HERNANDO COUNTY Board of County Commissioners

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1 HERNANDO COUNTY Board of County Commissioners Policy Title: Effective Date: February 11, 2014 Pay Plan and Employee Compensation Policy Revision Date(s): March 12, 2013 October 16, 2013 Latest Review: March 12, 2013 October 16, 2013 March 31, 2014 Policy Statement: It is the intent of the County to maintain a Pay Plan which shall provide the basis of Compensation for employees. A. It is the policy of the County to pay employees within the funds available in an equitable manner both internally and externally while complying with all applied laws and regulations. B. This policy shall apply to all employees, except where a provision of the policy conflicts with an applicable provision of a collective bargaining agreement. This policy does not apply to management positions which are at the discretion of the County Administrator. C. This policy is developed by the Human Resources Department and approved by the County Administrator and the Board of County Commissioners (BOCC). This policy will be in accordance with the Fair Labor Standards Act, Florida Statutes Chapter 119, and the General Records Schedule for local Government Agencies issued by the State of Florida.

2 Procedures I. The Pay Plan A. Composition of the Pay Plan - The Plan shall include a schedule of salary ranges for each job classification in the Plan, consisting of minimum rates, mid points and maximum rates. The plan will be developed through the use of generally accepted techniques of job analysis, evaluation and pricing. B. Adoption of the Pay Plan - The Human Resources Department shall prepare the Pay Plan and present it to the County Administrator for approval and adoption by the BOCC. C. Amendment of the Pay Plan 1. Amendments to the Pay Plan shall be considered by the Human Resources Department when changes of responsibilities of work, availability of labor supply, prevailing rates of pay, increases in minimum wage, the County s financial condition and policies, or other pertinent economic considerations warrant such action. Amendments shall be made in the same manner as the original adoption of the Pay Plan. D. Administration of the Pay Plan 1. All Hernando County employees shall be paid in accordance with the rates of pay set forth in the Pay Plan for the job classification to which the appointment is made. 2. Initial appointment pay rates will be established by Human Resources, taking into consideration past experience and qualifications. Due to the budgetary impact and other departmental factors, Department Directors/Managers will have input into the pay rate; however, Human Resources will recommend the rate of pay for all newly hired employees of Hernando County. The rate of pay should not exceed the midpoint of the pay grade for the appointed job classification. Any pay rates that deviate from or exceed the pay grade midpoint must be approved by the Human Resources Director, Assistant County Administrator and the County Administrator. 3. Union employees must be hired in accordance with the pay practices stated in their union contract. II. Promotions A. Bid Procedure 1. When vacancies occur, the Human Resources Department will prepare a Board Only Recruitment Bulletin allowing county employees a minimum of three (3) calendar days, excluding holidays, to request consideration for the position. If the County does not expect to receive at least three (3) qualified internal Pay Plan and Employee Compensation Page 2

3 candidates, they may post the position externally simultaneously with the internal posting. 2. The Board Only Recruitment Bulletin will be placed in each department so that employees have the opportunity to review the vacancies. Requests for consideration of the position will be made on a BID form and must be completed by the employee and returned to the Human Resources Department on or before the date specified on the notice. BID forms will be forwarded to the Department Director or supervisor for consideration. 3. If a position becomes vacant within 30 days of a previous posting, the position will be posted three (3) days internal only. If the County does not receive at least three (3) qualified internal applicants, the applicants from the previous posting may also be considered when filling the position. B. Effect of Promotion on Pay Grade, Pay Rate, and Qualification Period 1. A regular full/part-time employee or, in the absence of available qualified regular employees, a probationary period employee may be promoted to a job classification with a higher rate of pay after having successfully meeting any applicable requirements. Note: Veteran s Preference points are only given when they are hired. They are not given Veteran s Preference points for each position they bid on. 2. Upon promotion, such employee shall have his/her pay grade and pay rate changed in accordance with the following procedures: a. Upon promotion, an employee shall receive at least the minimum pay rate of the pay grade established for the job classification to which the promotion is made. b. Pay rates for promotions will be as follows: i. Promotions to a pay grade of one (1) or two (2) levels higher will result in an increase of 5% or the minimum of the new grade, whichever is higher. ii. iii. Promotion of a pay grade above three (3) levels higher will result in an increase of 10%, at the discretion of the Department Director, or the minimum of the new pay grade, whichever is higher. Increases outside the above guidelines will require approval of the Human Resources Director (or designee) and the County Administrator. c. A promoted employee will serve a four (4) month qualification period which may be extended for two (2) months if recommended by Department Director or supervisor. Pay Plan and Employee Compensation Page 3

