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PORT OF SEATTLE MEMORANDUM COMMISSION AGENDA Item No. 7d STAFF BRIEFING Date of Meeting September 27, 2016 DATE: September 15, 2016 TO: Ted Fick, Chief Executive Officer FROM: Cynthia Alvarez, Employee Relations Manager, Human Resources SUBJECT: Human Resources Compensation Equity Study Briefing SYNOPSIS The purpose of this briefing is to present the results of a Port-wide Compensation Equity Study. BACKGROUND The purpose of the compensation study was to conduct a strategic and proactive review that examined differences in compensation for all Port employees, represented and nonrepresented , due to race or gender. Human Resources hired Peoplefluent, an outside expert, who is an affirmative action consultant, to conduct the study. Peoplefluent conducted a compensation study aligned with how the Office of Federal Contract Compliance Programs or OFCCP would conduct a compensation study.1 The compensation review included statistical analysis and a hands-on review of Port employee compensation data. The statistical analysis looked at the employee compensation data three different ways: 1) by job title; 2) by affirmative action job categories and pay grade; and 3) by department and pay grade. The hands-on review included an examination of over 600 employees where differences in compensation could not be readily explained by years of service. We took a deep dive and examined individual pay history. The statistical analysis and hands-on review concluded no disparities in pay due to race or gender. We consider the OFCCP-style methodology used by Peoplefluent in its Port compensation study a best practice. We have implemented a practice of conducting this style of compensation study on a bi-annual basis. 1 The purpose of the Office of Federal Contract Compliance Programs (OFCCP) is to enforce, for the benefit of job seekers and wage earners, the contractual promise of affirmative action and equal employment opportunity required of those who do business with the Federal government. (OFCCP Mission Statement, United States Department of Labor) Template revised May 30, 2013. COMMISSION AGENDA Ted Fick, Chief Executive Officer September 15, 2016 Page 2 of 2 The results of this study indicate we have good pay practices in place. However, we recognize the need to continue our on-going monitoring of pay. We continue to monitor pay in three ways: 1) Our on-going review of pay and equity adjustments as appropriate; for example, when jobs in an entire department are re-evaluated, we take the opportunity to do an equity review to ensure no pay disparities. 2) The practice whereby managers can request pay equity reviews within their workgroup. Conduct an OFCCP-style methodology compensation study as a bi-annual review ATTACHMENTS TO THIS BRIEFING Computer slide presentation. PREVIOUS COMMISSION ACTIONS OR BRIEFINGS None
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