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County presents classification and compensation study; HR seeks direction on new grading system and pay scale

2138797 · January 22, 2025
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Summary

Human Resources staff and consultants outlined a 10‑factor job evaluation system and proposed a new, more uniform salary scale to address grade compression and a roughly 9% salary gap versus peer counties; the board asked for additional data on placement costs and law‑enforcement market comparisons.

Human Resources staff and consultants presented a classification and compensation study to the Board of Commissioners at the Feb. 9 work session, proposing a revised job evaluation system and a restructured salary scale intended to update a 15‑year‑old framework and reduce grade compression.

Sue Sabo, the HR lead presenting the study, said the county’s prior classification system used four job factors and a 15‑year‑old grading grid. Frank & Wheeler, the consulting firm selected by county procurement, developed a new classification methodology that uses 10 job evaluation factors — including leadership, physical effort, hazards and unusual demands — and a point‑based system that converts scores into pay grades. Sabo emphasized that classification evaluates the job’s requirements, not the incumbent’s performance.

The consultants and HR staff conducted employee orientation sessions, workshops and 125 desk audits; staff distributed new job information questionnaires and are in the process of scoring those submissions. Pending steps listed by HR include notifying employees of recommended reclassifications, offering an appeal process, updating job titles and rewriting job descriptions to reflect the new occupational groupings.

On compensation, Frank & Wheeler reported a roughly 9% average salary gap between St. Mary’s and the peer jurisdictions surveyed (Calvert County, Charles County and the St. Mary’s County Board of Education). The gap excludes benefits; county staff noted St. Mary’s offers an employee health premium subsidy of about 85 percent — higher than some peers — and that converting benefit dollars to salary would require actuarial valuation to compare total compensation accurately.

HR also highlighted a structural concern: roughly 60 to 65 employees currently sit at the top of their pay grade with no automatic step. The proposed new scale would maintain the same number of grades and steps but aim for more uniform step differentials (Frank & Wheeler modeled a 2.5% step spread) and apply a market adjustment equal to one‑third of the identified 9% salary gap to midpoints. The consultants suggested a phased placement formula and said HR will provide specific cost options and the fiscal impacts of different placement methods at a future work session.

The board questioned survey scope and requested additional market comparisons, especially for law enforcement and corrections. Frank & Wheeler’s survey used a cross‑sample of positions and attached job descriptions to ensure “apples‑to‑apples” comparisons with Charles and Calvert counties and the Board of Education. Commissioners asked for a wider market analysis (including larger agencies that recruit deputies) and a table showing the distribution of employees across steps and grades so the county can estimate the budgetary effect of proposed placements and any market adjustments.

Sabo said HR and the consultants plan to return with: (1) a formal recommendation to adopt the classification system, (2) a recommended pay scale and proposed placement/transition formulas with cost estimates, (3) proposed integration of IT and engineering pay scales if feasible, and (4) market‑adjustment options for law enforcement and corrections. No formal board action was taken at the session.