During a recent government meeting, discussions centered on employee retention and compensation strategies, highlighting concerns about the disparity between long-term employees and new hires. One member expressed frustration that long-serving employees felt undervalued, particularly in light of the potential for new hires to receive higher salaries based on current market rates.
The conversation suggested that instead of allocating $20,000 for a new study on compensation, the focus should shift towards enhancing the longevity policy for existing employees. Proposals included increasing financial incentives for employees based on their years of service, with suggestions of $400 for five years and $850 for twenty years of service.
Mark, the personnel director, acknowledged the importance of addressing both retention and recruitment. He emphasized that while improving compensation for current employees is vital, it is equally important to consider the implications of hiring new staff, who may command higher salaries and bring a loss of institutional knowledge.
The discussion also touched on the timing and impact of conducting a full pay class review, with Mark noting that such a review could reset the timeline for future evaluations. He cautioned that previous reviews had limited effects on the broader employee base, potentially leading to morale issues among those not directly impacted.
Overall, the meeting underscored the need for a balanced approach to employee compensation that values long-term service while remaining competitive in the job market.