Human Resources

Definition/Application:

Market adjustments are salary adjustments for an employee or group of employees who have fallen behind in base salary as compared to similar positions at Indiana University and/or in the external market.

Adjustments may not be approved if the differences are explainable based on qualifications, type or length of experience (both internal and external to IU), the work itself, and/or performance. Any external market data utilized must be approved by IUHR Compensation Programs.

Process:

Market Adjustment requests should be handled in consultation with IUHR Compensation.

If you wish to make a market adjustment, please contact a member of the compensation team to discuss.

Market adjustments requested July-November will be effective with the first January pay period. Market adjustments submitted December-June will be effective July 1 and handled through budget construction using an exception code. This timing is to encourage the thoughtful use of equity adjustments and to allow broader compensation planning for departments and RCs.

Approvals:

All Market Adjustment requests require the following:

• Appropriate RC approvals
• Campus HR approval
• Campus Budget approval
• IUHR Compensation approval

Definition/Application:

Counter offers are made in response to a competing job offer from another employer in order to retain high-level performers in hard-to-recruit for and/or highly specialized positions.

When considering a counter offer, current position duties, performance, and level of responsibility should be evaluated to determine if a counter offer is appropriate and, if so, the amount. For competing job offers within the university, the counter offer may not exceed the competing offer amount.

In all counter offers, written evidence of the competing offer must be provided. Internal equity must be considered; adjustments as a result of counter offers do not justify salary adjustments for other similar positions/employees.

Process:

Please consult with IUHR Compensation for review and formal support of the counter offer prior to eDoc submission. All approvals listed below must be obtained before the increase can be communicated to the employee.

Once support has been obtained, please utilize the Mid-Year Pay Adjustment eDoc to process with action reason COU. Approved increases will be effective at the start of a future pay period.

Please attach the internal or external offer documentation and justification for request.

Approvals:

All Counter Offer requests require the following:

• Appropriate RC approvals
• Campus HR approval
• Campus Budget approval
• IUHR Compensation approval

Definition/Application:

Appropriate when position duties have substantially changed and the position now has a sustained increase in responsibility and/or scope.

Local department/campus HR should consider the situation to determine if the increase in responsibility would align the position better with the role descriptor at the next career level (Career Progression) OR if the increase in responsibility is still aligned with the role descriptor at the current career level and warrants a pay increase within the current role descriptor (Higher Level Responsibilities).

Career Progression Pay Increase Process:

If considered career progression, the department should follow the procedures outlined for requesting classification changes for Occupied Existing Positions (Career Progression). The position classification must change before submitting a pay increase associated with career progression.

Once the classification change is approved by IUHR Compensation and the position eDocs are finalized, the department can submit a Mid-Year Pay Adjustment eDoc request effective the date of the classification change using code CAR.

• (CAR) Career Progression - Increase requests for exempt staff should not exceed the midpoint of the pay range. Increase requests up to 4% do not require IUHR Compensation review. Please utilize the Mid-Year Pay Adjustment eDoc to process with action reason CAR.

Increase adjustment for position duty changes should take place outside of budget construction when an employee meets the performance expectations of current job responsibilities.

Approved increases will be in alignment with the position reclassification and effective at the start of a pay period.

Higher Level Responsibilities Pay Increase Process:

Pay increases can also be requested to recognize increases in responsibility in a position that do not result in career progression to the next career level.
Departments can submit a Mid-Year Pay Adjustment eDoc request effective the start of the next pay period using code HLR.

In eDoc note of Mid-Year Pay Adjustment request, please provide information/details about the increase in responsibility/changes to the position that necessitate and justify the pay increase.

• (HLR) Higher Level Responsibilities - Increase requests cannot exceed 8% or the maximum of the pay range. Increase requests up to 4% do not require IUHR Compensation review. Please utilize the Mid-Year Pay Adjustment eDoc to process with action reason HLR.

Increase adjustment for position duty changes should take place outside of budget construction when an employee meets the performance expectations of current job responsibilities.

Approved increases will be in alignment with the position reclassification or update and effective at the start of a pay period.

Approvals:

All In-Position Job Duty Change requests require the following:

• Appropriate RC approvals
• Campus HR approval
• Campus Budget approval
• IUHR Compensation approval

Definition/Application:

A High Value Request is a one-time increase that may be used in a limited capacity (typically less than 5-10% of eligible staff in an RC or campus) to proactively reward high performing individuals in their current positions.

This action reason should not be used when an employee has received a competing job offer; the correct action reason for increase requests resulting from a competing job offer is COU (see “Counter offers” above).

Example: Employee Jane D. is a long-tenured employee whose knowledge of particular systems and processes is critical to the success of an upcoming key initiative. Adjusting her pay 5% shows the appreciation and value of her knowledge and abilities.

Example: Employee Jim B. has been with the university for 3 years. In that time, he has grown tremendously in his role and now has substantial expertise. Adjusting his pay 5% acknowledges his growth and the greater impact of his role for the department.

Process:

Please utilize the Mid-Year Pay Adjustment eDoc to process with the action reason RET.

Approved increases will be effective at the start of a future pay period.

High Value requests cannot exceed 8% or the maximum of the pay range. Increase requests of up to 4% do not require IUHR Compensation review. Increase must align with market for role.

Typically an employee will not receive another increase outside of budget construction within the fiscal year.

Approvals:

All High Value requests require the following:

• Appropriate RC approvals
• Campus HR approval
• Campus Budget approval
• IUHR Compensation approval