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Presentation to Yap Campus

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Title: Presentation to Yap Campus


1
College of Micronesia-FSM
Presentation to Yap Campus Compensation
Benefits Study Results of Stages One Two
September 2010
2
Background Overview
3
Background Overview
COMs current compensation model has
four classifications of employees Classified,
Professional, Management and Faculty.
Since their adoption in 1996 the
classifications have not been adjusted to reflect
appropriate labor markets and relevant economic
standards.
4
Background Overview
In brief, the study is to address the
following areas a) accurate classifications
and compensation b) sustainable and
competitive pay schedules c) incentive
program(s) linking directly to pay schedules d)
investigate duplicate and nonessential services
5
Project Overview
6
Project Overview
Stage 1 Internal Analysis (including
Streamlining
Committee Results / Instructional
Master Plan)
Stage 2 External Analysis
Stage 3 Implementation
Supp. Projects Performance Management
7
Stage One Internal Analysis
a) Current Compensation
b) Job Evaluation
c) Regression Analysis (Internal)
d) Job Audit / Streamlining Results
8
a) Current Compensation
9
a) Current Compensation Budget - F/Y10

Base Salary 5,893,634 69.7
Sp. Contract Services 935,640 11.0
Housing 822,000 9.7
Social Security 379,737 4.5
Health 198,669 2.3
Retirement 175,583 2.0
Life 40,073 0.4
8,445,336 100.0
10
a) Current Compensation Departments - as at
4/7/10

Instructional Affairs 2,660,647 44.4
Administration 1,752,563 29.3
Student Services 954,917 16.9
CRE 519,610 9.7
Presidents Office 100,776 2.7
5,988,513 100.0
11
a) Current Compensation Campuses - as at 4/7/10

National 2,788,258 47.6
Pohnpei 1,044,568 17.4
Chuuk 789,416 13.2
Kosrae 577,552 9.6
Yap 518,761 8.7
FMI 269,958 4.5
5,988,513 100.0
12
a) Current Compensation Special Service Contracts

Sp. Service Contracts - Budget (F/Y09) 864,198
Sp. Service Contracts - Budget (F/Y10) 935,640



13
a) Current Compensation Special Service Contracts

Sp. Service Contracts - Budget (F/Y09) 864,198
Sp. Service Contracts - Budget (F/Y10) 935,640

Sp. Service Contracts - YTD (F/Y10) - six months 782,179

14
a) Current Compensation Special Service Contracts

Sp. Service Contracts - Budget (F/Y09) 864,198
Sp. Service Contracts - Budget (F/Y10) 935,640

Sp. Service Contracts - YTD (F/Y10) - six months 782,179
Sp. Service Contracts - YTD less UB TSP 695,048
15
a) Current Compensation Special Service Contracts

Sp. Service Contracts - Budget (F/Y09) 864,198
Sp. Service Contracts - Budget (F/Y10) 935,640

Sp. Service Contracts - YTD (F/Y10) - six months 782,179
Sp. Service Contracts - YTD less UB TSP 695,048
16
a) Current Compensation Special Service Contracts

Sp. Service Contracts - Budget (F/Y09) 864,198
Sp. Service Contracts - Budget (F/Y10) 935,640

Sp. Service Contracts - YTD (F/Y10) - six months 782,179
Sp. Service Contracts held by full-time employees (29) 227,533
17
a) Current Compensation Special Service Contracts

Instructional Affairs 202,313 89.0
Administration 21,674 9.5
Student Services 1,816 0.8
CRE 1,730 0.7
227,533 100.0
18
b) Job Evaluation
19
b) Job Evaluation
Job evaluation is a process that
re-examines the internal equity of all positions
based on job size
20
b) Job Evaluation
It achieves this by assessing the job size
of individual positions within an
organization using a number of measurement factors
21
b) Job Evaluation
Each factor provides a point value with
their sum representing the total points
value of the job
22
b) Job Evaluation Criteria
  • Education
  • Experience
  • Complexity
  • Scope of Work
  • Problem Solving
  • Supervision Received
  • Work Environment
  • Physical Demands
  • Authority Exercised
  • Results of Decisions
  • Contacts
  • Sup. Man. Resp.

