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Finance lays out 2.5% COLA and a 25‑step county pay plan; steps tied to performance
Summary
Caroline County finance staff described a proposed countywide pay plan that adds a 2.5% cost‑of‑living adjustment and one step advancement for employees, with step percentages tapering over a 25‑step scale and increases contingent on acceptable evaluations.
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County finance staff and Human Resources outlined a proposed countywide pay‑and‑step plan during the Feb. 25 FY26 budget workshop. Finance recommended a 2.5% COLA for all employees plus one step advancement in the new plan; the county’s retirement period (25 years) is mirrored in the plan’s 25 step levels.
Finance Director Danny described the step schedule: early steps would generally carry a 2% increase per step, mid‑career steps would be about 1.5%, and late‑career steps would drop to about 1%. "So at the most, somebody could receive 4 and a half and on the least, it would be 3 and a half," Danny said, explaining that the COLA stacks with the step increase in the first year for newer employees.
HR Director Sherry also explained operational changes to support the plan, including the rollout of a new performance‑management system that will automate anniversary evaluations and provide a task list for supervisors. Sherry told commissioners the county would use evaluation outcomes to condition step increases: "I don't think he said that the step increases are contingent on an acceptable evaluation. Correct. So, you know, their merit increases that are based on performance."
Why it matters: A structured, countywide step plan aims to reduce inconsistencies in pay increases across departments and to improve recruitment and retention. Commissioners and staff noted the plan will need careful local administration — particularly consistent performance evaluations — to achieve the intended smoothing of pay progression.
Sources: Presentations by Danny (Office of Finance) and Sherry (Human Resources) at the Feb. 25 workshop.
