3 Compensation

In this chapter:

3.1 Job Classification & Compensation Policy for Support Staff and Administrators

3.1.1 Introduction

The university’s job classification and compensation system is designed to provide fair, consistent, and objective procedures for determining the pay of each regular administrative and support staff position. This will achieve internal equity, recognize external market factors, and enhance our ability to attract and retain qualified employees.

3.1.2. Pay Ranges

Each position is assigned to a pay range based on the position’s duties and qualifications. These include education and experience required for the job; the level of supervision, responsibility, complexity, and decision-making; as well as the amount and type of external contacts and working conditions of the job. Positions are assigned to appropriate pay ranges based on these factors, which establishes internal equity. The dollar values assigned to the pay ranges reflect data from external, marketplace salary surveys. Each pay range has a minimum, maximum and mid-point of pay. Within a pay range, each employee’s salary will generally be based on years of experience relevant to that position as well as performance. Except in rare and unusual instances, an employee’s pay should not exceed the maximum of the pay range or fall below its minimum.

3.1.3. Salary Determinations and Adjustments

  1. Annual Salary Increases

    Each year the President’s Executive Leadership Team recommends whether or not pay ranges should be adjusted based on a number of factors, including recruitment and retention, market increases, the cost-of-living index, and the university’s financial resources.

    Each year the Board of Trustees of the university approves a total amount to allocate to salary increases for the upcoming fiscal year. Each vice president or provost is responsible to recommend individual raises, taking into consideration performance, years of experience in the job, and current position in the pay range. Recommendations are reviewed by the director of human resources and vice president for financial affairs to ensure consistency in salary administration.

  2. New Hires

    Comparisons will be made to the salaries of current employees in the same pay range with similar levels of experience. Generally, each year of relevant experience, up to 10, will be recognized with additional pay of 1/10 of the difference between the minimum and the midpoint of the pay range. All new hire offers are reviewed by the director of human resources, the position’s vice president or provost, and the vice president for financial affairs.

  3. Promotions

    When an employee is promoted to position on a higher pay range as a result of the employee’s responsibilities changing, the employee will receive a salary increase of 5% for each pay range advanced or to the minimum of the new pay range, whichever is greater, up to the maximum of the new pay range.

    When an employee applies for and is selected to fill an open position, the employee’s new salary will be determined as if he or she is a new hire as described in Section 3.1.3(b).

  4. Demotions 

    If an employee moves to a position on a lower range, either voluntarily or due to performance issues, he or she will receive a pay decrease of 5% per pay range to adjust his or her salary to the new pay range as long as the salary does not exceed the maximum of the range. If it exceeds the maximum of the new pay range, the employee’s pay will be further reduced to the maximum.

    In instances where a demotion is involuntary but is not performance related, the employee’s salary shall remain unchanged. If it exceeds the maximum of the pay range, it shall remain “frozen” until the pay range catches up to the salary.
  5. Lateral Transfers 

    If an employee accepts another position within the university that is on the same pay range as his or her current position, no salary adjustment is made.
  6. Reclassifications

    On occasion a job may be reclassified due to a significant change in the responsibilities assigned to the position unrelated to the incumbent’s performance. This can result in a job being reclassified to either a lower pay range or a higher pay range. When the position is reclassified to a lower pay range, the incumbent’s pay is unchanged as long as it does not exceed the maximum. When a position is reclassified at a higher level, the incumbent will receive a salary increase of 5% per pay range advanced or to the minimum of the new pay range, whichever is greater, up to the maximum.

    All salary offers or changes must be authorized and signed by the supervisor(s) up to and including the position’s vice president/provost, the director of human resources, and the vice president for financial affairs. Any change in salary or pay range should not be communicated to an employee until the approval process is complete.

3.1.4 Job Descriptions and Job Evaluations

Each supervisor should ensure that a job description exists for each position in the department and provide a copy to the Human Resources Office. Additionally, each employee should be provided a copy of his or her job description.

For new positions, the supervisor should also complete a job information questionnaire that is reviewed and approved by the higher level supervisor(s) up to and including the vice president or provost. The director of human resources uses the information in the job information questionnaire to evaluate the job and make a recommendation as to which pay range it should be assigned. The position’s vice president and the vice president for financial affairs approve the pay range assignment for any new position. 

If an existing job has changed and the supervisor believes a re-evaluation is warranted, a new Job Information Questionnaire must be completed for the job, highlighting any additional qualifications or duties. It is then reviewed by all levels of supervision, up to and including the vice president or provost. If approved, it is submitted to the director of human resources for evaluation and a recommendation regarding its placement on a new pay range. If approved by the vice president/provost of the position and the vice president for financial affairs, a salary adjustment will occur according to the guidelines provided in the previous section.

3.2 Administrative Contracts and Employment Statements

Administrative staff contracts are generally issued in April, going into effect between July 1 and Aug. 15, depending on the position. Employment statements are generally issued to support staff in April showing the salary for the upcoming fiscal year. New salaries go into effect between July 1 and Aug. 15, depending on the position. Employment statements are for informational purposes only. They are not contracts, nor do they guarantee employment for a specific or minimum period of time.

3.3 Getting Paid

Employees are paid monthly on the last working day of the month. If a pay day falls on a weekend or holiday, employees are paid on the preceding workday.

3.3.1 Direct Deposit

Employees are normally paid by direct deposit of pay into checking and/or savings accounts. A signed direct deposit authorization and a voided check are required to set up or change an employee’s direct deposit. On pay day, a direct deposit statement that shows the employee’s gross pay, any deductions and/or reductions and the net pay amount(s) deposited is available on line for each employee.

