Intro

du

ction

to Salary D

etermin

ation

Module #1 References

Instructor: Debra Clary

Statewide Training

Personnel and Payroll Services Division

1 | P a g e

Table of Contents

Module Topics .......................................................................................................... 2

Disclaimer ................................................................................................................. 2

Contacts .................................................................................................................... 3

Resources Links ........................................................................................................ 4

Terminology/Definitions .......................................................................................... 5

PMPPM Section 300 ................................................................................................. 8

300.1 Probationary and Permanent Status Definitions .................................... 8

300.2 Appointment and Status ........................................................................ 9

315.1 Transfers .............................................................................................. 11

Compounding Formula .......................................................................................... 12

Explanation .................................................................................................... 12

Example ......................................................................................................... 13

Group Exercise ....................................................................................................... 16

Quiz ........................................................................................................................ 17

2 | P a g e

Disclaimer

Module #1 Topics

~ Gaining Status in State Service

~ Transferring in State Service

~ the Compounding Formula

• Why we use it • How to calculate it • How to apply it

The following reference materials are to provide assistance to personnel staff with frequently asked questions about gaining status with the State of California and the calculation of salaries.

These references, along with the online instructional power point, are intended to assist Personnel staff in understanding and applying the laws, rules and regulations of salary determination for transfers and/or list appointments for the employees of the State of California

This training is not meant to replace, but to enhance, the training and instruction you have already received from, your HR department.

3 | P a g e

• Debra Clary dclary@sco.ca.gov

• SCO Customer Contact Center 916.372.7200

• California Department of Human Resources Personnel Services Branch 916.323.3343 psb@CalHR.ca.gov

Contacts

4 | P a g e

Bargaining Unit Contracts https://www.calhr.ca.gov/state-hr-professionals/pages/bargaining-contracts.aspx

California Code of Regulations (DPA Rules)

www.oal.ca.gov

California Law (Gov. Codes) https://leginfo.legislature.ca.gov/faces/codes.xhtml

California Leave Accounting System (CLAS)

www.sco.ca.gov/ppsd_clas.html

CalHR Benefits Programs https://www.calhr.ca.gov/employees/Pages/salary-and-benefits.aspx

Civil Service Pay Scales https://www.calhr.ca.gov/state-hr-professionals/Pages/pay-scales.aspx

Decentralized Calendars www.sco.ca.gov/ppsd_decentcal.html

Management Information Retrieval System (MIRS)

http://www.sco.ca.gov/ppsd_mirs.html

Paycheck Calculator www.sco.ca.gov/ppsd_se_paycheck_calc.html

Payroll Procedures Manual (PPM)

www.sco.ca.gov/ppsd_ppm.html

Personnel Management Liaison Memos (PMLs)

https://www.calhr.ca.gov/pmls/forms/allitems.aspx

SCO Payroll Letters www.sco.ca.gov/ppsd_sco_letters.html

State Employee Information (pay dates, W2, direct deposit, etc.)

www.sco.ca.gov/ppsd_se_payroll.html

Statewide Training www.sco.ca.gov/ppsd_st_training.html

5 | P a g e

Terminology Item Definition

Actual Time Worked (ATW)

ATW is defined as 194 days in 12 consecutive months. Employees appointed under temporary authorization utilization (TAU) may be appointed on the basis of ATW. ATW is a method that can be used to keep track of a TAU employee’s time to ensure that the Constitutional limit of 9 months in any 12 consecutive months is not exceeded. Typically, the ATW is 194 working days in 12 consecutive months, regardless of the classification or the department the temporary appointment was served under, unless they have had a three-month break in service. Student Assistants have been approved to work on an ATW basis up to a maximum of 1500 hours in a consecutive month period regardless of the number of days they have worked. Typically, the ATW method of counting time is used in order to continue the employment status of an employee while attending school or for seasonal type work.

Absence Without Leave (AWOL)

AWOL for five consecutive days, whether voluntary or involuntary, is considered an automatic resignation from State service as of the last day the employee worked. An AWOL-resigned employee may file a request for reinstatement with the Department of Personnel Administration (DPA). Reinstatement will be granted only if the employee provides a satisfactory explanation as to the cause of the absence and his/her failure to obtain leave, and it is found that s/he is ready, able, and willing to discharge his/her duties or has obtained his/her former employer’s approval for a leave of absence.

