General Circular No. 001318
To: Heads of State Agencies and Human Resource Directors
Subject: Review Of Civil Service Pay Rules
Issue Date: May 18, 1998
The Department of State Civil Service, in partnership with the Division of
Administration and the State's Undersecretaries is beginning a project to
review the State's pay rules and policies to decide how we can improve existing
pay systems and provide greater flexibility.
As part of that review, we will study agency pay issues and needs in order
to get input as to approaches to address these problems. The fact finding part
of this project will provide the concrete information needed to select
practical pay solutions and thus establish a solid foundation and direction for
changes to the classification and/or compensation systems that will impact
state government for years to come.
The project will be managed by the Department of State Civil Service with
assistance from a consultant with substantial expertise in compensation issues
and programs. We will begin with study and analysis of classification and
compensation issues and needs by appropriate means, such as questionnaires and
focus groups. These groups will cover the diverse segments of State Government
including: non supervisory employees, division heads, unclassified executives
and Department Secretaries. This effort will identify problem areas as well as
appropriate options to solve such problems. Each option will be studied to
decide its likelihood of success in addressing the problems identified.
Following selection of an option, necessary rules and procedures will be
drafted and proposed for consideration by the Civil Service Commission and the
Governor.
PROJECT PHASES
1. Assessment of Compensation Issues and Needs
This phase will consist primarily of information gathering and option
identification. The Consultant and staff of the Department will gather
information for system users on issues and concerns with the existing system.
This will be accomplished through individual interviews, focus groups and
written questionnaires.
Once the existing system issues are identified, the Consultant and staff of
the Department will identify options for addressing them. Consideration will be
given to both existing professional practice and principles as well as the
likelihood of successful implementation given the existing organizational
culture.
2. Selection of Compensation Options
In this phase each option will be assessed to determine its likelihood of
success in addressing the problems identified earlier. Input and advice will be
solicited from users during this phase to assist the Department and Commission
in selecting an option. The consultant and the staff of the Department will
take active roles in describing options and identifying the pros and cons of
each potential solution.
3. Design/Approval
Once an option is selected, staff of the Department will draft any changes
to existing rules and policies necessary to implement the selected option.
Input from users will be solicited throughout this phase. Once completed the
proposed rule changes will be presented to the Civil Service Commission and the
Governor for approval.
4. Implementation Training
Since this project could result in dramatic changes in the amount of
flexibility agency managers have in individual pay rate decisions, training
will be necessary to ensure successful implementation. Training on the
application and use of new compensation program options will be developed and
offered to appropriate staff members of the Department of State Civil Service
and agency managers and human resource staff members. The Department
anticipates using a consultant in this phase to develop training materials and
to design and present training sessions.
5. Implementation
The actual implementation of the changes will begin on the effective date of
approval of any new rules and procedures. During this phase job specifications
and classification policies will be adjusted to the extent necessary to allow
agency managers to utilize any revised compensation policies. Implementation will
be phased in according to priorities established by the Department of State
Civil Service and user agencies.
Projected completion dates for phases four and five could not be established
since the amount of time required for both is dependent to a significant degree
on the option selected for implementation. Both will begin, however, shortly
after completion of the design/approval phase.
PROJECT MANAGEMENT
1. Project Manager
The Department will assign a person to serve as manager of the project. It
will be the responsibility of this individual to assure that the project
proceeds according to plan and that the Commission, Director,
Advisory/Oversight Committee, Steering Committee and others are kept informed
of progress and any problems encountered. The person will be responsible for
assuring that the consultants are used effectively and fulfill the requirements
of the Professional Services Agreements.
2. Advisory/Oversight Committee
The Committee will be composed of Undersecretaries, other agency officials
and representatives of the Governors Office and House and Senate Committees.
This Committee will provide input to the project team and Consultant concerning
time lines and design issues, particularly those related to costs and
managerial flexibility. The meeting schedule will be determined by its members.
3. Steering Committee
The Steering Committee will provide input to the project team and consultant
on project design and schedule. In addition, it will serve as a sounding board
for discussion of major decisions and provide a line of communication back to
employees, agency officials, the human resource community and the staff of the
Department of State Civil Service. It will be composed of representatives from
employee groups, Human Resource Offices, Agency Officials, and the Department
of State Civil Service. It will likely meet on a monthly basis.
As you can imagine, a comprehensive review and writing new pay rules will
take well over a year to accomplish. During this time we will provide regular
updates to keep you informed on the progress of the project.
Sincerely,
Allen H. Reynolds
Director