4 d. If after two (2) weeks in their new position, the employee is not satisfied in their new position, they may return to their former position without loss of seniority, providing the position is still vacant. e. When an employee has been promoted and does not meet departmental work standards in the new position, he/she may be demoted prior to the end of the qualification period, without prejudice, to his/her former position if vacant. His/her pay shall be restored to the rate in effect prior to the promotion. If his/her former position is not vacant, the employee may apply for open positions within the County. When no appropriate vacancy exists, the employee shall be separated from employment. The date of separation will be determined by the Department Director. III. Demotions A. Disciplinary Demotion 1. A regular or a qualification period employee may be demoted for disciplinary reasons by his Department Director. Such demotion may be accomplished by reducing the employee to a job classification which has a lower pay grade established. 2. Effect of Disciplinary Demotion a. Pay Rate and/or Job Classification Reduction: An employee s pay rate will be reduced by five percent (5%) if the pay grade is one or two levels lower than the employee s current pay grade. An employee s pay rate will be reduced by ten percent (10%) if the pay grade is three or more levels lower than the employee s current pay grade. b. Qualification Period: Upon such demotion, an employee will be required to serve another four (4) month qualification period. B. Demotion of Promoted Employee Currently Serving a Qualification Period: 1. Demotion for Inability a. When an employee has been promoted and does not meet departmental work standards in the new position, he/she may be demoted prior to the end of the qualification period, without prejudice, to his/her former position if vacant. His/her pay shall be restored to the rate in effect prior to the promotion. b. If his/her former position is not vacant, the employee may apply for open positions within the County. c. When no appropriate vacancy exists, the employee shall be separated from employment. The date of separation will be determined by the Department Director. Pay Plan and Employee Compensation Page 4

5 IV. Out of Title (Step up Pay) A. When an employee is required to assume the majority of the responsibilities for a higher classification or pay grade for more than eighty (80 hours), the employee shall receive a 5% pay increase or the minimum of the pay grade for the job classification they are performing, whichever is greater upon completion of the eightieth (80 th ) consecutive hour of the actual work performed. When the temporary assignment ends, the supplemental payment will cease. B. All interim or temporary assignments of this nature shall not last more than six (6) months. Interim or temporary assignments extending beyond the six (6) months must be approved by the Human Resources Director and County Administrator. C. The qualification period will be waived for any employee who is promoted into a position for which they received step up pay for four (4) months or more. D. When an employee is required to perform work in a lower classification or pay grade, for a period of time, he/she shall receive his/her regular rate of pay for all such lower rated work performed. V. Reclassifications It is the intention of Hernando County that departments assign work within the scope of allocated positions and their classifications. However, when a position s duties change substantially due to reasons beyond the control of the department, the job will be re-evaluated by Human Resources and a determination will be made whether the position needs to be classified to another grade. A. If a position is reclassified to a higher grade, the employee s new salary shall be at a rate within the designated higher pay grade. This may result in a pay increase of a minimum of 5% or an adjustment to the minimum of the higher pay grade, whichever is greater. Increases above 5% must be approved by the Human Resources Director and County Administrator. B. If a position is reclassified to a lower grade and the incumbent s present salary is above the maximum of the new pay grade, there may, or may not, be an adjustment to his/her present salary, depending on department budgetary restrictions. However, he/she will not be eligible for, cost of living increases or any other salary adjustment until such time that his/her salary falls within the range established for the position. C. If a position is reclassified to a lower grade and the incumbent s salary is within the new pay grade, no salary adjustment needs to be made unless the Department Director deems it necessary for budgetary purposes. D. If a position is classified either higher or lower, the incumbent will not be required to serve another adjustment period nor will the anniversary date change. Pay Plan and Employee Compensation Page 5