3.3.2 Reporting Hours Worked and Time Off

Support Staff: Support staff are provided time sheets for the upcoming month. Each employee should record actual hours worked and/or actual time off on the time sheet each day. Each support staff member and his or her supervisor are required to sign the time sheet verifying its accuracy. Employees are not allowed to fill out any part of a time sheet for another employee. Time sheets should be submitted to the Human Resources Office the first week of the month following the end of the pay period.

If there are blank work days on a timesheet or days indicated as zero hours worked, it will be assumed the employee did not work those days and will be charged to vacation if available; otherwise, the employee’s pay will be reduced the next pay day. If such an occurrence is later determined to be an error, the employee’s supervisor must notify the Human Resources Office of the error in writing. Any pay deficit is corrected on the next regular pay day. If the employee and supervisor intend for those hours to be unpaid (usually due to extra hours already worked or to be worked in the future), it must be clearly noted on the timesheet by the supervisor.

Because time sheets are not received until early the following month, any overtime pay, reduced pay, or other pay adjustments are calculated and applied to the following month’s pay. In the case of a payroll error that results in an underpayment to an employee, a pay adjustment may be issued before the next pay day.

Administrators: Since administrators are exempt from overtime pay, they are not required to record or keep track of their hours worked. However, a monthly Time-Off Report is required from each administrator and is to be used to record any vacation, sick leave, or other time off taken in the month. Even if no time off was used, the administrator is required to complete a time off report. Time off reports are due the first of each month.  Supervisors will receive an auto generated approval request via email and must approve time off by the 3rd working day of the month.

Temporary Employees: Temporary employees are nonexempt and must record the time started and stopped each day worked. The pay period for a temporary employee begins on the 16th day of the month and ends the 15th day of the following month, with pay day the last day of the month. Temporary employees’ properly signed time sheets must be received in the Human Resources Office by the 18th of the month to allow time for processing.

3.3.3 Overtime Pay

Nonexempt employees are paid one-and-one-half times their normal rates of pay for any time worked over 40 hours in one work week. The work week for George Fox begins each Friday at 12:00:01 a.m. and ends the following Friday at 11:59:00 p.m. Holiday, vacation, or sick time taken during a week is not included as hours worked for the purpose of computing overtime.

Nonexempt employees are not allowed to work extra hours without advance supervisory approval. If extra time is worked on one or more days during a work week, the supervisor may have the employee take the same number of hours off later in that same work week to avoid overtime hours. The university recognizes that on certain occasions some departments may require overtime. On these occasions, employees are required to work assigned overtime.

3.3.4 Pay for Holidays Worked

If an administrator or support staff is required to work on a scheduled holiday, he/she will be granted a day off in lieu of the holiday as soon as possible and preferably within the same month on a day mutually agreeable to the employee and the supervisor. Any time off taken by a support-staff employee after working a holiday will be first considered time off in lieu of the holiday worked up to the number of hours worked. The support staff employee is paid for the hours worked on a holiday. If it is not possible for a support staff employee to take a day off in lieu of the worked holiday, he or she receives, in addition to the regular pay for the time worked, holiday pay for up to eight hours (which, combined, provides twice the regular rate of pay). Holiday pay is not considered in computing overtime hours worked that week, but hours the employee worked on the holiday are considered. Administrators will not receive extra pay for working on a holiday.

3.3.5 Pay While Traveling on George Fox Business

Support staff are paid for business travel time, whether it falls within or outside of regular work hours. On overnight trips, time spent in leisurely activities outside regular work hours is not considered work time. This includes time spent eating, relaxing, sightseeing, and sleeping. Support staff are paid for training or meeting time if the supervisor requires it, including when it is outside the normal workday and whether or not travel is involved.

3.3.6 Pay Advances

Pay advances are not allowed.

3.3.7 Pay for Services Provided Outside of Regular Job

Payment to employees for services provided outside of their regular job duties will be made through payroll; generally on the next regular pay day after the request for payment is received in Human Resources. Payments will be handled in this manner even if the work might otherwise meet the criteria for an independent contractor.

3.4 Payroll Deductions

3.4.1 Income Taxes

State and federal income taxes are deducted from employees’ earnings each month based on the information on the W-4 form. An employee may change deductions at any time by submitting a revised W-4 to the Human Resources Office. The new deduction generally begins the first possible pay day after the form is received.

3.4.2 FICA Taxes

The Federal Insurance Contributions Act (FICA) provides for a federal system of old age, survivors, disability, and hospital insurance financed by the Social Security tax and the Medicare tax. It is funded by matching contributions by George Fox and each employee.

3.4.3 Workers’ Compensation

A workers’ compensation assessment is levied by the state on each employee’s pay. This assessment is based on hours worked each month, with the cost split between the university and each employee.

3.4.4 Voluntary Deductions/Reductions

Deductions (after tax) are taken for voluntary donations such as to the university or Tilikum Retreat Center. Other deductions may include repayment of student loans and premiums for supplemental insurance (life, disability, cancer, long term care, etc.). Reductions (pretax) are taken for the employee’s portion of medical premiums, dental premiums, flexible-spending accounts, and retirement plan contributions.

Voluntary deductions and reductions from an employee’s pay are established only when the employee has completed and signed the appropriate form. Unless otherwise indicated, the deduction generally begins the first pay day after the form is received in the Human Resources Office.

3.4.5 Garnishments

The university is required to comply with court-ordered garnishments, which specify a dollar amount or percentage of an employee’s pay to be withheld. The employee is notified when a garnishment order is received. Generally, the garnishment is applied beginning with the pay day following its receipt. The university attempts to protect the employee’s confidentiality regarding garnishments.