10-05-88 Finance Comm MinutesFINANCE/PERSONNEL & POLICY/INSURANCE
5:00 Pld OCPOBER 5, 1988
• The meeting was attended by Councilmen Nystul (Chairman), Hopkins and
Saverud, Clerk/Treasurer Halver and City Employees Waggener, Kerzman,
Robertson, Moyer, Plambeck, Baker and Hyde.
Commmittee Chairman Nystul opened the meeting and said the purpose is to
continue the discussion of the management pay plan and address the concerns
of the non -union employees.
Councilman Saverud said we need to be sure we maintain ccm=ication without
creating by accident any union type agreement. Halver said his review of
the State Laws indicate that clearly the management level employees are
prohibited from being in a bargaining unit and he didn't think the council is
in any danger.
Councilman Nystul said the term "maxim=" should be removed from the last
step but the council feels there should be some limit to the pay for each
position.
Group spokesman Ross Plambeck said the maxinmun limits proposed by the council
seemed to closely resemble the adjusted starting pay the non -union group
requested last year.
The group suggested the starting salaries be determined and designated Step 1
and the salaries of current employees, with necessary adjustments, be placed
at the lower steps so the employees can see there is a future with the city.
The employees felt the plan should be developed so an employee with several
years with the city would not see a new employee at the same management level
receive the same, or higher, salary.
Plambeck asked if COLA is built into the steps or considered separately.
Councilman Hopkins said the COLA is separate.
Councilman Nystul said the council wanted the steps to be merit steps with
evaluations being made annually.
The employees requested the steps be automatic as long as they have passed
their evaluation for the year and the steps be automatic when evaluations
have not been done.
Nystul asked the group has many steps there should be, lrTalver suggested a
formula for longevity be developed rather than trying to design a table of
salaries. The plan should define the procedure for setting starting salaries
and determining the steps. He didn't think there should be a cap of the
salary available for each position; if the arployee is productive and
valuable to the city, all years of service should be considered.
Mike Baker said not limiting steps keeps the long term employee motivated.
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FINANCE/PERSONNEL & POLICY/INSURANCE
5:00 PM OCPOBER 5, 1988
. Nystul suggested the plan might have five steps and a formula for continuing
beyond the defined steps.
The group suggested the starting salary for the position should be determined
by the job description and needs of the city. The prior experience of the
applicants would be determined by the job description and therefore wouldn't
be a problem unless the city hires an overqualified applicant.
Councilman Saverud said the council has to have the freedom to be flexible as
the needs change.
Councilman Nystul said he wanted to address the needs of the existing people
and have a plan developed for determining the starting pay of new people.
The co mittee and employees discussed the concept of additional salary for
professional certification. The employees felt the certification should be
required by the job description if the city needs it.
Ross Plambeck asked for clarification of where COLA fits in the matrix, if at
all.
The councilmembers felt the cost of living adjustment would have to be
considered each year rather than being locked into a plan.
Neither group knew of a cost of living index which was keyed to the Flathead
• or Northwest Montana.
The council felt that a pay freeze may be required some year. The employees
conmented it would have to apply to all employees and include the longevity
for union employees.
Don Halver said he felt the city should cut the least essential programs in
times of tight budgets and take care of the remaining employees to keep
morale up and keep then working harder during those hard times. A pay freeze
affects the attitude of everyone and productivity is doom in all departments.
The camnittee members hoped to get this finished soon, possibly in time for
the next council meeting. Councilman Saverud thought the cost of living
adjustment requested by the non -union group should be held off and made a
part of the overall package.
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