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Personnel Manual – Section 3 Revisions <br />March 28, 2011 <br />Page 3 <br /> <br />PHASE III. PAY EQUITY COMPLIANCE <br /> <br />The State of Minnesota's Pay Equity Law requires that "every political subdivision of this <br />state shall establish equitable compensation relationships between female-dominated, male- <br />dominated, and balanced classes of employees in order to eliminate sex-based wage <br />disparities in public employment in this state." (Minn. Stat. § 471.992, subd. 1) <br /> <br />The term “equitable compensation relationship” means that the compensation for female- <br />dominated classes is not consistently below the compensation for male-dominated classes <br />of comparable work value . . .” (Minn. Stat. §. 471.991, subd. 5). <br /> <br />The City resolves to follow the statutory requirements of the Pay Equity Act as established <br />presently and as may be amended in the future. <br /> <br />A. In order to meet the requirements of the Pay Equity Law, the City Administrator shall <br />annually conduct an analysis of compensation using the job evaluation study method <br />determined by the City Council. <br /> <br />B A Pay Equity Adjustment may be necessary if the annual Pay Equity analysis <br />indicates a pattern of compensation for female and male-dominated classes which is <br />inconsistent with the requirements of State Law and the Pay Equity Regulations as <br />set forth by the Department of Employee Relations. <br /> <br />C. The Pay Equity Analysis and any subsequent resulting compensation adjustment <br />necessary to achieve compliance represents the final Step in the overall <br />compensation process. <br /> <br /> <br />Recommendation: <br /> <br />Staff recommends that the City Council approve Resolution 7759, a resolution authorizing <br />revisions to the Personnel Manual in Section 3.01 (Compensation Policy) and Section 3.45 <br />(Retirement Health Savings Plan) and the addition of a new Section 3.47 (Severance) to <br />address severance benefits not covered in Section 3.45. <br /> <br /> <br />Respectfully submitted, <br /> <br /> <br /> <br />________________________ <br />James Ericson <br />City Administrator <br /> <br /> <br />