Division of Human Resources

Faculty/Staff Salary Increase Program

I. FUNDING PARAMETERS

Salary increases for FY09 for continuing faculty and staff are to be funded from each school, center or administrative budget.

II. FACULTY GUIDELINES

Presented below are the established standards for the fiscal year 2009 merit increase program. The deans are requested to adhere to this framework as they establish individual faculty guidelines for the department chairs based on available resources.

The minimum academic salary for new assistant professors will be $56,000. Merit increases for faculty should be based on performance as evidenced in their scholarship, research, teaching and service to the University and the profession. As in previous years, there will be no minimum base increment for continuing faculty.

The aggregated merit increase pool for faculty may not exceed 3.5 percent. The established parameters range from 0 to a maximum of 6.0 percent based on performance. Salary increase recommendations that are below 1.0 percent for non-meritorious performance must be made in consultation with the Provost. Likewise, salary increases that exceed 6.0 percent due to market conditions must also be made in consultation with the Provost. Deans may wish to give careful consideration to salary adjustments for faculty who have a strong performance record but whose salary may have lagged behind the market.

III. STAFF GUIDELINES

A. SALARY INCREASE PROGRAM FOR ADMINISTRATIVE AND SUPPORT STAFF

1. Salary Increase Guidelines
Staff salary increases are based on performance. Performance appraisals must be completed for all staff to support the merit increase awarded. The performance rating should correlate to the percentage increase as noted in section four. If performance is unacceptable, no increase will be awarded.

2. Program Eligibility
Exempt and non-exempt (monthly, weekly, and hourly, excluding bargaining units) staff are eligible for the FY09 Staff Salary Increase Program if:

  • They were employed with the University on or before February 29, 2008
  • They are in a regular full-time, regular part-time, or limited service status

Individuals in the following classifications are NOT covered by these guidelines:

  • Student workers, interns, and residents
  • Occasional and temporary workers
  • Staff on unpaid leaves of absence
  • Staff on long term disability
  • Staff in collective bargaining units

3. Salary Structures
Penn's salary structure and the information technology (IT) broadband salary structure have been adjusted to reflect market competitiveness, effective April 1, 2008. All staff salaries must be at or above the minimum of their respective salary grades, effective April 1, 2008.

4. Performance Based Increases
The distribution of salary increases should be based on performance. All staff members must receive a current Performance and Staff Development Plan reflecting performance contributions and a plan for the upcoming review cycle. Feedback on annual performance contributions should be given to staff members prior to communicating merit increase decisions. All performance appraisals are due by June 2, 2008.

Merit increases should average to 3.5 percent unless a school or center establishes a lower percentage merit pool based on financial considerations. The aggregated salary pool may not exceed 3.5 percent regardless of performance rating distributions. Employees who consistently meet established standards may receive up to 3.5 percent. Employees with unacceptable performance are not eligible for a merit increase (0 percent). Salary increases above 3.5 percent may be given for performance that exceeds established goals and expectations. Where performance significantly and consistently exceeds established goals and expectations, salary increases may be awarded up to 5.0 percent.

Some schools and centers have financial constraints that can only support budget growth of less than 3.5 percent. These financial constraints will affect the salary increase percentage that can be awarded. This information will be communicated separately by the school or center administration.

Consultation and support regarding the Performance and Staff Development Program can be obtained from the Human Resources Staff and Labor Relations Office at 215-898-6093. The Compensation Office can answer questions regarding the salary increase guidelines, 215-898-1317.

5. Staff with Salaries Above Maximum of Salary Range
Schools and centers may provide staff whose salaries are above the salary grade maximum with a base pay increase and/or a lump sum payment of up to 5.0 percent of their FY08 salary. The base pay increase and lump sum, if combined, are not to exceed 5.0 percent of base pay. 

It is important to remember that all increases, whether to base pay or a lump sum payment, cannot exceed the 3.5 percent overall budgeted salary increases for the schools and centers. All salary increases and lump sum payments must be based on the individual's job performance. Lump sum payments are processed on a Performance Bonus Pay Form using the "SAL" code

6. New Hires/Job Changes/Department Transfers
New University staff members hired after February 29, 2008, may receive performance based increases in FY09 at the discretion of the appropriate Dean or Vice President. Increases may be awarded after successful completion of the introductory period. Such increases are processed through the Division of Human Resources Compensation Office and will be effective in the month after they are received in the Compensation Office.

