Salary Grid:

Who said:
"[W]e have the right to hire staff above the grid floor, accelerate staff through the grid and to make one-time-only, bonus payments to members of the Union."

"If off-grid payments become the norm and not the exception, we may have to suggest more draconian ways of controlling them."

- Michael Finlayson, Vice-President, Administration and Human Resources

Our collective agreement resulted in substantial changes in how salary increases are granted. Previously, the only guaranteed salary increases occurred when the entire salary range was adjusted. The merit system also allowed for discretionary salary increases.

The old system had several problems with it. Merit increases were essentially the only method by which someone could advance within their classification. But, in July 1999, 25% of our members did not receive any merit pay and the majority of those who did receive merit pay, received 2% or less.

Our agreement now provides for both across the board increases and a step movement up the salary grid. Members who are not at the top of their classification are now guaranteed an upward movement in their job classification as well as the across the board increase. Additionally, "the University can, in its sole discretion, move employees through the grid at an accelerated rate." (Page 29; Schedule A, article 5) Employees who have been promoted or newly hired will at a minimum be paid the starting rate, "but the University, can in its sole discretion, place newly hired or promoted employees at any step on the grid above the starting rate". (Page 29; Schedule A, article 6).

As well, "the University may, in its sole discretion, make lump sum payments to employees in addition to an employee's base salary." (Page 29; Schedule A, article 6) However, although our agreement provides for bonuses and acceleration through the grid, the University has instructed its managers not to provide such increases. A memo dated April 20th, 2000 from Michael Finlayson to PDAD&C cautions managers that "[w]hile these provisions provide us with welcome flexibility to respond to 'hot' skills, market pressures and extraordinary achievements by individuals, we should bear in mind that this compensation flexibility is a two-edged sword. Every one of these off-grid payments must be reported to the Union and is likely to be used in the next round of bargaining with the University as evidence of the University's ability to pay higher wages to all staff." The memo also states that only so-called exceptions to the norm should receive these payments and that "If off-grid payments become the norm and not the exception, we may have to suggest more draconian ways of controlling them."

Many members have been wondering if they are still eligible for promotional increases greater than the minimum grid step increase or if they can continue to receive the bonuses that they received in the past as recognition for a job well done. Some people have been told that larger promotional increases or bonuses are no longer allowed or that only "exceptional" employees qualify for such increases. Our collective agreement clearly allows the University to continue to recognize and acknowledge the quality of work performed by our members. We cannot understand why the University is now unwilling to recognize and acknowledge the value of the work performed by our members. UofT works because we do.

Q: The grid step system removed the discretionary aspect in salary increases and has made advancing in a job classification fairer. (Fact)

The implementation of the grid step system resulted in raising the hiring rate by 5% and moved the job rate up from the mid-point to the top of the classification. The annual grid step progression means that if anyone is in a job for ten years, it is guaranteed that they will progress to the top of the classification.The grid step system has resulted in leveling the field. No longer are employees at the mercy of the discretionary aspect of the old merit system. Prior to the collective agreement a number of people were in classifications for years without advancing upwards in the classification. The grid system corrected this injustice allowing members to advance upwards within a classification. After all, after ten years in a job, it's quite clear that the person knows how to perform the job. The grid step process implemented in the first collective agreement ensured that members are compensated fairly for the work that they do and that there is a regular progression upwards towards the job rate. The language in our new collective agreement on the creation of a joint Job Evaluation Committee to evaluate our jobs takes us much closer to our goal of a fair and transparent job evaluation system.