Absence Without Pay (DOCK)

When an employee has exhausted all leave credits, future approved absences are unpaid. An appointing power may grant an informal leave of absence without pay.

Appointing Power A person or group (usually the departmental Director or Governing Board) having authority to make appointments to positions in the State civil service.

Career Executive Assignment (CEA)

Government Code Section 18547 defines CEA as: “An appointment to a high administrative and policy influencing position with the state civil service in which the incumbent’s primary responsibility in the managing of a major function or the rendering of management advice to top-level administrative authority. Such a position can be established only in the top managerial levels of state service and is typified by broad responsibility for policy implementation and extensive participation in policy evolvement. Assignment by appointment to such a position does not confer any rights or status in the position other than provided in Article 9 (commencing with Section 19889) of Chapter 2.5 of Part 2.6.”

Class Code The four-digit number used by the State Controller’s Office for payroll purposes. This number is assigned by the Department of Personnel Administration.

Class Series A group of two or more classes similar in duties but different in level of responsibility (e.g., the classes of Staff Services Manager I, II, III)

Collective Bargaining Identifier (CBID)

CBID refers to a three-digit code that is assigned to each job classification. CBID designates if a classification is rank and file (R), managerial (M), supervisory (S), confidential (C), excluded (E), exempt (E), or unassigned (U); as well as the collective bargaining unit the classification is aligned to, if applicable.

Emergency Appointments

Emergency appointments allow appointing powers to hire staff for a short period without respect for employment lists to:

• Respond to true emergencies such as fire or flood • Perform unusual, short duration work (30 days or less) • Fill temporary vacancies (20 to 60 days) in established positions

Hire Above Minimum (HAM)

The HAM salary rate above the minimum rate in the salary range that may be offered to an applicant who has extraordinary qualifications.

6 | P a g e

Intermittent Employee Intermittent employment is irregular or recurring, hourly employment that is less than full time each year. It is used to provide a trained work force available on an “on-call” basis to supplement a department’s full-time staff in handling peak workloads. An intermittent appointment is appropriate when the varying nature of the work schedule makes it impractical to use a full-time or part-time (fractional) appointment with a fixed number of working hours every pay period. Intermittent employees are paid by the hour and there is no absolute guarantee of a total number of hours of work to be made available. The amount of work an individual intermittent employee may receive is contingent on availability of work and funds, the employee’s skills or knowledge of the particular assignment, and the employee’s availability for work. An intermittent appointment can be made to a permanent or a temporary position. GC 18552 defines an intermittent position or appointment as a position or appointment in which the employee is to work periodically or for a fluctuating portion of the full-time work schedule.

Limited-Term (LT) LT appointments are distinguished from TAU appointments by the fact that they are made as a result of certification from civil service employment lists, reinstatement, or transfer. LT appointments are distinguished from permanent and probationary appointments by the fact that they are made for a limited duration and do not confer civil service employment rights beyond the specified time period. In addition, limited-term employees have substantially less tenure protection that permanent or probationary employees.

Merit Salary Adjustment (MSA)

A MSA is a one-step (5 percent) increase in the salary of an employee who is not paid at the maximum step of their salary range and has met the standards of efficiency required to the position.

Modified Classification Review (MCR)

MCR refers to a program of decentralized of the position allocation process. Under this program, departments may be authorized to establish new positions, reclassify existing positions, and/or refill vacancies in certain classifications without prior classification review by DPA.

Out-of-Class (OOC) For excluded and most rank-and-file employees, OOC work is defined as performing the full range of duties and responsibilities allocated to an existing classification more than 50 percent of the time, and the position is not allocated to the classification in which the person has a current, legal appointment.

Public Employment Relations Board (PERB)

The Public Employment Relations Board (PERB or Board) is a quasi-judicial administrative agency charged with administering the collective bargaining statutes covering employees of California’s public schools, colleges, and universities, employees of the State of California, employees of California local public agencies (cities, counties, and special districts), trial court employees and supervisory employees of the Los Angeles County Metropolitan Transportation Authority.

