Guidelines for Additional Pay
Additional pays are used to provide additional compensation to employees for a multitude of reasons. Additional pays should be provided to employees in consultation with IUHR Compensation. All additional pays should be reviewed and approved by the appropriate budget office(s) and IUHR Compensation prior to communication with employee(s).
Temporary Pay
Temporary pay adjustments are used to assign higher-level responsibilities to an employee on a temporary basis, for situations such as the facilitation of flexible staffing and career development. The below guideline can be helpful in determining the amount of a temporary pay:
| Temporary change | Amount of Temporary Pay Adjustment | ||
|---|---|---|---|
| Modest Increase (3-5%) |
Moderate Increase (6-15%) |
Significant Increase (16-25%) |
|
| Degree of increase in responsibilities | Modest | Significant | |
| Demonstrated ability to perform the duties of the new job | Consistently demonstrates | Consistently exceeds | |
| Level of responsibilities assumed | Lower/same | Same/moderately higher | Significantly higher (serving in acting/interim capacity) |
| Portion of responsibilities assumed of other position | Partial | Full (serving in acting/interim capacity) | |
| Portion of responsibilities retained of current position | None/partial | Partial/full | Full |
Temporary pay adjustments may not exceed 25% of the employee’s current pay, and are subject to specific union requirements as outlined in the policy HR-03-90: Temporary Pay.
Supplemental Pay (Exempt staff only)
Supplemental Pay may be used to provide compensation for occasional services provided to the university by an employee outside of the normal work effort of their Exempt staff role. The responsibilities performed must be:
- Outside the scope of an employee’s university job responsibilities,
- Not related to a service that would otherwise be provided by the employee’s department,
- Usually for services conducted for a department other than the department where the employee’s position is assigned.
All supplemental payments must comply with the policy HR-03-80: Supplemental Pay for Occasional Additional Services for Exempt Staff Policy.
Discretionary Bonuses
A discretionary bonus is an after-the-fact, discretionary lump-sum payment provided to reward exemplary performance and achievement of quantifiable results beyond the normal expectations for a position.
A lump-sum Discretionary Bonus payment(s) of up to $1,500 for a part time employee and $5,000 for a staff employee in a fiscal year may be considered.
The expectation is that less than ten percent of eligible staff and part time employees in a RC or on a campus will receive a Discretionary Bonus during a fiscal year.
All discretionary bonuses must comply with the requirements outlined in the policy HR-03-70: Reward and Recognition Plans.
Incentive & Commission Plans
Incentive and commission plans are a documented, defined bonus plan designed to reward achievement of specific, measurable results that are defined at the beginning of the performance period (i.e. calendar year, fiscal year or semester). The individual or team results should advance the university’s strategic goals and initiatives. An Incentive Pay or Commission Plan is a forward thinking arrangement and cannot be established retroactively.
The department must have a completed and fully signed Incentive & Commission plan document on file with IUHR Compensation prior to the start of the award period.
All incentive & commission plans must be compliant with the policy HR-03-70: Reward and Recognition Plans.
Recognition Plans
An employee recognition plan is an established award such as a university, campus or school award that is designed to recognize and reward performance of select employees. The awards are not intended to be provided for length of service recognition.
Criteria for the award should be determined in consultation with the Campus HR Office.
All recognition plans must be compliant with the policy HR-03-70: Reward & Recognition Plans.