University staff members who have changed jobs or transferred to a different department are eligible for a July 1st salary increase unless it was included in the original salary offer.

7. Merit Increase Percent Average Analysis
In July the Human Resources Compensation Office completes a detailed analysis of the Annual Merit Increase Program for increases awarded to staff eligible for the SALINC program.

A comparison is made of individual employees’ salaries before and after SALINC. To determine the average percentage increase, the data is “cleaned” by the Compensation Office as follows:

  • Staff must meet the program eligibility criteria as described above.
  • Grades FAC, MED, CPUP, BEN, INT and CNT are not included in the analysis.
  • Terminated Staff are not included.
  • Any merit increase percent that was included as part of an approved reclassification or salary adjustment prior to July 1, 2008, is included in the merit increase percentage calculation.
  • Zero percent increases for vacant positions are not included in the pool percentage calculation. The same budgeted dollars are carried over from FY08 to FY09.
  • Zero percent increases for staff due to documented poor performance are included.
  • Zero percent increases are not included for department transfers where merit increase percentages cannot be determined.

B. PROCESSING

1. Budget
All FY09 detailed budget submissions must be received by the University Office of Budget and Management Analysis by May 6, 2008, for Schools and Resource Centers and April 29, 2008, for Administrative Centers. Compliance with this deadline is essential to allow time to review and process these budgets to the financial accounting system. Although this deadline is scheduled prior to the close of SALINC and details may not be finalized in your center, please do not delay submissions.

Detailed budget submissions received after the deadlines, may not be available by July 1st and may have to be entered in BEN by the school or center using the BEN budget screen. Current expense requisitions, non-purchase order reimbursements, and journal entry expenses cannot be processed until an approved detailed account budget has been entered into BEN.

2. SALINC
SALINC is an on-line data entry system which enables departments to process salary increases electronically. The SALINC screen is a menu selection on the Payroll System and operates in the same fashion as the Job Screen. Training is available for SALINC users. A timeline is attached detailing deadlines for security requests, available training dates and SALINC opening and closing dates. Please see our web site at http://www.hr.upenn.edu/Compensation/SalincLiveFiles/DefaultLive.aspx.

3. Rounding
Rounding of new salaries is required by some areas and optional for others. Please contact the senior business administrator of your school/center for any guidelines on this procedure.

4. Salary Worksheets
This year, salary worksheets will be provided in electronic format to assist you with your salary planning for all SALINC eligible staff and faculty members. These reports will contain employee title, grade, department and salary detail. The electronic reports will be available to the school/center Human Resources Administrators on Thursday, April 17, 2008.

5. Benefits Base/Academic Base
The new Benefits Base salary amount is calculated by the Benefits Office for all A1, A2, A3, and A4 staff members prior to the annual Open Enrollment process.

The new Academic Base for faculty must be entered by the employing (Home) department.

6. Notification
Individuals should NOT be notified of their raise until the salary increases receive final approval from the senior administrator in each School/Center.

C. WHERE TO GO FOR ASSISTANCE

Questions Office Extension
Funding/Account Numbers
Questions on Chart of Accounts
Budget Office 8-6651
General questions on SALINC
To Schedule Training
Staff Reports/Salary Worksheets
Compensation Office 8-1317
Job Performance Issues
Performance and Staff
Development Program
Staff & Labor Relations Office 8-6093

APPENDIX A

TIMELINE FOR FY09 FACULTY/STAFF SALARY INCREASE PROGRAM

February 29  Last hire date to be eligible for FY09 increase.
April 17 

SALINC mailings: Copy of the Faculty and Staff Salary Increase Program Guidelines, SALINC access forms, and salary structure. The Guidelines and forms will be available on the web at: http://www.hr.upenn.edu/Compensation/SalincLiveFiles/DefaultLive.aspx
SALINC reports in electronic format made available to School/Center Human Resources Administrator.

April 24

Deadline for submitting security requests for SALINC access forms

April 25  Last day to make changes on Payroll system to appear in SALINC.
April 28 SALINC database opens
April 29 & 30 SALINC training sessions will be held at the School of Medicine Training Room, 3620 Hamilton Walk, 202 Anatomy/Chemistry:
April 29 11:00am to 12 noon and 1:30pm to 2:30pm.

