REPORT TO COUNCIL
SUBJECT
Title
Action to Adjust Compensation Ranges for Human Resources Management Positions
Report
BACKGROUND
In addition to the Human Resources Director, there are three managerial positions currently within the department: Assistant Director of Human Resources, Division Manager of Recruiting, Classification and Compensation and the Division Manager of Benefits and HRIS. All three positions are currently vacant.
City Council approves the City's compensation plan pursuant to the City's Personnel & Salary Resolution, Section 9.
DISCUSSION
The position of Division Manager of Recruiting, Classification and Compensation has been vacant since July of 2018, when the incumbent accepted a position with a neighboring agency. The Assistant Director and remaining Division Manager resigned in January/February of 2019, also to accept positions with other public agencies. A Division Manager recruitment was conducted in January 2019 with significant outreach and yielded no viable candidates.
As Council heard during the recent Priority Setting Session, the findings of the recent Human Resources Organizational Assessment and the large number of recommendations translate into significant transformational projects. It is imperative that Human Resources is staffed with visionary leadership that can assist in taking the department to the next level in terms of level of service provided to the operating departments and being a strategic partner supporting the entire organization. As discussed during the Priority Setting Session, The City’s workforce is ours to lose. Our workforce is relatively young with significant careers years ahead of most. We are at risk of losing our most valuable resource, our employees, without commitment to investment in building the capacity of the department at the foundation of the organization.
In order to attract and retain the best and brightest leaders, the recommended action is to adjust the salary ranges for the Assistant Director and Division Manager classifications to be in alignment with the Finance Department Assistant Director and Division Manager salary ranges. The Human Resources Division Managers are currently the lowest paid division managers in the organization and by a significant amount. The proposal to align the range with the Finance Division Manager range results in a 29.7% increase in the range. Likewise for the Assistant Director, the proposal to align the range with the Assistant Director of Finance results in an 11.9% increase. There is a sufficient salary differential between the Director, Assistant Director and Division Managers after the recommended adjustments to avoid compaction. Given the first unsuccessful recruitment, and the urgent need to recruit two Division Managers, staff is recommending the internal equity adjustment to increase the chances of successfully filling these critical positions.
On January 28, 2019, the City completed the meet and confer process regarding the proposed salary adjustments in Attachment 2 with the unclassified bargaining Unit 9 which represents these positions.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
FISCAL IMPACT
There is no immediate budgetary impact to salary and related benefit costs from the recommended salary range adjustments. Costs for future hires and merit-based adjustments will be incorporated in the development of future budgets.
COORDINATION
This report has been coordinated with the Finance Department and the City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
Approve the revised Unclassified/Appointed/Elected Monthly Salary Schedule Resolution which incorporates salary range increases to the classifications of Assistant Director of Human Resources and Human Resources Division Manager, effective with the beginning of the first full pay period following approval of the new salary schedule.
Staff
Reviewed by: Teresia Zadroga-Haase, Director, Human Resources
Approved by: Deanna J. Santana, City Manager
ATTACHMENTS
1. Resolution to Adopt the Revised Unclassified Monthly Salary Schedule
2. Revised Unclassified/Appointed/Elected Monthly Salary Schedule