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| Posted to Website: | 04/24/2008 |
Goals of Career Banding
A goal of career banding is the increased ability to recruit, retain and develop a qualified, motivated and diverse workforce. It does this by allowing compensation to be aligned with labor market pay rates relative to the knowledge, skills, abilities and competencies required in the position. Career banding allows for quicker reaction to labor market fluctuations. The career banding system delegates compensation decisions to managers and holds them accountable for those decisions. Such localized management decreases turn-around time for compensation decision-making and improves reaction time in retention situations. Career banding also streamlines position categorization while providing greater management flexibility in identifying appropriate classifications. In addition, the overall design of the career banded structure focuses on defining and establishing career paths for employees. This assists employees who want to enhance their careers in State government while encouraging employees to develop those skills necessary for the University to succeed.
It is the goal of OSP to compensate employees in career banded positions at levels that:
- promote successful work behaviors based on competencies required in the position that are linked to organizational goals
- reinforce high standards of performance
- maintain the labor market competitiveness necessary to recruit, retain and develop a qualified, motivated and diverse workforce
In the career banding system, mechanisms have been established to help managers and employees understand how to advance salaries within a band. The career banding system recognizes that competitive pay levels promote proven successful work behaviors. The system accomplishes this by emphasizing competencies required for the position and aligning compensation with market pay related to the position and its competencies. Competencies include knowledge, skills and abilities that are necessary for organizational success and required in the position, as determined by a department manager, to meet stated business needs.
The State's traditional system used narrowly defined classes with many levels and narrow salary ranges. In the career banding system similar kinds of work are identified and organized into broad classes of jobs (banded roles). Wider pay ranges and career paths are based on these broader roles. Employees in the traditional system often sought to move from one classification to another in order to advance in their career and salary level. Pay is primarily based on employees' years of training and related job experience. The career banding system allows employees to move within their pay range based on developing and using new competencies needed in the work unit. Employees' pay is based on their level of contribution and relevant labor market information. The career banding system provides a way for managers and employees to create development plans that will enhance the employees' careers, often within their existing role. It encourages employees to develop skills necessary for the organization to succeed.
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