TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, Acting City Manager
FROM:
Cathy A. Hanson, Human Resources Director
SUBJECT:Title
Revised Salary Ranges for the Part-Time Recreation Leader I and Recreation Leader II Positions Due to a Mandated Increase in the State of California's Minimum Wage (Human Resources Director Hanson).
APPROVE
Line
_________________________________________________________
Recommended Action
RECOMMENDATION:
Staff recommends that the City Council authorize approval of the revised salary ranges for the part-time Recreation Leader I and part-time Recreation Leader II positions due to a mandated increase in the State of California's minimum wage.
Body
FISCAL IMPLICATIONS:
An increase in the Recreation Leader I Step A from $8.69 to $9.00 per hour (the new minimum wage, which is an approximate 3.6% increase), and adjusting Steps B and C to maintain a 5% spread between the steps and adjusting the Recreation II Steps A, B and C to maintain an appropriate current separation between the Recreation Leader I and Recreation Leader II positions, results in an estimated cost increase of $24,267 for FY 2014-2015 over current budgeted levels. The funds for these increases have been included in the proposed budget changes for Fiscal Year 2014-2015.
BACKGROUND:
Since 2008 the State's minimum wage has been $8.00/hour. Effective July 1, 2014, the State is raising the minimum wage to $9.00/hour. The only active part time position that falls below the $9.00/hour is the Recreation Leader I position. Adjusting that position's hourly rate necessitates an adjustment in the Recreation Leader series to maintain the appropriate current separation between the steps, and between the Recreation Leader I and Recreation Leader II positions.
DISCUSSION:
The City is required to pay all positions at least the legal minimum wage. As mentioned above, the State of California is increasing minimum wage to $9.00 per hour effective July 1, 2014. The only active part-time position that is below the $9.00/hour minimum is the Recreation Leader I position. Staff is also recommending a revised salary schedule for the Recreation Leader II position as the positions are in a related classification series. This means that once an employee receives enough experience as a Recreation Leader I and has satisfactory performance, s/he can be moved to the Recreation Leader II position as the needs of the department dictate.
The current salary schedules in the Recreation Leader series are as follows:
Recreation Leader I
Step A - $8.69 Step B - $9.15 Step C - $9.63
Recreation Leader II
Step A - $9.86 Step B - $10.38 Step C - $10.93
The recommended revised salary schedules are as follows:
Recreation Leader I
Step A - $9.00 Step B - $9.45 Step C - $9.92
Recreation Leader II
Step A - $10.42 Step B - $10.94 Step C - $11.49
CONCLUSION:
The last salary increase for the Part-Time Recreation Leader I and Recreation Leader II positions was in 2006. Increasing the salary schedule for the Recreation Leader I position is required due to the increase in minimum wage. Further, staff is recommending the salary schedule increase for the Recreation Leader II position in order to keep the appropriate current separation between the positions in the related series and to keep it in line with progression through the series.