TO:
Honorable Mayor and Members of the City Council
THROUGH:
Bruce Moe, City Manager
FROM:
Lisa Jenkins, Human Resources Director
Stephanie Swofford, Human Resources Manager
Auvi Tonnu, Human Resources Analyst
SUBJECT:Title
Consideration of a Resolution Approving a Comprehensive Citywide Salary Schedule for All City Positions and Adjustments to Salary Ranges (Human Resources Director Jenkins).
ADOPT RESOLUTION NO. 21-0001
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Recommended Action
RECOMMENDATION:
Staff recommends that the City Council adopt Resolution No. 21-0001 approving a comprehensive citywide salary schedule (included with Resolution), which includes the MOU increases provided to represented sworn and non-sworn employees and salary adjustments, changes to certain full-time positions approved during the budget process, and salary adjustments for certain unrepresented part-time classifications.
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FISCAL IMPLICATIONS:
The current budget includes salary adjustments for certain full-time positions approved to be adjusted during Fiscal Year 2021-2022. Adjustments for designated part-time unrepresented employees, including those to address the minimum wage increase, are also included or can be absorbed within the budget for this fiscal year. The negotiated salary and range adjustments for represented employees have been accounted for during the Memoranda of Understanding (MOU) approval process and included in the budget.
BACKGROUND:
The salary schedule reflects salary range or step adjustments for the bargaining units with negotiated increases in multi-year contracts, which include Manhattan Beach Police Officers’ Association (MBPOA), Manhattan Beach Police Management Association (MBPMA), Teamsters Local 911, and the Manhattan Beach Part-Time Employees Association (MBPTEA).
The salary schedule pending approval includes all City positions, including part-time positions. Some salary changes have been made to full-time positions following completion of classification and compensation analyses, which were approved by City Council during the budget process in July 2020. Additionally, changes have been made to the part-time schedule to reflect future needs, adjust salary steps or ranges commensurate with the full-time equivalent positions, and address the immediate impacts of the most recent minimum wage increase effective January 1, 2021.
The attached resolution and salary schedule also fulfill California Public Employees Retirement System (CalPERS) requirements for a comprehensive publicly available pay schedule.
DISCUSSION:
Several of the City’s bargaining units negotiated salary increases as part of their current Memoranda of Understanding (MOU’s) with the City. The Manhattan Beach Police Officers’ Association (MBPOA), Manhattan Beach Police Management Association (MBPMA), Teamsters Local 911 and the Manhattan Beach Part-Time Employees Association (MBPTEA) all have current MOU’s with a term of January 1, 2019 - December 31, 2021. As part of their MOU’s, the MPOA and MBPMA have negotiated 2.0% to their salary range adjustments effective January 2, 2021. Teamsters Local 911 (Teamsters), which represents the majority of non-sworn employees in the City, has a negotiated 1.72% salary adjustment effective the same date. The same percentage increase of 1.72%, effective January 2, 2021, was also negotiated for the Manhattan Beach Part-time Employees Association (MBPTEA), which represents part-time Transportation Services Operators (Dial-a-ride drivers). It is commensurate with the increase negotiated by Teamsters for the full-time equivalent positions. All of the mentioned adjustments approved as part of the current MOU’s, are reflected on the attached salary schedule for approval.
In the most recently approved Agreement with the Manhattan Beach Fire Management Association (MBFMA) which represents Battalion Chiefs, a 2.0% increase was negotiated and is effective January 4, 2020. This date coincides with the date upon which the FMA employees began paying their 3% retirement contribution. Additionally, the salary schedule pending approval reflects adjustments to other full-time positions (Human Resources Assistant and Accountant) approved during the budget process. The updated salary for the City Manager, approved in the Amendment No. 2 to City Manager’s Employment Agreement on at the November 5, 2020, Council Meeting, is also included on this salary schedule.
The Personnel Rules allow the City Manager to adjust the pay plan (salary steps) for part-time positions to ensure that the part-time classifications meet the needs of the City (Rule V, Section 12C.5). Since the last salary schedule adjustment, the salaries of two part-time positions, including the part-time Fire Inspector and part-time Warehouse Assistant, have been reviewed and adjusted based upon a market study of the positions to make the pay commensurate with the labor market with the goal of recruiting and retaining viable candidates. Updated salary ranges for unrepresented part-time positions who have full-time equivalent classifications are also reflected on the attached salary schedule with the same adjustment given to the full-time equivalent position. This adjustment ensures that part-time positions do not fall behind their full-time counterparts and provides comparable pay for full-time and part-time positions with similar job duties.
The salary schedule also reflects an adjustment to the salaries for several part-time positions (Administrative Intern, Ambulance Operator, Custodian, Police Intern, Recreation Leader I, and seasonal Program Aide) directly impacted by the minimum wage increase effective January 1, 2021. These adjustments are being made to comply with the minimum wage increase and to maintain a three-step salary range for each classification. Adjusting the salary ranges for those positions impacted by the minimum wage without adjusting all part-time positions can erode an established differential and promotional opportunity with other part-time positions. Accordingly, adjustments to select positions (Recreation Leader II, Pool Lifeguard/Instructor, Assistant Pool Manager, Senior Recreation Leader) are recommended to ensure the City is able to continue to recruit and incentive employees to move into higher level positions with additional requirements, and maintain an appropriate differential.
Staff intends to conduct a further review of the impacts of future state minimum wage increases, as well as an evaluation of the City’s current and future needs for its unrepresented part-time classifications. While this review had originally been planned for calendar year 2020, the pandemic has caused a shift in priorities and a reduction in part-time staffing which resulted in this review being pushed to 2021, to be integrated into the City’s new HRIS/Payroll system upgrade. Following this review, additional changes to the part-time classification and compensation structure will likely be recommended, which would be reflected on a future salary schedule. Additionally, staff is evaluating positions that should be added, deleted, or modified in future updates to the part-time salary plan. Currently, there are some positions on the attached salary schedule that are not in the City’s budgeted position control, and staff will determine if they should remain or be adjusted for future use.
In addition to approving the recommended adjustments, the attached classification and salary listing serves to comply with California Public Employees’ Retirement System (CalPERS) requirements that the City Council approve a publicly pay schedule for all negotiated pay rate increases. These requirements are contained in Government Code § 20636(b)(1) and California Code of Regulations (CCR) § 570.5. In order to meet CalPERS requirements, the City Council is required to adopt a comprehensive publicly available pay schedule independent from the salary schedules attached to the MOU or approved as part of the budget process.
PUBLIC OUTREACH:
Staff determined that public outreach was not required for this issue.
LEGAL REVIEW:
The City Attorney has reviewed this report and determined that no additional legal analysis is necessary.
ATTACHMENT:
1. Resolution No. 21-0001 with Salary Schedule