Agenda - Council - 01/27/2009 - Laserfiche WebLink

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Background PC CASE #: CONSIDER APPROVAL OF THE 2009 PAY EQUITY REPORT By: Givonna Reed Kone, Human Resources Manager The Local Government Pay Equity Act and Minnesota Rules require all public jurisdictions such as cities, counties, and school districts to eliminate any sex -based wage inequities in compensation. Pay Equity is a method of eliminating discrimination against women who are paid less than men for jobs requiring comparable levels of expertise. A policy to establish pay equity usually means: 1) that all jobs will be evaluated and given points according to the level of knowledge and responsibility required to do the job; and 2) that salary adjustments will be made if it is discovered that women are consistently paid less than men for jobs with similar points. Attached is the City's 2009 pay equity report which shows that the City is compliant with the Local Government Pay Equity Act. The compliance report includes four tests: the completeness and accuracy test, the statistical analysis test, the salary range test and exceptional service pay test. The completeness and accuracy test determines whether jurisdictions have filed reports on time, included correct data and supplied all required information. Staff believes the information provided is complete and accurate; however, upon submission of the report, the state will determine whether Ramsey has passed the completeness and accuracy test. The statistical analysis test compares salary data to determine if female- dominated classes are paid consistently below male - dominated classes that are of comparable value or job points. The minimum requirement to pass the statistical analysis test is an underpayment ratio of 80 %. Ramsey has an underpayment ratio of 120% which means we are compliant. The T -test results are not considered because we passed the primary test, the statistical analysis test. The salary range test measures whether male classes are reaching the top of their salary range faster than female classes. This result must be above 80 to be found in compliance. The result of the salary range test for the City is 100, which is above 80 and indicates that Ramsey has passed this test. The exceptional service pay test analyzes whether there is a larger percentage of male classes receiving longevity or performance pay than female classes. For this test the result must either be 0 if less than 25% of male classes receive exceptional service pay or above 80. One male class (or 3.33% of male classes) in Ramsey currently receives exceptional service pay, therefore the result is 0 and indicates that the Ramsey also passes this test.