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HomeMy WebLinkAboutItem 06.k Date: Item No. Resolution Amending Liquor Department Salaries for Part-time Sales Associates Proposed Action Staff recommends adoption of the following motion: Move to approve resolution amending salaries for part-time sales associates. Overview It is the City’s goal to attract and hire well qualified employees, including part-time employees for the Liquor Department. Part-time sales associate compensation rates were last adjusted October 2017. To remain competitive in the retail market, it’s important to review our current compensation package for our part-time sales associate positions. Staff reviewed salary information of surrounding retail businesses and metro area municipal liquor stores. The average starting hourly rate for part-time retail positions is $12.40. Staff is proposing the following hourly rates for part-time sales associates. Start 6-month 12-month 24-month 36-month 48-month Lead Sales Associates 15.10 ------------ 15.60 16.15 16.70 17.25 Sales Associates 12.50 12.75 13.00 13.50 14.00 14.50 In 2020, the City Council approved a temporary pay increase for part-time liquor positions due to COVID-19. The temporary pay increase of $2.00 per hour would sunset on January 24, 2021. The new salary rates would be effective January 25, 2021. The proposed part-time wage rates would increase labor costs an estimated amount of $872 per pay period or $34,000 annually. The Liquor Committee and Personnel Committee have reviewed and support the proposed salary changes for part-time lead sales and part-time sales associate positions. Primary Issues to Consider • Increased compensation would attract stronger pool of candidates, reduce turnover rates and provide stability. Supporting Information • Resolution Amending Liquor Store Position Classification and Pay Plan Financial Impact: $ Budgeted: Y☒ N☐ Source: Related Documents: (CIP, ERP, etc.): Envision Lakeville Community Values: Good Value for Public Services Report Completed by: Tammy Schutta, Human Resources Manager January 19, 2021 34,000 Enterprise Liquor Fund CITY OF LAKEVILLE RESOLUTION NO. ____ RESOLUTION GRANTING APPROVAL OF THE LIQUOR STORE POSITION CLASSIFICATION AND PAY PLAN WHEREAS, the City Council has adopted pay plans from time to time to provide for the compensation of employees in various positions; and WHEREAS, the pay plan should be adjusted from time to time in consideration of the changes in the cost of living as measured by the U.S. Department of Labor, market conditions and positions evaluations; and WHEREAS, the temporary pay of $2.00 per hour for part-time sales associates will sunset on January 24, 2021. NOW, THEREFORE, BE IT RESOLVED that the following liquor store positions are set forth and amended effective January 25, 2021. A. WAGE STRUCTURE: PART-TIME SALES ASSOCIATE EMPLOYEES A-1. Part-time sales associate employees hired will start employment at the start step unless credit is given for prior relevant work experience. A-2. Part-time sales associate employees will be evaluated by their immediate supervisor at six months and on their employment anniversary date. An evaluation that results in a satisfactory performance report will entitle the part-time sales associate employee to progress to the next step in their position grade. A less than satisfactory performance will result in the employee being frozen in their position step until their performance improves to satisfactory. A-3. Part-time sales associate employees progress through the steps at six-months and annually until they reach the top 48-month step. The 48-month step is the highest step level of each grade. Start 6-month 12-month 24-month 36-month 48-month Lead Sales Associates 15.10 15.60 16.15 16.70 17.25 Sales Associates 12.50 12.75 13.00 13.50 14.00 14.50 ADOPTED by the by the Lakeville City Council this 19th day of January 2021 ______________________________ Douglas P. Anderson, Mayor _________________________________ Charlene Friedges, City Clerk