Title
A RESOLUTION ADOPTING THE CITY OF LEE’S SUMMIT, MISSOURI’S COMPENSATION PHILOSOPHY.
(Note: This item was CONTINUED from December 7, 2017 per Council’s request.)
Body
Issue/Request:
A RESOLUTION ADOPTING THE CITY OF LEE’S SUMMIT, MISSOURI’S COMPENSATION PHILOSOPHY.
Key Issues:
As part of the Compensation and Benefit Study, Springsted Inc was asked to help facilitate the development of a compensation philosophy. The purpose of the philosophy is to effectively communicate the City Council's intent regarding compensation for the organization and provide clear guidance and direction to the City.
Much like how the City Council developed the Economic Development Incentive Policy to guide the use of incentives to achieve the Council’s vision and goals for economic development, a compensation and benefit philosophy would be used and developed in the same way for the purpose of allocating financial resources to achieve the Council’s vision, goals, and values for workforce resources. Creation of this policy level document will help guide and direct financial resources through the annual budget process.
On January 28, 2017, the City Council was surveyed to gather input and guidance to be used in the creation to the philosophy. The resolution and attachments are proposed for City Council's consideration and discussion.
Proposed City Council Motion:
I move to adopt A RESOLUTION ADOPTING THE CITY OF LEE'S SUMMIT COMPENSATION AND BENEFIT PHILOSOPHY.
Background:
Key elements of a compensation philosophy include direction to these questions;
1. What is your overall perspective on the compensation and benefits provided to the City of Lee’s Summit employees? What is your perspective on the City’s current level of competitiveness?
2. What is your desired target level of competitiveness for the City of Lee’s Summit? (definitions below)
• At market: set salary structures comparable to those within Lee’s Summit’s competitive market
• Lead market: set salary structures higher than those within Lee’s Summit’s competitive market
• Lag market: set salary structures below those within Lee’s Summit’s competitive market
3. Is this competitive position relative to the market driven by: challenges in recruitment or retention; a goal to be an “employer of choice” in the industry and market area; the City’s current and historical financial position; current growth projections; other financial obligations; etc. or something else?
4. How can the City’s current classification and compensation system be improved to support the Council’s stated goal and objective of ensuring employee satisfaction and engagement?
5. The City’s Mission, as documented in the 2015-16 Annual Report is “to create positive community relationships and a progressive organization delivering valued programs and services.” One of the purposes of this study is to prioritize the various elements of total compensation (through employee feedback) and to identify applicable/appropriate emerging trends the City may want to consider. What “progressive” forms of compensation or benefits are you aware of that you’d like to see the City review?
6. How does the City’s total compensation package, and through it, the City’s employees, support the numerous Council goals and initiatives (ranging from public safety and infrastructure to community and economic development and fiscal sustainability)?
7. What guidelines would you like to see considered to facilitate the ongoing maintenance of the City’s classification and compensation system? Are there aspects of the City’s current total compensation program (performance management system, methodology for how employees move through their assigned range of pay, etc.) that you believe to be a particular strength or weakness that should be changed?
8. What additional information would you like to provide for consideration in the development of a total compensation philosophy or to guide this project?
Presenter
Presenter: TL Cox, Vice President (Springsted) and Nick Edwards, Director of Administration
Recommendation
Recommendation: N/A
Committee Recommendation
Committee Recommendation: N/A