The Salary Allocation Guidelines help support the process of implementing salary increases for staff and faculty. The Salary Guidelines apply to faculty and staff of the University of Kentucky. The Guidelines do not apply to UK Healthcare employees, since UK Healthcare operates on a different financial and salary allocation cycle.

The Salary Allocation Guidelines are intended as a resource for UK Area Fiscal Officers and Budget Officers.

 

Dear Colleagues,

As part of the budget planning process, we are pleased to announce President Capilouto is implementing a FY 2016-17 Salary Allocation Plan addressing important salary objectives. The plan applies to all eligible faculty and staff at the University of Kentucky, excluding UK HealthCare employees (Personnel Area 1500) as UK HealthCare operates on a different salary review cycle. The Board of Trustees approved the FY 2016-17 Operating and Capital Budget, which includes the funding for this plan, on June 24, 2016. The salary adjustments will be effective September 1, 2016 and include:

 

  1. A merit pool for eligible faculty and staff of 2 percent.
  2. A 1 percent increase in the staff salary scales (pay grade ranges).

The accompanying guidelines describe the process for awarding the merit pool and salary scales.
We greatly appreciate the outstanding work faculty and staff do on behalf of the University of Kentucky.

Sincerely,

Timothy S. Tracy
Provost

Eric N. Monday
Executive Vice President for Finance and Administration

 

FY 2016-17 Salary Allocation Plan - Faculty

  • A two percent (2.0%) salary pool is to be allocated among all eligible regular faculty to recognize meritorious performance.
  • The salary pool for faculty may be augmented from other recurring funding sources.
  • Salary increases will be effective September 1, 2016.
  • Any salary adjustment greater than four percent (4.0%) for any individual faculty must be approved by the President or Provost, as applicable.
  • Salary increases (regardless of fund source) shall be awarded to faculty holding regular positions (Personnel subareas 0001-0005) and in good standing in accordance with these guidelines.
  • Do not inform faculty of individual salary increases until you are notified by the appropriate Area Fiscal Officer.

Eligibility

  1. Current faculty must have held a regular position as of January 31, 2016, and not be considered a UK HealthCare employee in Personnel Area 1500.
  2. Faculty must have satisfactory or better performance for calendar year 2015 as measured by the performance evaluation score or other indicator(s). Faculty hired after December 31, 2015, and on or before January 31, 2016, are eligible if their performance during this period is deemed satisfactory by the department or unit head.
  3. Faculty with no documented performance score or indicator for calendar year 2015 are eligible if their performance is deemed satisfactory by the department or unit head.
  4. Faculty whose performance was not satisfactory for calendar year 2015 as measured by the performance evaluation score or other indicator(s) are not eligible for the merit increase.
  5. Any former administrator whose salary was not adjusted back to the faculty salary level upon leaving the administrative role will not be eligible for the merit increase.

Special considerations

  1. A separate pool of funds was previously provided for faculty promotions and allocated to the applicable faculty’s salary effective July 1, 2016.
  2. The entire raise pool must be distributed to eligible faculty as salary increases through this process. The salary pool shall not be used to support programming costs.
  3. In such cases whereby funds for salary increases are not available from the current fund source, other funds must be identified. Lack of funding from a position’s original funding source cannot prevent the establishment of a full two percent salary pool. For example, a faculty member appointed to an endowed chair or professorship has a portion of their current salary and benefits funded from the endowment spending distribution. If there is insufficient recurring funding from the endowment to fund the proportionate salary and benefit increases, other fund sources must be identified.
  4. The faculty salary pool cannot be combined with the non-exempt and exempt staff salary pool.
  5. The allocation of the merit salary pool is subject to review and approval by the President or Provost, as applicable.

FY 2016-17 Salary Alllocation Plan - Non-exempt/exempt staff (excluding UK HealthCare)

  • A two percent (2.0%) salary pool is to be allocated among all eligible non-exempt and exempt regular staff to recognize meritorious performance.
  • The salary pool for staff may not be augmented with other funding sources.
  • Salary increases will be effective September 1, 2016.
  • Any salary adjustment greater than four percent (4.0%) for any individual staff member must be approved by the President, Provost or Executive Vice President for Finance and Administration (EVPFA), as applicable.
  • The merit salary increase pool (regardless of fund source) shall be awarded to eligible staff holding regular positions (Personnel sub-areas 0001-0005) and in good standing in accordance with these guidelines.
  • The current salary scales will increase one percent, as reflected in attachments I and II. All regular staff shall be paid at least the revised minimum of the salary scales, as applicable. An additional pool of funds is to be used for salary scale adjustments. The salary scale adjustments are not to be funded from the two percent salary raise pool.
  • Do not inform employees of individual salary increases until you are notified by the appropriate Area Fiscal Officer.

Eligibility

  1. Current staff must have held a regular position as of January 31, 2016, and not be considered a UK HealthCare employee in Personnel Area 1500.
  2. Staff must have satisfactory or better performance for calendar year 2015 as measured by the performance evaluation (PE score greater than or equal to 2.0). Staff hired after December 31, 2015, and on or before January 31, 2016, are eligible for the merit increase if their performance during this period is deemed satisfactory by the department or unit head.
  3. Staff with no documented performance evaluation score for calendar year 2015 are eligible if their performance is deemed satisfactory by the department or unit head.
  4. Staff whose performance was not satisfactory for calendar year 2015, as measured by the performance evaluation (PE score less than 2.0), are not eligible for the merit increase.

Special considerations

  1. The entire raise pool must be distributed to eligible staff as salary increases through this process. The salary pool shall not be used to support programming costs.
  2. If an employee is already at or above the maximum point for their salary scale, his/her total salary increase shall not exceed two percent without accompanying justification to the President, Provost or EVPFA, as applicable.
  3. The salary scale adjustments shall be applied first. If applicable, the salary rate for any staff employee shall first be increased to the FY 2016-17 minimum salary scale. For eligible employees, the merit increase shall be based on the employee’s salary as of January 31, 2016. The merit increase shall be added to the new minimum rate to calculate the eligible employee’s salary to be effective September 1, 2016.
  4. In such cases whereby funds for salary increases are not available from the current fund source, other funds must be identified. Lack of funding from a position’s original funding source cannot prevent the establishment of the salary pool or scale adjustments.
  5. The exempt and non-exempt staff salary raise pools can be combined for allocation to all eligible staff. However, if the exempt and non-exempt salary raise pools are combined, careful consideration must be taken not to disadvantage either group of employees. The non-exempt and exempt staff salary raise pools cannot be combined with the faculty salary raise pool.
  6. A merit increase may be provided (if funds are available) to any eligible staff member who transfers (demotion, promotion and lateral) between February 1, 2016, and August 31, 2016. The merit increase amount shall be calculated on the employee’s salary in effect on January 31, 2016.
  7. The allocation of the FY 2016-17 merit salary raise pools is subject to review and approval by the President, Provost or EVPFA, as applicable.