Performance and Salary Review Process / Special Contribution

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Performance and Salary Review Process / Special Contribution Awards
I.
PURPOSE
PAVIR’s performance and salary review processes are designed to support the organization’s
compensation philosophy. These processes will be administered to accomplish the following objectives:
1) to evaluate employee performance based on job responsibilities and expectations;
2) to strengthen communication between supervisors and their employees;
3) to achieve the desired performance at all levels; and
4) to recognize and reward employees based on their performance.
II. COMPENSATION PHILOSOPHY
PAVIR’s compensation goal is to attract, motivate, and retain talented employees by paying a
competitive rate of salary and rewarding individual performance through the annual salary review
process and / or special contribution awards.
PAVIR’s compensation and benefits program is designed to be:
 Competitive with the relevant external market
 Fair in comparison to similar positions in the organization
 Flexible to meet the needs of our diverse community
PAVIR’s compensation and benefits data is evaluated annually and utilizes benchmark data from other
nonprofit organizations of similar size conducting medical research in the Bay Area. PAVIR strives to
match the market median for base pay when setting pay structures and for benefits offerings. PAVIR
pay structures include a minimum and maximum pay level for each job title.
All compensation decisions are made based solely on legitimate business-related reasons such as merit,
education, job performance, job experience, and other job-specific criteria without regard to race, color,
religion, sex, sexual orientation, gender identity, national origin, pregnancy, physical or mental disability,
age, veteran status, genetic information, marital status, medical condition, political affiliation, familial
status or any basis prohibited by federal, state or local law.
III. PERFORMANCE REVIEW OVERVIEW
The performance review process provides supervisors the opportunity to review expectations, provide
feedback on job performance, discuss any areas for improvement, reset expectations if needed, and
recognize performance.
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The performance review period is January 1st – December 31st of each year.
Performance reviews are conducted on an annual basis for all regular full-time and part-time
PAVIR employees on the payroll as of September 30th of each year.
Temporary and on-call employees are not required to have an annual performance review.
However, a supervisor may elect to complete a review for employees in these classifications if
they wish.
The performance and salaries for Postdoctoral Fellows are reviewed annually in accordance with
Stanford University’s policy and procedures.
A supervisor always has the option to conduct a formal off-cycle performance review for
reasons other than salary adjustment.
IV. SALARY REVIEW OVERVIEW
The salary review process links the performance review to base pay. Principal Investigators (PIs)
recommend merit increases to base pay based on the “overall performance rating” from the annual
performance review as a way to reward performance.
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Merit increases to base pay will not be awarded unless a performance review has been completed.
Employees hired or promoted between October 1st and December 31st of each year are typically not
eligible for salary review and generally must wait until the next annual performance and salary
review cycle.
V.
PERFORMANCE REVIEW RATINGS AND MERIT INCREASE GUIDELINES
The performance review rating category definitions are defined below. Each year, merit increase
guidelines are assigned to each performance rating and distributed to PI’s during the salary review
process. Merit increases should be awarded based on the overall performance rating assigned on the
performance review.
An overall rating better than “2” requires an increase; if there are exceptional circumstances, the PI
should contact Human Resources (HR).
Overall Performance Rating
Consistently Exceeds Expectations for the Position
1
Achieves results that consistently exceed most or all objectives and expectations for the
position. Contributions are widely recognized. Has depth and breadth of job knowledge and applies this
knowledge to consistently produce outstanding high-impact results.
This rating requires the inclusion of specific examples documenting sustained performance that
exceeds expectations.
Consistently Meets Full Expectations for the Position
2
Consistently meets and at times exceeds all objectives and expectations for the position. Applies solid
technical / job knowledge to produce expected results while demonstrating expected
behaviors. Contributions are recognized in the organization.
Meets Most Expectations / Developing Skills to Meet Full Expectations for the Position
3
Is making progress and continues to learn key aspects of the job. Performance meets many objectives,
but is not yet fully meeting all expectations for the position.
Does Not Meet Expectations for the Position
4
May meet some performance objectives but overall has failed to meet performance and/or behavioral
expectations. Immediate action is required to improve performance and/or behavior.
Coordination with PAVIR HR is REQUIRED prior to any communication with the employee for this
rating.
VI.
PERFORMANCE REVIEW AND SALARY REVIEW SCHEDULE & PROCESS
A. December / January – Performance Review
1. HR provides each supervisor with a Position Description and Performance Review form
for each employee eligible for a performance review.
2. Supervisors complete the Performance Review form, providing a rating for each
performance category and an overall performance rating as described above.
3. Supervisors conduct a performance review session with each employee to include a
discussion of the employee’s work performance, contributions, and areas for growth or
improvement, if applicable. The supervisor updates the performance review if needed,
based on the meeting.
4. The supervisor and employee sign the original Performance Review form.
5. The supervisor submits the completed and signed original Performance Review form(s)
to HR no later than the last week of January each year.
6. The Director of Human Resources reviews the completed performance reviews to
ensure they are complete and the documentation supports the proposed performance
rating and meets all other appropriate administrative requirements.
B. February – Salary Review
1. HR provides the PI with a spreadsheet listing all of his / her PAVIR employees, with their
performance rating, merit increase guidelines, and current salary. PIs are encouraged to
discuss proposed merit increases with supervisors who manage PAVIR employees and,
for budget purposes, their assigned Contract & Grant Analyst.
2. The PI will propose a merit increase within the guidelines and return the spreadsheet to
HR by February 28.
3. PIs should not share the recommended merit increase with employees prior to HR
review and approval.
C. March – Salary Increases Processed
1. HR reviews all proposed merit increases.
2. An administrative adjustment may be necessary in the following instances:
a. If the proposed merit increase would result in an employee’s compensation
exceeding the maximum rate for the position, the increase will be capped at the
maximum rate.
b. If the proposed merit increase would result in the employee’s compensation falling
below the minimum rate for the position, the employee’s pay will automatically be
adjusted to the new minimum of the range.
3. All administrative adjustments will be discussed with the PI.
4. HR will provide PIs with a report showing final approved merit increases.
5. HR prepares the required employee change forms and processes the increases. The
effective date of merit increases is March 1st.
6. HR will notify employees of their increase.
VII. SPECIAL CONTRIBUTION AWARDS
A Special Contribution Award may be recommended at any time during the year when a PI wishes to
recognize outstanding achievement above and beyond normal job requirements. For example, work
done on a special project or performance of a specific function that is significantly different from the
employee’s current position could be appropriate for this award. These awards are given in rare
circumstances.
More than one award for the same achievement is not permitted, and these awards should not be given
in lieu of the annual merit increase. Requests for Special Compensation Awards are reviewed and
approved by the PAVIR CEO.
A Special Contribution Award may not exceed $3,000. PAVIR does not provide tax indemnification or
gross-up payments, i.e., any associated employee taxes with a bonus are charged to the employee.
Please contact HR for the Special Contribution Request form.
Board Approved: April 1, 2015
Last Modified: December 16, 2014
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