4.7 SR 01-22-2019To
Max or and City Council
Agenda Section Meeting Date
Consent I January 22, 2019
Item Description
Pay Equity Compliance Report
Request for Action
m Number
4.7
Prepared by
Lauren Wipper, Human Resources
Reviewed by
Cal Portner, City. Administrator
Reviewed by
Action Requested
Approve, by motion, the Pay Equity Implementation Report and Compliance Report as attached.
Background/Discussion
The 1984 Local Government Pay Equity Act (Act) requires that each local government jurisdiction report
its pay data to Minnesota Management and Budget (MMB) every three years to determine its compliance
with the Act. The city is required to report for 2018 and the report is due on January 31, 2019.
Copies of the compliance and implementation reports are attached for your review. In order to be in
compliance with the act, the underpayment ratio must be more than 80%, or if less than 80%, the T-test
results must pass. The city's underpayment ration is 158.01 %, therefore passing the test. M'VIB will
review the report and notify the city of the results; however, based on the information presented, it
appears that the city is in compliance with the Act as of December 31, 2018.
Financial Impact
None
Attachments
• Compliance Report
■ Pay Equity Implementation Report
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptionalfI p p f R E 0 e r
service, and community engagement that encourages and inspires prosperity /` i
Pay Equity Implementation Report Print Date: 1/22/2019
Part A: Jurisdiction Identification DRAFT COPY *
Jurisdiction: Elk River Jurisdiction Type: City
13065 Orono Parkway
Elk River MN 55330
Contact: Lauren Wipper Phone: (763) 635-1024 E-Mail: Iwipper@elkrivermn.gov
Part B: Official Verification
1. The job evaluation system used measured skill, effort
responsibility and working conditions and the same
system was used for all classes of employees.
The system used was: Consultant's System
Description:
We did a comp study ourselves in 2018 and, although
we used the same system, used a little different
methodology than our consultant did in 2007.
2. Health Insurance benefits for male and female classes of
comparable value have been evaluated and:
There is a difference and the maximum salaries reported
include the monthly amount paid by the employer for
health insurance.
Part C: Total Payroll
$10,246,641.58
is the annual payroll for the calendar year just ended
December 31.
3. An official notice has been posted at:
City Hall Supply Room
(prominent location)
informing employees that the Pay Equity Implementation
Report has been filed and is available to employees upon
request. A copy of the notice has been sent to each
exclusive representative, if any, and also to the public library.
The report was approved by:
City of Elk River
(governing body)
John Dietz
(chief elected official)
Mayor
(title)
❑ Checking this box indicates the following:
- signature of chief elected official
- approval by governing body
- all information is complete and accurate, and
- all employees over which the jurisdiction has final
budgetary authority are included
Date Submitted:
Compliance Report
Jurisdiction: Elk River
13065 Orono Parkway
Elk River
Contact: Lauren Wipper
MN 55330
Phone: (763) 635-1024
Report Year: 2019
Case: 2 - 2019 DATA (Private (Jur Only))
E-Mail: Iwipper@elkrivermn.gov
The statistical analysis, salary range and exceptional service pay test results are shown below. Part I is general information
from your pay equity report data. Parts II, III and IV give you the test results.
For more detail on each test, refer to the Guide to Pay Equity Compliance and Computer Reports.
I. GENERAL JOB CLASS INFORMATION
Male
Female Balanced
All Job
Classes
Classes Classes
Classes
# Job Classes
52
34 4
90
# Employees
95
41 19
155
Avg. Max Monthly
Pay per employee
8,034.22
6,848.56
7,201.37
II. STATISTICAL ANALYSIS TEST
A. Underpayment Ratio = 158.01
Male
Female
Classes
Classes
a. # At or above Predicted Pay 23
22
b. # Below Predicted Pay 29
12
c. TOTAL 52
34
d. % Below Predicted Pay 55.77
35.29
(b divided by c = d)
*(Result is % of male classes below predicted pay divided by % of female classes below predicted pay.)
B. T-test Results
Degrees of Freedom (DF) = 134
Value of T = 0.821
a. Avg. diff. in pay from predicted pay for male jobs = $26
b. Avg. diff. in pay from predicted pay for female jobs = ($81)
III. SALARY RANGE TEST = 92.28 (Result is A divided by B)
A. Avg. # of years to max salary for male jobs = 3.83
B. Avg. # of years to max salary for female jobs = 4.15
IV. EXCEPTIONAL SERVICE PAY TEST = 0.00 (Result is B divided by A)
A. % of male classes receiving ESP 0.00
B. % of female classes receiving ESP 0.00
*(If 20% or less, test result will be 0.00)