Range Change An alternate range is an additional range of pay established for a classification which represents compensation for:

• Satisfactorily completing the duties appropriate for the classification for the period of time noted in the criteria of the alternate range; or

• Possessing the education/experience/skills/competencies as defined under each alternate range criteria for each classification

Red Circle Salary Rates A red circle rate is a rate of pay authorized above the maximum salary for a class. A red circle rate is intended to mitigate the hardship when an employee’s salary is to be lowered through no fault of the employee. It is never to be used in cases where the lowered salary is the result of disciplinary action.

Resolution A formal statement adopted (passed) by the five-member board which makes clear their decision on the status, rights and eligibilities of incumbent and prospective

7 | P a g e

employees. When adopted, the resolution becomes the legal instrument for accomplishing the decision. It is firm and fixed in purpose and may not be altered or rescinded except on a current basis by the passage of another resolution.

Retired Annuitant A former employee of either the State or other public agency that contracts with PERS and who is receiving a retirement allowance.

Schematic Code The four-character, alpha numeric code (e.g., JY15) which identifies the occupational (schematic) group to which a class is assigned by the Department of Personnel Administration.

Temporary Authorization Utilization Appointment (TAU)

A temporary appointment may be made to a position for which there is no employment list. No person may serve in one or more positions under temporary appointment longer than 9 months in 12 consecutive months. A temporary employee such as a Seasonal Clerk is allowed to work a total of 9 months in a 12 consecutive month period. The approved time begins at the point of appointment, not on a calendar year basis. The 9-month period may be computed on a month by month calendar basis or on an ATW basis. Temporary employees whose time is accumulated by working 9 months out of 12 consecutive month period cannot exceed the 1500 hour limitation, regardless if the employee changes temporary classification (i.e., seasonal clerk to student assistant or vice versa). This also applies if the employee changes temporary departments during the 12 consecutive month period. In addition, a temporary employee who works in two temporary classifications within the calendar year cannot exceed the 1500 hour limitation. Temporary employees holding multiple TAU positions must combine all time towards the 1500 limitation during the 12-month period.

Training & Development Assignment (T&D)

T&D assignments are temporary assignments of up to two years for the purpose of training. Subject to State Personnel Board (SPB) regulation, a T&D may involve performing duties of a classification other than the employee’s appointed classification. A T&D may be made within a department or between departments and they are always voluntary.

Voluntary Demotion A voluntary demotion is a movement to a class with a lower salary range upon the request or concurrence of an employee. This is distinguished from an involuntary demotion, which is not at the concurrence of the employee and which may occur due to a rejection on probation, in lieu of layoff, or disciplinary action.

Work Week Group (WWG)

The designation of a work week group (WWG) is the method of recognizing whether a class is covered by the Fair Labor Standards Act (FLSA) or is exempt from FLSA coverage in determining eligibility for overtime. The FLSA is the Federal minimum wage and overtime law. In 1985, all employees of the State of California became subject to the FLSA; however, there are many types of jobs that are exempted.

8 | P a g e

California State Personnel Board

Original Issue Date December 3, 1979

Section Number 300

Personnel Management Policy and Procedures Manual 500-911

Major Area

Appointment and Status

Subject

Employee Status (General)

SUBJECT/PURPOSE Employee “status” in civil service refers to the rights and privileges that employees gain from successful competition in an examination for the assumption of its duties. Employees gain status rights in classes rather than positions, since a civil service examination covers all of the positions within a class. Status rights include, but are not limited to, employee tenure, reinstatement, seniority, and leaves of absence. Since the Constitution requires that permanent civil service appointments and promotions be based on merit, all status rights must tie back to some original competitive exam. Also, since status often involves rights that employees hold in relation to each other, such as seniority, any status determination for one employee must involve consideration of how the rights of other employees will be impacted. Employee status (or lack of it) is defined as it applies to the following types of employees:

1) permanent;

2) probationary

3) Career Executive Assignment (C.E.A.);

4) limited Term;

5) temporary; and

6) Those employees who have worked “out of class”.