23
b) Job Evaluation Results
147 Positions Evaluated
24
b) Job Evaluation Results
Job Evaluation Points
Range MaxRange Min
1600 - 198 -
AverageMedian
638 -589 -
25
c) Regression Analysis
26
c) Regression Analysis
Company Regression Analysis (Base
Salary)
Exponential Regressione.g. Position X 450 JE
points
27
c) Regression Analysis
Company Regression Analysis (Base
Salary)
Exponential Regressione.g. Position X 450 JE
points
Plot the base salary of all employees with the
job title of Position Xagainst 450 JE points
28
c) Regression Analysis
Company Regression Analysis (Base
Salary)
Exponential Regressione.g. Position X 450 JE
points
Plot the base salary of all employees with the
job title of Position Xagainst 450 JE points
29
c) Regression Analysis
COM-FSM
30
Regression Analysis
COM-FSM
31
Regression Analysis
CRE
Instructional Affairs
Administration Services
Student Services
32
Regression Analysis
National Campus
Kosrae Campus
Chuuk Campus
Yap Campus
FMI Campus
Pohnpei Campus
33
Regression Analysis
Information Technology
Dev. Comm. Relations
Accounting
IRPO
Human Resources
Maintenance
Bookstore
Food Services
34
Regression Analysis
Agriculture
Hotel Management
Education
Maths Science
LRC
Academic Programs
Social Science
Business
Vocational Education
Language Literature
35
Regression Analysis
Student Life
Dispensary (Plots Only)
FAO
Counseling
ARO
Sports Recreation
SSSP
Peer Counseling
36
d) Job Audit / Streamlining Results
This stage also provided the ideal opportunity
to collectively review the organizational
structure of the College.
37
d) Job Audit / Streamlining Results
The focus here was   a) to
investigate duplicate and non-essential
services   b) to integrate results
with the work being undertaken by the
Colleges Streamlining Committee
38
d) Job Audit Results
Key issues that need to be addressed
a) Stakeholder Management
b) Optimization of Regional Campuses
c) Centralization of Supp. Services (where
possible)
d) Master Plan(s) c.f. Instructional Programs
e) Cost Reduction / Management
f) Performance Management
39
Management Structure Current
President
Exec. Director Land Grant
Vice President Administration
Vice President Stud. Services
Vice President CRE
Vice President Inst. Affairs
40
Management Structure Current
President
Exec. Director Land Grant
Vice President Administration
Vice President Stud. Services
Vice President CRE
Vice President Inst. Affairs
Campus Director Pohnpei
Campus Director Chuuk
Campus Director Kosrae
Campus Director Yap
Campus Director FMI
41
Management Structure Current
President
Exec. Director Land Grant
Vice President Administration
Vice President Stud. Services
Vice President CRE
Vice President Inst. Affairs
CRE Co-ord.
S.S. Co-ord.
Inst. Co-ord.
Campus Director Pohnpei
Campus Director Chuuk
Campus Director Kosrae
Campus Director Yap
Campus Director FMI
Programs Supp. Services
Programs Supp. Services
Programs Supp. Services
Programs Supp. Services
Programs Supp. Services
42
Management Structure Proposed
President
Exec. Director Land Grant
Vice President Administration
Vice President Stud. Services
Vice President CRE
Vice President Inst. Affairs
Ext. C. Director Pohnpei
Ext. C. Director Chuuk
Ext. C. Director Kosrae
Ext. C. Director Yap
Ext. C. Director FMI ?
43
Management Structure Proposed
President
Exec. Director Land Grant
Vice President Administration
Vice President Stud. Services
Vice President CRE
Vice President Inst. Affairs
CRE Co-ord.
Inst. Co-ord.
Nat. Directors
Nat. Directors
Ext. C. Director Pohnpei
Ext. C. Director Chuuk
Ext. C. Director Kosrae
Ext. C. Director Yap
Ext. C. Director FMI ?
Programs Supp. Services
Programs Supp. Services
Programs Supp. Services
Programs Supp. Services
Programs Supp. Services
44
Yap Extension Center
45
Yap Extension Center
Program / Services Pros Cons Recommendation Comments
AA in Teacher Prep Demand is high for certification Having enough faculty to deliver the courses Maintain Strategic scheduling of courses needed. First priority of distance learning
Development Ed. (ACE) Achieving College Excellence There is always a need for Developmental Education / Pell eligible. High demand on resources Keep at YEC  
Public Health Capacity building. Potential for PDP / AHEC funding.   Keep at YEC as a cohort Cohort
