Referral Program:

Any regular employee may receive a monetary award, typically $100, for referring an applicant who is later hired and completes at least 50% of the 6-month Probationary Period.  Contact the Employment Office for more details.

Exceptions:

Please note that any compensation pay increase, incentive, and/or reward may be limited or suspended due to Budget constraints.

http://academics.memphis.edu/provost/

 http://www.tbr.state.tn.us/policies/default.aspx?id=1166