6 E. Department directors should submit all reclassification requests (Reclassification Form) to Human Resources during the budget process. If the re-class is approved during the budget process, the re-class does not become effective until the beginning of the next fiscal year (FY). If due to unforeseen circumstances it is necessary to reclassify a position mid-year, the re-class would not become effective until the first of the next pay period. All reclassifications must be approved by the Human Resources Director, Assistant County Administrator and the County Administrator. F. Increases outside the above guidelines will require approval of the Human Resources Director (or designee) and the County Administrator. VI. Work, Hours and Compensation A. In order to be compensated for hours worked, non-exempt employees must report all hours worked. B. Normal work hours are those hours which the employee is regularly scheduled to work. C. Employees are classified as being part-time when normal work hours are less than 30 hours a work week. Employees are classified as being full-time when normal work hours are 30 hours or greater a work week. D. Employees may be called out beyond their normal work hours. E. It is the responsibility of management to notify employees as soon as possible of a scheduling change, when possible, and vice versa (employees to notify management). F. Scheduling of Hours 1. Excluding firefighters, the work week will begin at 12:00 AM on Monday and end at 11:59 PM the following Sunday. Those employees who are normally scheduled to work hours that are split between Sunday and Monday will split their hours between work weeks accordingly. 2. Department Directors may flex an employee s hours within a work week. Flextime is earned hour for hour and must be utilized within the same work week earned. 3. Department Directors may authorize a compressed work week that includes the normal hours worked in the regularly scheduled work week (with the County Administrator s approval). G. Regular Pay 1. Regular pay is received for scheduled hours worked when an employee actually works. Pay Plan and Employee Compensation Page 6

7 2. The scheduling of work is the responsibility of the department, division, or area in which the employee works. No employee is guaranteed any fixed amount of hours per work week. H. Fair Labor Standards Act Status 1. Employees in positions that are classified as being exempt according to the Fair Labor Standards Act will be compensated on a salary basis. Exempt employees are not subject to on-call, call-out or overtime pay. This does not preclude these employees from being on-call or called-out. 2. Employees in positions that are classified as being non-exempt according to the Fair Labor Standards Act are compensated on an hourly basis and are, therefore, subject to on-call, call-out, and overtime pay. Such pay will be paid in addition to the employee s base wage/pay rate. I. Call Out Pay 1. Due to the nature of the County s services it may be necessary to call-out an employee from home to work outside normal working hours. 2. Types of call-out: a. For non-exempt employees, regular pay will be received for a minimum of two (2) hours or for actual hours worked, whichever is greater, when an employee is called out. Overtime will be applied when hours worked are greater than forty (40) per work week. b. For non-exempt employees called-out to work during an official holiday, pay will be calculated at the rate of time and one-half for the number of hours worked, in addition to their earned holiday pay. c. If an emergency required an employee to be called into work during a pre-approved leave request (vacation, funeral), pay will be calculated at the regular straight time and/or appropriate overtime rate and leave will be adjusted accordingly. d. Call-out pay is not authorized if an employee is not called-out or approved by the proper authority. e. If an employee who is not regularly scheduled to work weekends gets called out to work on a weekend shift with less than 48 hours (two days) notice, the employee will receive compensation at the rate of one and one-half times their regular rate for those hours worked on the weekend. However, if unscheduled PTO leave was taken during that week, pay will be calculated at the regular rate and the sick leave or PTO balance will be adjusted accordingly. f. Any employee who is not regularly scheduled to work between 11:00 PM and 7:00 AM and gets called out to work during those hours will be Pay Plan and Employee Compensation Page 7