Nursing Demand/need is there. National priority. Potential for PDP / AHEC funding.   Keep at YEC as a cohort / strategic scheduling Cohort / high school graduates to National Campus
Community Health Assistant Program / Health Worker Ongoing training / retraining need. Sector development grants Change in State Plan focus for dispensary staffing Keep as PDP Cohort / Dispensary worker
46
Yap Extension Center
Program / Services Pros Cons Recommendation Comments
Carpentry Cabinet Making Small business opportunities . Support for capacity building. Equipment on the ground Limited teaching faculty. Low enrollment Maintain as a cohort or consider discontinuing Cohort. Check PCC enrollment in these programs
TYC in Teacher Preparation There is a need. Potential for distance learning delivery Limited teaching faculty and course load for existing faculty. Keep at YEC as a cohort Cohort / strategic scheduling
CA in Law Enforcement There is a need / Professional Development career ladder Limited teaching faculty Not currently offered Cohort. Consider combining with PEC or CEC
CA in Trial Counselor Potential for PDP. There is an ongoing need Limited teaching faculty. Relies on lawyers in the workforce Maintain at YEC as a cohort Cohort
CA in Bookkeeping Potential for PDP. There is an ongoing need Program may be outdated Keep at YEC Only as a cohort approach
47
Yap Extension Center
Program / Services Pros Cons Recommendation Comments
CA in Building Maintenance There is a high demand on and off island. Potential for PDP. Limited teaching faculty Keep at YEC High demand. Proactive recruitment. Run as a cohort periodically
CA in Agriculture Food Technology Ongoing agricultural initiatives in CRE. CRE has staff to support program. We have space now. Keeping enrollment at a sustainable level Keep at YEC Proactive recruitment. Requires 1 x full time instructor / coordinator.
CA in Secretarial Science There is a large work sector that needs training / retraining. Potential for adult education/ develop. No faculty Keep at YEC Cohort
Short term training There is a high demand. Additional funding.   Expand opportunities at YEC Sector development grants possible. Centre Director to be proactive.
Apprenticeship Program(s) Potential for PDP   Keep at YEC and continue to expand opportunity Proactive recruitment
48
Yap Extension Center
Program / Services Pros Cons Recommendation Comments
TRIO Programs Added value to our services. Indirect cost Soft money Maintain at YEC UB. Do we have any plans if soft money runs out ?
Admissions Records     1 x Personnel for Admissions Records and Financial Aid Centralized services
Financial Aid     See above Centralized services
Counseling / Tutoring / Advising     1 x Personnel for counseling, tutoring, advising, peer counseling  
Business Office     1 x Personnel  
49
Yap Extension Center
Program / Services Pros Cons Recommendation Comments
Recreation Activities     1 x Personnel  
Dispensary     1 x Personnel  
Library Resources are on the ground. Essential for support to all curriculum programs   Keep at YEC Needs expansion to meet student enrollment and required needs. Collection should reflect program offerings.
Bookstore     Duties to be combined with Fiscal Officer Outsource the student store or run it as an auxiliary
Human Resources     1 x Personnel  
50
Yap Extension Center
Program / Services Pros Cons Recommendation Comments
Information Technology     1 x Personnel  
Maintenance     1 x Specialist 2 x maintenance workers  
Security     5 x Personnel  
Custodial     2 x Personnel  
51
Summary of Key Issues
a) Stakeholder Management
b) Optimization of Regional Campuses
c) Centralization of Supp. Services (where
possible)
d) Master Plan(s) c.f. Instructional Programs
e) Cost Reduction / Management
f) Performance Management
52
Stakeholder Management
- closer relationships / improved
communication
- increased confidence in COM-FSM
- development of partnership(s) c.f.
industry
- collective needs assessment /continuous
improvement
- business development / vocational
awareness / education
- greater student focus / preparation /
opportunities / jobs
53
Extension Centers
- improved operational efficiency
- wider curriculum (academic / voc.
programs)
- increased enrollment / increased revenue
- centralized support services (where
possible)
- optimization of infrastructure / resources

