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Item 9B Approve a Market Adjustment to the City of Southlake Employee Compensation Program Item 9B Compensation Program Adopted with FY 2007 Budget General Purpose to attract, retain and motivate employees by offering pay opportunities commensurate with their position’s internal and external value. Overall Philosophy to establish and administer an equitable program that provides for consistent treatment for all employees. Compensation Program Goals Pay philosophy of 103% of weighted market average of market cities Employee Compensation History FY 2010: No pay raises FY 2011: 1.4% COLA Lump Sum No pay raises Market Survey Completed Annually 12 Market Cities / 70 Benchmark Positions Analysis: Slight movement compared to FY 2011 Survey *Compares Southlake Midpoint to Market City Midpoint Market survey *Compares Southlake Midpoint to Market City Midpoint Market survey *Compares Southlake Midpoint to Market City Midpoint Market survey *Compares Southlake Midpoint to Market City Midpoint Market survey *Compares Southlake Midpoint to Market City Midpoint Market survey *Compares Southlake Midpoint to Market City Midpoint Market survey Market Adjustment Recommendation Approve market adjustment July 1, 2011 Adjust pay plans to better align with desired market position Average employee pay increase: 3.9% Financial Considerations Estimated FY 2011 financial impact: Funding available in the adopted FY 2011 budget Estimated FY 2012 financial impact: Staff Recommendation Approval of a market adjustment to the City of Southlake Employee Compensation Program Questions: Stacey Black 817-748-8063