Health System Faculty and Staff Salary Program
FY 2012 Health System Faculty and Staff Salary Program
Memorandum From:
Ora Pescovitz, M.D, Executive Vice President for Medical Affairs
Douglas L. Strong, Director & CEO UMHHC
James Woolliscroft, M.D.Dean, Medical School
Date: June 17, 2011
With the approval of the FY12 budget by the Board of Regents, we are pleased to provide information about the plans for this year’s Salary Program for Health System faculty (excluding LEO faculty) and staff who reside in the University’s Career Family Classification System.
For Staff:
Components of the 9/1/11 merit program include:
- Merit based salary program of 2%. Departments, units, and ACUs are also expected to meet various Unit of Service and P&L targets established by Health System leadership.
- Market adjustments for targeted classifications, effective 1/1/2012.
For Faculty:
Components of the 9/1/11 merit program include:
- Merit based salary program of 3%.
Considerations:
- Individual merit increases will vary and are determined on the basis of an evaluation of the performance of each faculty and staff member relative to the requirements of his or her position.
- Performance evaluations must be done annually for all faculty and staff as part of our performance management process and should be completed prior to allocation of an individual’s merit increase.
- Merit program distribution’s averages for FLSA exempt staff in the Professional or Managerial job roles may not exceed FLSA non-exempt staff in the Professional job role.
- Management performance evaluations should consider FY11 outcomes on financial and operational indicators (including patient and/or customer satisfaction), as well as outcomes on employee satisfaction and other leadership competencies.
- The evaluation forms for UMHS management and staff are available on-line at: http://www.med.umich.edu/umhshr/supervisor/performance-planning.html.
- The format for faculty evaluations is at the discretion of the department.
Eligible Faculty and Staff:
- Faculty and Staff on the active payroll as of 9/01/11 (bi-weekly and monthly).
For staff, an individual merit increase (September 1, 2011) may consist of:
- An adjustment to base salary up to 4%;
- A one-time Salary Supplement up to 4%; or
- A combination of base and one-time Salary Supplement up to 4%.
- Individual increases greater than 4% have to be approved by your Corporate Officer/Dean’s Office prior to the submission of the merit program worksheet to UMHS Compensation.
- Market adjustments will not be processed as part of the 9/1/2011 merit program process.
For faculty, the following applies regarding an individual merit increase (September 1, 2011):
- Based on the financial situation of your department, the faculty program may be limited to less than a 3% program.
- The individual increase may be reflected in the Academic Salary, Supplement, Incentive, one-time Salary Supplement, or a combination of all components.
- The overall average for the department’s faculty merit program is 3%, excluding faculty promotions.
- The range for increases can be 0-10%, excluding Incentive.
- For faculty being promoted effective 9/1/2011, base increases are limited in accordance with your department Faculty Salary Structure and should be determined based on the guidelines you have utilized in the past when setting promotional increases.
- Exception letters are required for faculty increases that exceed 10% and should be submitted with your salary worksheet.
- LEO faculty increases should be in accordance within the union contract once finalized. For questions on the details of the LEO contract, please contact Deb Komorowski.
Exception Considerations:
A merit base pay increase and/or one-time Salary Supplement should be deferred for a faculty or staff member:
- Hired on or after March 1, 2011; or
- Who is new to the role and/or whose 2010 -2011 performance could not yet be assessed; or
- Who has consistently not met his/her job expectations over the course of the last fiscal year and will receive an overall performance rating of “Not Met”; or
- Who is currently on a performance improvement plan and/or under disciplinary action; or
- On a leave of absence status prior to the program effective date (but on the active payroll as of the program effective date).
Faculty and staff whose RIF, LOA, retirement, or termination status is effective prior to or on 9/1/11 are not eligible. If a faculty or staff member on RIF status is subsequently placed, the unit may determine whether or not to provide a base pay increase and/or one-time Salary Supplement during the remainder of the fiscal year.
Regular staff members are to be paid at least $21,850 effective 9/1/2011 as aligned with the University minimum full time rate for regular staff members.
Implementation Dates:
Annual merit increases for eligible faculty and staff for 2011 – 2012 will be effective as follows:
- August 21, 2011, for staff paid bi-weekly (on the paycheck of September 9, 2011)
- September 1, 2011, for staff paid monthly (on the paycheck of September 30, 2011)
Due Dates and Processing:
- 7/25/11: Completed Faculty worksheets due to Faculty Affairs
- 8/08/11: Completed Faculty Additional Pay worksheets due to Faculty Affairs
- 8/12/11: Completed Staff merit program worksheets due to Human Resources
- 8/12/11: Performance Evaluations due to Human Resources (name and employee I.D. typed/printed on each page)
- 8/21/11: Effective date of merit increase for bi-weekly paid staff (9/09/2011 paycheck)
- 9/01/11: Effective date of merit increase for monthly paid staff (9/30/2011 paycheck)
For the 09/01/2011 program/processing details, please click here: 9/1/2011 UMHS Faculty and Staff Salary Program & Processing Details (PDF version).
2011 – 2012 Salary Adjustment Guidelines and Procedures
(Effective 7/1/2011 – 6/30/2012)
Please use these guidelines to initiate decision making related to salary adjustment decisions throughout the fiscal year, starting 7/1/2010.
If you need assistance, please contact your Human Resource Consultant for guidance and information. For staff, inquiries may also be sent to UMHS-Compensation@med.umich.eduImportant Information:
- FY 2012 Human Resources Salary Program Process Planning
- FY 2012 UMHS Salary Program Calendar
- UMHHC Policy 04-06-020 Performance Management System
- University SPG 201.7: Salary Program
- UMHS Additional Compensation for Additional Work Hours (FLSA Exempt Staff)

