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City finance staff outline proposed modernized pay plan for 2026; limited direct payroll impact expected this year
Summary
Human resources and finance staff previewed a streamlined employee pay plan that consolidates numerous pay bands into a simplified structure, preserves incumbents’ annual increases and introduces targeted changes: step programs for certain frontline roles, increase of regular part‑time floor to $15/hour for some employees, and a phased increase in
City human resources and finance staff presented a proposed modernization of the City of Greeley employee pay plan for 2026, describing a simplified grade structure, targeted pay floor adjustments and limited near‑term costs.
Martha Lanigan, who led the presentation, said the current pay schedule is complex, with many bands and an aging underlying market analysis. The proposed plan reconfigures pay grades and ranges, eliminates an overly complex matrix and places the city’s evaluated positions into modernized pay ranges based on a full market evaluation conducted for all positions.
Lanigan said the majority of employees should not see immediate salary reductions and that annual salary increases would continue under the city’s normal process; the plan is not a broad reclassification effort. She highlighted three near‑term financial items staff recommend for 2026: - Two employees whose projected salaries fall below their new grade minimums would be increased to the minimum amount (estimated annual cost about $37,000). - About a dozen ongoing part‑time employees who currently earn around $14.81/hour would be moved to a $15/hour wage floor (estimated incremental cost about $2,000 annually, based on current hours). Seasonal workers would remain at minimum wage where appropriate. - A pilot “step” program for specific frontline positions (for example, recreation front‑desk staff or lifeguards) that provides tenure‑based steps to improve recruitment/retention; projected annual pilot cost roughly $40,000–$60,000.
Lanigan also proposed raising on‑call pay (the stipend paid when employees must be available outside normal hours) from $1.50/hour to $2.50/hour in 2026, with year‑over‑year plans to reach market rates; staff estimated the 2026 cost of that adjustment at about $200,000. The presentation framed the city’s overall compensation philosophy as ‘‘comparable’’ to local market peers rather than the highest payer; benefits remain a competitive element of the total reward package.
Council members asked clarifying questions. Councilor Butler asked how many employees receive on‑call pay; staff said the number fluctuates seasonally and that accumulated on‑call hours, not just headcount, drive cost. Councilors also asked about equal pay considerations and about how the plan aligns with existing collective bargaining or exempt/nonexempt status; staff said FLSA exemption status would not change under the proposed plan and that Colorado’s equal pay requirements were considered in placement decisions.
Lanigan said an ordinance adopting the pay plan will be brought forward in coming weeks for formal council consideration; the work session presentation was informational.
Ending: Staff concluded that the proposed plan simplifies administration and updates market comparators; council asked for additional details on on‑call recipients and step‑program design for follow‑up before final ordinance consideration.