8 J. On-Call Pay compensated at the Night Differential Rate in addition to their regular rate of pay. g. The above guidelines do not apply to Emergency Call Out Pay. Please see the Emergency Pay Policy. 1. On-call is time spent by employees off-duty and away from the working premises, in their own pursuits, where they remain available to be called back in to work and must respond to a call within a reasonable department established response time. 2. On-call pay will be calculated at a flat rate of $1.25 per hour for all hours (including holidays) for which an employee is on-call. 3. Employees on-call must respond within a reasonable department established response time and refrain from any alcohol and/or drug (legal or illegal) use which would adversely affect performance, if called in. K. Overtime Pay 1. Definitions: a. Overtime: Hours worked in excess of forty (40) per week. b. Overtime Pay: Paid at the rate of one and one-half times the regular rate of pay for hours worked in excess of forty (40) per week. c. Holiday Pay: Paid at the regular rate to the employees for the holiday. Please refer to the holiday policy. d. Holiday Differential Rate: Paid at the rate half of the regular rate of pay for hours worked on a holiday. e. Night Differential Rate: Paid at the rate of half of the regular rate of pay for hours worked when an employee is called out of work between the hours of 11:00 PM and 7:00 AM. 2. All overtime must be pre-approved by the supervisor. Employees may be subject to discipline for non-compliance. 3. Holidays that fall during an employee s normally scheduled work week and are not worked will be used in the calculation of overtime rate of pay. In the case where an employee works on a holiday, either the holiday pay or the actual hours worked, whichever is greater, will apply towards the calculation of overtime, but not both (i.e. in the case where an employee works on a holiday, they will be paid holiday pay, regular pay and the holiday differential rate). Pay Plan and Employee Compensation Page 8

9 4. All planned leave hours (scheduled at least 24 hours in advance), including vacation, sick, PTO, holidays and civil leave, will be used in calculating the overtime rate of pay. 5. Holidays that fall on days the employee is not normally scheduled to work and the employee does not work, will not be used in calculation of the overtime rate. 6. Unplanned sick, vacation, PTO, unpaid leave, disability pay, worker s compensation, the holiday differential rate, and holiday overtime itself will not be used in calculation of overtime. L. Compensatory Time (Comp Time) Non-exempt employees may request compensatory time in lieu of overtime and comp time will be earned in lieu of overtime when planned sick, vacation or PTO hours are used. Compensatory time shall accrue at one and one-half times each hour selected in lieu of overtime payment. A total of (eighty) 80 hours may be accrued in the employee s comp time bank. 1. Once an employee has reached the limit of accrued compensatory time, he/she will receive overtime pay at the rate of one and one-half times the regular rate of pay for the overtime worked. 2. Employees shall complete a leave request to utilize compensatory time and shall have it approved by their supervisor. Employees are encouraged to utilize their compensatory time within 90 days of accrual. Supervisor may require employees to use comp time in lieu of PTO. 3. The employee will be paid out for any accumulated compensatory time in their final paycheck at their regular rate of pay. M. Holiday Pay 1. All regular full-time employees will be paid for their normal scheduled hours on an observed holiday (e.g. 6 hours, 8 hours). 2. All regular part-time employees will be entitled to holiday pay in proportion to the number of budgeted hours per week. For example, an employee whose normal work hours are 20 hours per week would receive 4 hours of holiday pay. 3. If an exempt and/or non-exempt employee s (excluding firefighters) regularly scheduled day off falls on an official holiday, the holiday may be scheduled by the supervisor for the employee within thirty (30) days. Supervisors will attempt to schedule as many employees off on the Board designated holiday as possible. Scheduling of time off will be subject to approval of department manager. 4. Unless otherwise approved by the County Administrator or Human Resources Director employees will not be eligible for holiday pay if the employee is: a. receiving worker s compensation Pay Plan and Employee Compensation Page 9