54
Centralized Support Services
- improved operational efficiency
- optimization of resources
- consistency of service delivery (current)
- coordinated development of new services
- timely procurement / delivery of resource
materials (special focus)

55
Master Plan(s) (in particular Instructional
Master Plan)
- Instructional / Information Tech. /
Infrastructure
- integrated approach to program
development / delivery
- balanced mix of quality academic and voc.
programs
- collective needs assessment /continuous
improvement
- enhanced program evaluation / assessment
/ delivery
- improved performance management (faculty)
56
Cost Reduction / Management
- optimization of resources
- improved budgeting process
- improved operational efficiency
- improved fiscal management

57
Performance Management
- enhanced work planning
- greater accountability / managed
expectations
- provision of constructive feedback
mechanism
- link to performance pay
- link to training and development

58
Stage 2 Compensation Structuring
Obtaining and analyzing market
compensation data
59
Market Data - Sources
60
Market Data - Sources
1. Regional Comparisons
Guam Community College
Palau Community College
College of the Marshall Islands
American Samoa Community College
Northern Marianas College (unable to
participate)
61
Market Data - Sources
2. U.S. Comparisons (GCC Report)
a) National Faculty Survey 2007 - 2008 (CUPA)
b) Community College Faculty Survey 2007 - 2008
(CUPA)
c) Mid Level Admin Professional Survey 2007 -
2008 (CUPA)
d) Administrative Compensation Survey 2007 -
2008 (CUPA)
62
Market Data
Regional Market Percentiles
5th - 95th
63
Regression Analysis
COM-FSM
64
Regression Analysis
GCC
CMI
ASCC
PCC
COM-FSM
65
Regression Analysis
GCC
95th
CMI
75th
ASCC
50th
25th
5th
PCC
COM-FSM
66
Regression Analysis
15th
10th
95th
5th
75th
50th
25th
5th
67
Regression Analysis
95th
75th
50th
25th
5th
68
Regression Analysis
95th
75th
50th
25th
5th
69
Stage 2 Compensation Structuring
In developing a revised compensation model
KEY QUESTION
Where in the market should we / can we position
the College to be more externally
competitive i.e. in attracting and
retaining employees ?
70
Regression Analysis
95th
75th
50th
25th
5th
71
Structural Adjustment Cost
72
Estimated Adjustment Cost(10th Market Percentile
- Region)
Current Base Salary Total
5,988,513
Increase to 10th Market Percentile
79,991
New Base Salary Total
6,068,504
Current Total Compensation
7,630,563
Increase to 10th Market Percentile
101,925
New Total Compensation
7,732,488 (1.3)
73
Estimated Adjustment(10th Market Percentile -
Region)
Number of Employees (lt 10th)
43 (11.8)
Number of Employees (gt 10th)
320 (88.2)
Total Full-Time Employees
363 (100.0)
74
Estimated Adjustment Cost(20th Market Percentile
- Region)
Current Base Salary Total
5,988,513
Increase to 20th Market Percentile
204,272
New Base Salary Total
6,192,785
Current Total Compensation
7,630,563
Increase to 20th Market Percentile
260,283
New Total Compensation
7,890,847 (3.4)
75
Estimated Adjustment(20th Market Percentile -
Region)
Number of Employees (lt 20th)
103 (28.4)
Number of Employees (gt 20th)
260 (71.6)
Total Full-Time Employees
363 (100.0)
76
Estimated Adjustment Cost(30th Market Percentile
- Region)
Current Base Salary Total
5,988,513
Increase to 30th Market Percentile
464,105
New Base Salary Total
6,452,618
Current Total Compensation
7,630,563
Increase to 30th Market Percentile
591,363
New Total Compensation
8,221,926 (7.7)
77
Estimated Adjustment(30th Market Percentile -
Region)
Number of Employees (lt 30th)
185 (51.0)
Number of Employees (gt 30th)
178 (49.0)
Total Full-Time Employees
363 (100.0)
78
Estimated Adjustment Cost(40th Market Percentile
- Region)
Current Base Salary Total
5,988,513
Increase to 40th Market Percentile
871,158
New Base Salary Total
6,859,671
Current Total Compensation
7,630,563
Increase to 40th Market Percentile
1,110,030
New Total Compensation
8,740,593 (14.5)
79
Estimated Adjustment(40th Market Percentile -
Region)
Number of Employees (lt 40th)
243 (66.9)
Number of Employees (gt 40th)
120 (33.1)
Total Full-Time Employees
363 (100.0)
80
Estimated Adjustment Cost(50th Market Percentile
- Region)
Current Base Salary Total
5,988,513
Increase to 50th Market Percentile
1,400,322
New Base Salary Total
7,388,835
Current Total Compensation
7,630,563
Increase to 50th Market Percentile
1,784,290
New Total Compensation
9,414,853 (23.3)
81
Estimated Adjustment(50th Market Percentile -
Region)
Number of Employees (lt 50th)
303 (83.5)
Number of Employees (gt 50th)
60 (16.5)
Total Full-Time Employees
363 (100.0)
82
Note the transition to a more competitive
market position may take over a number of years
e.g. FY11 - 10th market percentile FY12 -
15th market percentile FY13 - 20th market
percentile FY14 - 25th market percentile
Option 1
83