The term “status” is usually applied only to permanent or probationary employees or, in some cases, to other types of employees who have previously had permanent or probationary status. Employees serving under limit-term or temporary authorization appointments do not acquire status in a position or class from such appointments, although such service maintains the continuity of State service and thereby, preserves previously acquire status rights.

Date Revised: Date Superseded: 4/84 12/79

Page 300.1

9 | P a g e

California State Personnel Board

Original Issue Date December 3, 1979

Section Number 300

Personnel Management Policy and Procedures Manual 500-911 A (1/79)

Major Area

Appointment and Status

Subject

Employee Status (General)

For further information on split-off and reallocation, refer to PMPP Manual, Section 110. AUTHORITY AND DEFINITIONS

PROBATIONARY STATUS

Government Code Section 18527 defines probationary status as “…an employee who has been certified and appointed from an employment list, or has been reinstated after resignation, or has been transferred or demoted but who has not completed the probationary period…” Probationary periods only occur for permanent appointments.

PERMANENT STATUS Government Code Section 18528 defines permanent status as “…an employee who is lawfully retained in the position after completion of the probationary period…”

CAREER EXECUTIVE ASSIGNMENT

Government Code Section 18547 defines C.E.A. as “…an appointment to a high administrative and policy-influencing position with the State civil service in which the incumbent’s primary responsibility is the managing of a major function or the rendering of management advice to top-level administrative authority. Such a position can be established only in the top managerial levels of State service and is typified by Board responsibility for policy implementation and extensive participation in policy evolvement. Assignment by appointment to such a position does not confer any rights or status in the position other than provided in Article 8 (commencing with Section 19220) or Chapter 6 of this part.3 These employees serve in their positions subject to termination under Government Code Section 19222 and at the termination of their appointment to a C.E.A. position have the right of return to their last former position held prior to the C.E.A. appointment.

TEMPORARY APPOINTMENT

A temporary appointment is an appointment made in the absence of an appropriate employment list and cannot exceed 9 months in any 12 consecutive month periods. Government Code Sections 19058 and 19059 provide that a temporary appointee, as such, shall not acquire any probationary or permanent status and time spent under temporary appointment shall not contribute to the probationary period if the appointee is subsequently successful in an examination and is certified and appointed to the position. Attorney General’s Opinion NS4971 holds that a temporary appointment does not entitle the employee any status in the class.

Date Revised: Date Superseded: 4/84 12/79

Page 300.2

10 | P a g e

California State Personnel Board

Original Issue Date December 3, 1979

Section Number 300

Personnel Management Policy and Procedures Manual 500-911 A (1/79)

Major Area Appointment and Status

Subject Employee Status (General)

AUTHORITY AND DEFINITIONS (cont.)

LIMITED-TERM APPOINTMENT

A limited-term appointment is an appointment made as a result of reinstatement or certification from an employment list not to exceed the probationary period for the class. Government Code Sections 19080, 19083, and 19083.3, and SPB Rule 281 provide that no limited-term employee may be retained in a position beyond one year provide that the Board may authorize limited-term appointments of up to a total of two years1 duration when a permanent appointment would be likely to cause a layoff demotion or mandatory transfer requiring a change of residence. (See PMPP Manual, Section 331 for discussion of consecutive limited-term appointments.) No time served in any such limited-term employment may count towards acquiring status in any position/class. Attorney General’s Opinion dated June 28, 1939, holds that an employee appointed to a limited-term position does not gain status from such an appointment.

OUT OF CLASS Government Code Section 19255 provides that “A person shall not be assigned to perform the duties of any class other than that to which his position is allocated.” Attorney General’s Opinion dated April 29, 1939, holds that an employee working out of class does not gain status in a class. An employee working out of class would be entitled to acquire status in a class only if they were also appointed from a list for the class or were eligible for reinstatement or transfer to the class during the time the duties were being performed. Such an employee could be legally appointed retroactive to the date he/she was eligible, and, thereby, gain status in the class. Payment for working out of class does not grant the employee status in the class.

TIME BASE AS RELATED TO STATUS

Time base has been historically protected by civil service as a status right and employees have been required to gain eligibility for appointment by time base.

