Placer County adopts three-year manager pay package, board hears concerns about "compaction" for other managers

The Placer County Board of Supervisors on Tuesday approved a package of salary and benefit adjustments aimed chiefly at county managers, adopting ordinances that implement a three‑year general wage increase, raise the county 401(k) employer match, and add targeted compaction adjustments for about a dozen classifications.

The board voted to adopt ordinances implementing compensation and benefit adjustments for elected and appointed department heads, classified and unclassified management employees, and to amend the county code consistent with a memorandum of understanding covering employees represented by the Placer Public Employees Organization (PPEO).

County human resources director Joe Ambrosini told the board the package was built from a spring survey of managers and other staff and aims “to strengthen overall compensation” to help recruit and retain experienced public‑sector leaders. Key elements include general wage increases of 4.5% in year one and 3.5% in years two and three, and an increase in the county 401(k) match from $1,500 to $5,000 annually. Ambrosini said the package also addresses pay “compaction”—situations where subordinate employees’ pay narrows to within an adopted differential of management pay—and implements targeted adjustments to restore an 8% differential in affected classifications.

Why it matters: The package affects hundreds of county employees and changes long‑term pay and benefit costs. While supervisors voiced support for larger, across‑the‑board adjustments, the public and board members pressed staff on the narrower compaction fix that benefits a small set of manager classifications while leaving many other managers without extra adjustment.

Discussion and public comment

During public comment, Auditor‑Controller Andy Sisk thanked the board for general wage increases but urged caution on the compaction items. He noted the staff memo listed 12 classifications receiving compaction increases and said another roughly 100 management classifications will not get those targeted adjustments, calling that a morale issue for some offices. “It is in the board memo that 12 classifications are receiving compaction increases,” Sisk said. He asked the board to pause action on the compaction item so staff could explore other options.

Ambrosini responded that the compaction adjustments were calculated to restore the county’s 8% differential in the specific instances where subordinate wages, after other increases and MOU changes, dipped below that threshold. He said the county treated the package as a whole and that staff welcomed feedback for future negotiations.

Several supervisors acknowledged the concern. Supervisor Landon asked whether rolling cafeteria‑plan changes could have solved compaction; staff replied no. County counsel advised the board it was legally possible to separate the compaction ordinance from the rest of the package but cautioned doing so could create wage impacts for employees and complicate implementation.

Supervisor Gustafson said she supported the balanced approach and highlighted the value of increasing the 401(k) match, while Supervisor Jones and others urged staff to improve future surveys to collect more detailed employee feedback.

Action taken

Motion: Supervisor Gustafson moved approval of the ordinances as presented; Supervisor Jones seconded. The motion carried and the board adopted the ordinances implementing the pay and benefit adjustments and the schedule of classifications changes. (Motion noted on the record; no separate roll call tally was recorded in the transcript.)

What the package includes (as presented by staff)

- General wage increases for management/unrepresented groups: 4.5% (year 1), 3.5% (year 2), 3.5% (year 3). - 401(k) employer match increase from $1,500 to $5,000 annually. - Targeted “compaction” salary adjustments for 11 classifications to restore an 8% differential between managers and their highest‑paid subordinates where compaction emerged, per the staff memo. - Other benefit and code amendments described in the staff report, and modifications to Placer County Code chapter 3 consistent with the PPEO MOU and changes for confidential and unrepresented employees.

Next steps and context

Staff said the ordinances codifying the changes were introduced July 22, 2025; implementation steps in payroll and HR systems will follow in line with the adopted ordinances. Board members asked HR and the CEO to continue reviewing the survey design and bring back options for addressing remaining morale and compaction concerns if needed.

Ending

The board emphasized that the package represents a balance between immediate wage relief and long‑term benefit adjustments; supervisors asked HR to keep lines of communication open with affected offices and with Auditor‑Controller Sisk’s concerns in mind.