Note the transition to a more competitive
market position may take over a number of years
e.g. FY11 - 10th
market percentile FY12 -
standard increment FY13
- 15th market percentile
FY14 - standard increment
Option 2
84
Target a Specific Group for an Initial
Adjustment e.g.
Option 3
COM-FSM (full-time employees) No Base Salary Increase
Administration Employees lt 10th Market Percentile 21 5.8 30,803
Administration Employees gt 10th Market Percentile 106 29.2 7,886
Instructional Affairs Employees lt 10th Market Percentile 13 3.6 14,274
Instructional Affairs Employees gt 10th Market Percentile 118 32.5 12,427
Student Services Employees lt 10th Market Percentile 6 1.7 3,903
Student Services Employees gt 10th Market Percentile 63 17.4 4,572
CRE Employees lt 10th Market Percentile 2 0.6 342
CRE Employees gt 10th Market Percentile 30 8.3 2,541
Presidents Office Employees lt 10th Market Percentile 1 0.3 2,977
Presidents Office Employees gt 10th Market Percentile 3 0.8 266
TOTAL 363 100.0 79,991
85
Stage 3 Implementation
86
Stage 3 Implementation
New Pay Schedule Options
87
Pay Schedule Option
(Traditional Approach)
6.2 5.8 5.5 5.2 4.0 3.8 3.7 3.5
Grade Step 1 Step 2 Step 3 Step 4 Step 5 Step 6 Step 7 Step 8
3.8 A 13,990 14,865 15,739 16.614 17,488 18,188 18,887 19,587
4.1 B 14,534 15,443 16,351 17,260 18,168 18,895 19,621 20,348
4.6 C 15,133 16,079 17,024 17,970 18,916 19,673 20,429 21,186
5.1 D 15,840 16,830 17,820 18,810 19,800 20,592 21,384 22,176
5.8 E 16,656 17,697 18,738 19,779 20,820 21,653 22,486 23,318
88
Pay Schedule Option
(New Approach)
89
Pay Schedule Options
Every employee would have a grade, step and
sub-step
e.g. Employee X Grade I, Step 6, Sub-step B
90
Stage 3 Implementation
Transition Process toNew Compensation Model
91
Competitors Approach
92
Competitors Approach
600 JE Points
500 JE Points
93
Competitors Approach
600 JE Points
(20 Positions)
500 JE Points
94
Competitors Approach
600 JE Points
e.g. Grade K (Step 1)
(20 Positions)
500 JE Points
95
Competitors Approach
600 JE Points
595 JE Points
e.g. Grade K (Step 1)
(20 Positions)
505 JE Points
500 JE Points
96
Competitors Approach
700 JE Points
605 JE Points
e.g. Grade L (Step 1)
600 JE Points
595 JE Points
e.g. Grade K (Step 1)
(20 Positions)
505 JE Points
500 JE Points
97
Our Approach
98
Our Approach
600 JE Points
(20 Positions)
500 JE Points
99
Our Approach
600 JE Points
595 JE Points
(20 Positions)
505 JE Points
500 JE Points
100
Our Approach
600 JE Points
595 JE Points
e.g. Grade K (Step 5)
(20 Positions)
505 JE Points
e.g. Grade K (Step 2)
500 JE Points
101
Our Approach
Lets look at the mechanics of this process (Two
Step Process)
102
Our Approach
Step 1 - Identification of an
implementation range Step 2 - Migrate all
employees into the new model
103
Regression Analysis
95th
75th
50th
25th
5th
104
Implementation (Step 1)
105
Implementation (Step 1)
106
Implementation (Step 1)
107
Implementation (Step 1)
108
Implementation (Step 1)
109
Implementation (Step 1)
110
Implementation (Step 1)
111
Implementation (Step 1)
We next identify a base salary value (for each
position) that we can then transpose to the new
pay schedule in order to identify the upper
end of an implementation range
We do this by initially identifying the midpoint
112
Implementation (Step 1)
113
Implementation (Step 1)
114
Implementation (Step 1)
115
Implementation (Step 1)
116
Conversion ProcessExample
117
e.g Position X
118
e.g Position X
119
e.g Position X
120
e.g Position X
121
e.g Position X
122
e.g Position X
We transpose 29,995 to the new Pay Schedule
123
e.g Position X
Using the new Pay Schedule identify the closest
base salary sub-step(on the lower side)
124
e.g Position X
Note this forms the high end of the
implementation range (25th Market Percentile)
125
e.g Position X
The low end of the implementation range is 16
sub-steps from the high end
126
e.g Position X
Implementation Range
29,756 (Grade G, Step 6, Sub-Step B) - Range Max
25,630 (Grade G, Step 2, Sub-Step C) - Range Min
127
Implementation
Now that we have an implementation rangefor
each unique position the final step is to
migrate all employees into the new compensation
model
128
Implementation Criteria
1. Performance
8 Points
50
2. Education
5 Points
31
3. Experience
3 Points
19
TOTAL
16 Points
100
129
Implementation Criteria
1. Performance
8 Points
50
2. Education
5 Points
31
3. Experience
3 Points
19
TOTAL
16 Points
100
This corresponds to the implementation range
130
e.g Position X
Employee
1. Performance
9 Points
8 Points
2. Education
4 Points
4 Points
3. Experience
3 Points
3 Points
TOTAL
16 Points
15 Points
131
e.g Position X
Score of 15 29,461
Finally, in comparing this to the employees
current salary there are two scenarios
132
e.g Position X
Score of 15 29,461
  1. Where the employees current base salary
    is below this amount