10 b. on a suspension c. receiving disability pay or on an extended approved FMLA or Leave of Absence d. receiving income from another governmental source related to employment 5. Holiday Work All regular full-time and part-time non-exempt employees who are scheduled or called-in to work on an official holiday will receive their earned Holiday Pay as well as their regular rate and holiday differential for those hours worked. 6. Holiday on Leave Day Employees that are off work due to vacation leave, medical leave, funeral leave, or short term military leave must use the holiday on the day it is granted; therefore, holidays occurring during such leave will be compensated as holiday time and not deducted as leave. N. Inclement Weather Pay If there is an inclement weather day which interferes with operations of a department/division of unit, then the employees may be given one of the following options: 1. With approval from the supervisor, they may remain at the work site, be reassigned to other duties/functions and receive the appropriate compensation; or 2. Allowed to go home, utilize vacation leave (PTO leave), and receive the appropriate compensation and adjustment to leave balance; or 3. Allowed to go home and take leave without pay. O. RECORD KEEPING 1. Each individual is responsible for logging their own time. 2. Exempt Employees a. Exempt employees are paid a salary each pay period regardless of hours worked. Exempt employees will not be required to keep time sheets for payroll purposes as determined by the Fair Labor Standards Act. However, individual departments can (if desired) track time of exempt employees for their own interdepartmental operations/procedures but these may not be used as pay documents or to treat the employee as an hourly employee. b. Exempt employees must request and submit the necessary leave requests for approval prior to utilizing leave time for four (4) hours or more in any work day. c. If an employee has exhausted all their leave time or has not yet qualified to use their leave time, they may be docked for full day absences. Pay Plan and Employee Compensation Page 10

11 3. Non-Exempt Employees a. Non-exempt employees are required to punch in/log in utilizing the electronic timekeeping system. b. Employees must request and submit the necessary leave request forms when utilizing leave time and select the appropriate codes in advance to be considered as planned PTO. 4. Time sheet Procedures a. All employees must approve their timesheet in the electronic timekeeping system promptly at the end of the work week. Supervisors or payroll clerks may adjust employee s time records as needed. Employees must reapprove their time if adjustments are made. P. Travel 5. Audit/Tracking All departments will be subject to auditing of time records by the Internal Auditor. On a random basis, time sheets will be checked on any/all non-exempt employees to assure correctness and accuracy. 1. Travel during the work day a. Travel by an employee from one job site to another job site during the workday is compensable working time. b. Required travel from an outlying job at the end of a scheduled workday to the employer s premises is compensable working time. c. When an employee must report to County premises to receive instructions, perform work, or pick up tools or equipment and then travel to a job/work site, the travel time between is compensable working time. 2. Call-back or Emergency Calls a. When an employee is in an official on-call status, travel time is compensable and considered hours worked from the time the employee leaves their home for an emergency call. b. In general, if an employee is called from their home to an emergency job, where the work is outside of the employee s normal/regular work place and involves traveling a substantial distance to get there, all time spent in such travel is compensable working time. Pay Plan and Employee Compensation Page 11

12 3. Out-of-County Travel Q. POLICY VIOLATION a. Home to Work on Special One Day Assignment in Another City When non-exempt employee(s) who regularly works at a specific location is required to travel out of the County on a special one-day assignment (i.e. training class, seminar, performance of duties, etc.) travel time is considered compensable. All of the hours that the employee spends traveling are considered hours worked. All travel for one-day assignments is compensable for non-exempt employees, even when they are a passenger on an airplane, train, boat, bus or automobile. The usual meal time would not be compensable. b. Travel Away from Home Travel away from home is travel that requires the employee(s) to be away from home overnight. All of the hours the employee spends traveling are considered hours worked and therefore are compensable. Of course, the usual meal time or sleep time would not be compensable. An employee found in violation of this policy will be subject to disciplinary action up to and including termination. Pay Plan and Employee Compensation Page 12

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