SALINC training sessions will be held at the Registrar's Training Room, 3451 Walnut Street, 221 Franklin Building:
April 30 9:30am to 10:30am and 11am to 12 noon.
June 10 SALINC database closes at midnight.
June 11 - 30 inclusive Changes cannot be processed in live Personnel/Payroll system for SALINC eligible employees without notifying central HR/Compensation.
June 13 SALINC reports in electronic format distributed for approvals and sign-off to each School/Center Human Resources Administrator
June 30 Due date for SALINC reports with signatures to be returned to Compensation Office.
June 30 Effective date of merit increases for weekly paid employees.
July 1 Effective date of merit increases for monthly paid employees.
July 11 First weekly paycheck to reflect merit increase.
July 31 First monthly paycheck to reflect merit increase.

APPENDIX B

 SALINC USER GUIDELINES

Distribution Dates
Stop Dates for FY08 Exempt A-1, A-2

Non-Exempt A-3, A-4

(monthly)

(weekly)

6/30/08

6/29/08

Start Dates for FY09 Exempt A-1, A-2

Non-exempt A-3, A-4

(monthly)

(weekly)

7/01/08

6/30/08

Stop Dates for FY09 Exempt A-1, A-2

Non-exempt A-3, A-4

(monthly)

(weekly)

6/30/09

6/28/09

 

Eligible Classifications All active type 1, 2, and 3 employees (A-1, A-2, A-3, A-4) hired on or before February 29, 2008, are eligible for the merit increase program and will appear in SALINC.
Ineligible Classifications Student workers, interns and residents
Occasional and Temporary workers
Staff on unpaid leave of absence
Staff on long term disability
Staff in collective bargaining units
Use Live Personnel/Payroll System to Process New hires
Terminations
Faculty summer session salaries
Paid or unpaid leaves of absence
Employee transfers (see below)

 

Employee Transfers The process for transferring individual records is different while SALINC is available. The change MUST be done in the following order:

(1) In SALINC:

Change the JOB ORG on the Job Assignment record to the receiving department's JOB ORG and make the necessary changes to the distribution line.

(2) In PERSONNEL/PAYROLL SYSTEM:

Perform action #019 DISTRIBUTION UPDATE to make the necessary changes to the distribution line.

ENTIRE RECORD - Perform action #010 HOME DEPARTMENT TRANSFER to update the new HOME ORG, mail code, and phone number.

JOB RECORD ONLY - If someone has more than one appointment, you can perform a job transfer only. Use #023 JOB DEPARTMENT TRANSFER to update.

The new department will perform action #008 PROMOTION/ DEMOTION to update the employee record in the live Personnel/Payroll system: an approved position inventory number, job class code, job begin date, class entry date, appointment annual salary, distribution amounts, etc.

The new department MUST update the SALINC record regarding changes to the fields mentioned above. Remember, you must update the record with the approved position inventory number for all transferred employees.

Remember...Update the mail code, telephone number, and any other personal information that may have changed on the Personnel 005 Screen.

IMPORTANT NOTE: For transfers during the period of June 11, 2008, to June 30, 2008, please be sure to contact central HR/Compensation to process the transfer.

Chart of Accounts The "Object Codes" chart for academic and non-academic compensation is located in detail on the web at: http://www.finance.upenn.edu/comptroller/accounting/gloc/index.shtml

Please reference the above web URL to ensure proper usage of the object codes and chart of accounts. If a department has any questions about the usage of object codes and the chart of accounts, they should contact their school/center's senior business administrator. If the senior business administrator has any questions, they should contact the University Office of Budget and Management Analysis (8-6651).

APPENDIX C

SAMPLE NOTIFICATIONS

Notification of New Salary 

Dear _______________________:

      In recognition of your performance contribution over the past year, your merit increase is _____% which is reflected in your new salary for 2008-2009 of $_________________, or $_________________ per (week, hour or month).

      Thank you for your contribution in meeting the goals of our department and the University of Pennsylvania.

Sincerely,

(Immediate Supervisor)

cc: (Department Head)

Performance Requires Improvement 

To: (Staff Member)
From: (Supervisor)
Subject: Performance Requires Improvement
Date:

Your performance over the past year has not consistently met the established requirements of the position and requires improvement in the areas documented as part of the Performance and Staff Development Program.

An action plan for the areas that require improvement was included in your Performance and Development Plan. Time frames for these improvements, as well as expected outcomes will be monitored over the next ________ months.

I expect that your performance will improve over this period and welcome the opportunity to work with you during this time.

APPROVED: Signature of Dean, VP, Head of Unit or Center

cc: Staff & Labor Relations Office
Dean, VP, Head of Unit or Center