Date Revised: Date Superseded: 10/30/86 04/04/84

Page 300.3

11 | P a g e

Personnel Management Policy and Procedures Manual

Subject and Section Number Transfer

Revised: Replaces: 4/92 2/90

Page 315.1

SUBJECT/PURPOSE This manual section outlines the legal requirements and policies on the transfer of civil service employees between different classes and/or appointing powers. Transfers between positions in the same class or between work locations under the same appointing power are under the jurisdiction of the Department of Personnel Administration. A transfer is the movement of an employee from one position to another position in the same class but under another appointing power, or movement of an employee to a position in a difference class that has substantially the same level of duties, responsibility, and salary. Within civil service laws and regulation, transfer are discretionary on the part of management and can be either voluntary or involuntary on the part of the employee. Transfers to not require competition in a new civil service examination, since the employees1 present status is presumed qualifying for status in the new class. However, a written and/or oral transfer examination may be requested by the appointing power or required by the State Personnel Board (SPB) when significantly different skills, knowledge, and abilities are required in the new class. In addition, transfer to affirmative action target classes must meet the publication and screening standards contained in Regulation 444. AUTHORITY (GENERAL)

CONSTITUTION, ARTICLE VII The constitution requires that “in the civil service permanent appointment and promotion shall be made under a general system based on merit ascertained by competitive examination.” Therefore, a transfer may only be made if the employee has held a permanent appointment made as a result of a competitive examination in the same class or a class substantially the same as the class to which the person is transferring. GOVERNMENT CODE 18525.1. “Promotion” means the appointment of an employee to a position in a different class with a higher salary ranges, unless the appointment is by transfer, as defined by subdivision (b0 of Section 18525.3). 18525.3 “Transfer” means both of the following:

(a) The appointment of an employee to another position in the same class but under another appointing power.

(b) The appointment of an employee to a position in a different class that has substantially the same level of duties, responsibility, and salary, as determined by board rule, under the same or another appointing authority.

12 | P a g e

COMPOUNDING FORMULA INFORMATION

List Appointments Used in the Compounding Formula:

13 | P a g e

14 | P a g e

15 | P a g e

Now it is your turn… Please press PAUSE and complete the exercise below. The exercise will be in the printable references that you have printed for this module. Once you have completed the exercise, press PLAY and we will go over the exercise together. Here we go…

Exercise: Julie has a list appointment to the Administrative Assistant I classification. She wants to transfer to a Legal Analyst classification. Assuming she has met the minimum qualifications for the Legal Analyst position, can Julie transfer?

• For assistance, refer back to slide #10 or your handout of slide page #10 on completing the Compounding Formula to determine the EE’s Maximum Transfer Eligibility.

16 | P a g e

List classification (A01): Administrative Assistant I max = $5360. New classification: Legal Analyst max = $5629.

_________ x 1.05 = _________ x 1.05 = _________ - 1.00 = _________ Max of Last/Highest A01,

A20, A21, A22 Round Appropriately Round Appropriately Maximum Transfer

Eligibility

Based on the Maximum Transfer Eligibility can Julie transfer to the Legal

Analyst classification? YES / NO

Why or why not?

17 | P a g e

Ok everyone, it is time to check what you have learned from this module!! I have 4 questions I’d like for you to answer. Please press PAUSE on this module so that you can answer these questions. Once you have completed the 4 questions, please press PLAY again and we will go over the answers together.

1. To gain “status” in state service, an employee must: a. work for the State of California for 6 months in any position b. worked for the State of California in a permanent and/or

probationary position c. have completed a probationary period in any classification within

the State of California

2. An EE may only transfer within the State of California if: a. The employee has held a permanent appointment made as a result o

a competitive examination b. The employee has held any appointment made as a result of a

competitive examination c. The employee has completed a probationary period from an

appointment made as a result of a competitive examination

3. Which reference material did we use to find information on transferring in state service?

a. the Personnel Transaction Manual b. the Payroll Procedures Manual c. the Personnel Management Policies and Procedures Manual

4. The compounding formula can be done using:

a. the maximum salary of any appointment the ee has held in state service

b. the maximum salary of a list appointment the ee has held in state service

c. the maximum salary of the ee’s current classification