Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Personnel Policy topic
No spam. Unsubscribe anytime.
Madison approves personal-day and vacation accrual changes; deferred-comp plan updates proposed with budget impact
Summary
The board approved adding an extra personal day and adjusting the town vacation accrual schedule to be more competitive. Staff proposed raising the employer Deferred Compensation match from 6% to 7% (estimated $1,101 annual cost now) and changing vesting to a 20/40/60/80/100 schedule (estimated $116,000 budget impact if implemented).
The Board of Selectmen approved targeted updates to the town personnel policy on Nov. 12 and discussed proposed changes to the town’s Deferred Compensation plan for unaffiliated employees.
Personnel policy: The board voted to add an additional personal day for town employees and to revise the vacation accrual schedule so employees become eligible for three- to four-week vacation tiers earlier than under the prior schedule. Staff described the change as aligning benefits with comparable municipalities to remain competitive for hires.
Deferred Compensation proposal: Deb presented options for the defined-contribution Deferred Compensation plan for unaffiliated employees. Staff proposed increasing the employer match from 6% to 7%, which Deb estimated would cost about $1,101 annually at current participation levels, and changing the vesting schedule from a five-year cliff to a graduated 20/40/60/80/100% schedule. The vesting change was presented as having a one-time budgetary impact in the illustrative materials in the range of roughly $116,000 for inclusion in next year’s budget if the board moves forward. Deb said she would recuse herself from any later vote on the plan because she participates in it.
Board members asked for additional drafting and legal/pension-advisor review before any final change is enacted; staff said the plan-change process would include legal review, pension-advisor input, Board of Finance review and a town meeting if required.
Next steps: staff will produce a redline of the Deferred Compensation amendments and return with a formal proposed plan document for further review and possible future vote; the personnel-policy adjustments already approved will be implemented according to town HR procedures.
