Special Edition - July 7, 2004Special Edition - July 8, 2004 To Kent State University Staff: The purpose of this communication is to update you on university estimates of funds available for staff compensation increases this year. As you know, these are trying times in Ohio higher education funding, and I want to thank you for your continued support and dedication. The Kent State budget approved in May by the Board of Trustees was accomplished amid continued uncertainty about state funding for higher education. State budget challenges are anticipated for the next biennium (fiscal years 2006-07), and mid-year cuts of state funds are possible for the new 2005 fiscal year (from July 1, 2004, through June 30, 2005). Any salary increases this year must take into consideration these uncertainties, and this makes planning difficult. The university budget includes a pool of funds for a salary increase for unrepresented classified and unclassified staff and for the contractual commitments to bargaining units. If state funding remains stable, we plan to provide a 2 percent increase across the board to all eligible classified and unclassified staff. However, we must delay awarding the increase until the first quarter of calendar year 2005. At that time, if we are confident of our funding from the state, the increases will be awarded retroactively to a date that is manageable within our budget. Who is eligible? In keeping with policy, to be eligible for the increase, both nonrepresented classified and unclassified employees must be on active pay status on the date of distribution and must have met minimum standards of performance, as determined during the review process this year. In addition:
Even though pay increases are to be awarded across the board, supervisors should proceed with performance reviews. No matter how pay is awarded, performance matters, and employees have a right to feedback from supervisors about their work. The review process also gives supervisors and employees a chance to set goals and clarify expectations. University Commitment The university is committed to retaining its position as a competitive employer in the region despite budget pressures. When we presented our interim solution for salary administration last year, our goal was to review the unclassified salary structure in fiscal year 2004 (FY04) and the classified salary structure in FY05, which begins July 1, 2004. We remain on course with these two projects. In addition, I am pleased to report that, for the present, there will be no changes in health care costs to employees for calendar year 2005. Some concern was expressed that the recent health care focus groups might lead to cuts in benefits or increased premiums for the coming year. The goal of the focus groups was to help us prepare for your health care needs in future years. As you know from following national trends, costs will continue to soar for all institutions. Therefore, employees’ views are essential as we work to define health plan objectives. Meanwhile, we must comply with new regulations required by the recently updated federal Fair Labor Standards Act (FLSA). Compliance is scheduled for August 2004. In order to comply, we are required to review our job positions to ensure that they fall in the correct salary administration program - either classified or unclassified. This update will temporarily supersede all other compensation activity. A separate communication with more details will go out to managers and those affected by any of these updated procedures. We appreciate your support of Kent State University and we recognize that it is your loyalty and good work that helps us through these difficult challenges. Thank you. Sincerely,
If you have questions, comments or feedback regarding the Special Edition e-Inside, you may e-mail feedback@kent.edu or call 330-672-7832. Questions of a general nature will be addressed in future issues.  |
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