133
e.g Position X
Score of 15 29,461
Emp X Current Base Salary 26,000
134
e.g Position X
Score of 15 29,461
Emp X Current Base Salary 26,000
Emp X New Base Salary 29,461 (13 inc)

Grade G, 6, A
135
e.g Position X
Score of 15 29,461
2. Where the employees current base salary
is above this amount
136
e.g Position X
Score of 15 29,461
Emp X Current Base Salary 31,500
137
e.g Position X
Score of 15 29,461
Emp X Current Base Salary 31,500
Emp X New Base Salary 31,586 (0.3 inc)

Grade G, 7, D
138
Typical Project Overview
Stage 1 Internal Analysis
Stage 2 External Analysis
Stage 3 Implementation
Supp. Projects Performance Management /
(optional) Development of Pay Incentives
139
Typical Project Overview
Stage 1 Internal Analysis
Stage 2 External Analysis
Stage 3 Implementation
Supp. Projects Performance Management /
(optional) Development of Pay Incentives
140
Integrated Performance
Management System
141
Integrated Performance
Management System
Work Planning
Review
Performance Pay
Training
142
Performance Management e.g. Guam
Community College
e.g. GCC under previous compensation model
10 Steps 7 - 9 Steps 1 - 6 Steps

- 24 months - 18 months - 12
months
143
Performance Management e.g. Guam
Community College
Old Compensation Model
New Model Everyone will be reviewed annually
10 Steps 7 - 9 Steps 1 - 6 Steps

- 24 months - 18 months - 12
months
144
Performance Management e.g. Guam
Community College
Three new performance management tools are being
implemented a) Academic
Administrators b) Faculty
c) Staff (classified positions)
145
Performance Management e.g. Guam
Community College
One of the benefits of the new pay schedule
is that a performance range is made available
i.e. as a performance incentive
on an annual basis
146
Performance Management
147
Performance Management
148
Performance Management
149
Performance Management
150
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