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The Honorable Stephe, Yamashiro <br /> February 28, 1997 <br /> Page 3 <br /> Inversion <br /> Because salaries for employees have continued to increase while salaries for <br /> executives have not, the salaries of eight employees have exceeded that of a <br /> department head (however, one employee retired in December'96). Three other <br /> employees have salaries which exceed the salary for department heads. <br /> <br /> With the anticipated 5.1% increase, nine employees will be earning more than a <br /> department head while three employees will be earning more than a deputy <br /> department head. <br /> <br /> This "inversion' of salaries does not make for a sound compensation plan which <br /> recognizes and preserves salary relationships among individuals. This inversion is <br /> especially disconcerting given the fact that department heads and deputy <br /> department heads work closely with these top level managerial employees to <br /> accomplish departmental goals and objectives and in maintaining the operations of <br /> the County. <br /> <br /> The salary commission believes no County employee should earn more than <br /> department heads given the authority and responsibilities of a department head. <br /> <br /> This authority and responsibility should not be valued at $10,848 less than a <br /> subordinate employee. (See Exhibit D.) <br /> Our recommendation will make department head salaries the same as the highest <br /> compensated top level managerial employee and will result in no employee <br /> earning more than a department head. This recommendation only addresses <br /> department head salaries in comparison to top level managerial employees and <br /> does not address the inversion that will still exist with deputy department heads. <br /> Also, we realize that this pay adjustment will be affected in the near future as <br /> negotiations are now taking place for the contract period 1997-1999. <br /> No Pay Adjustment Made Since April 1, 1990 <br /> The last pay adjustment made to executive salaries was on April 1, 1990, after four <br /> years had passed since the previous pay adjustment (1986). As in the instant <br /> situation, the salary commission was asked by the mayor to recommend an <br /> appropriate pay adjustment. The salary commission did so and recommended a <br /> <br />