6.5 Personnel Manual Updates
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION
DATE
1/26/09
TIME
4:00 P.M.
AGENDA SECTION
NO:
6
ORIGINATING DEPARTMENT: APPROVED FOR
AGENDA:
HUMAN RESOURCES
ITEM
NO.
Page 1
5
BY: Natalie Fischer
BY:
ITEM: Resolution No. 09-6591
Request approval of proposed changes to the Personnel Manual.
BACKGROUND:
The following is a summary of proposed revisions to Article 15: "Vacation" of the Personnel Manual:
Article 15: "Vacation":
. Minimum usage - Employees will be required to use a minimum of 50% of annual vacation
accrual, or the hours will be forfeited, commonly referred to as a "use or lose" structure. This
requirement will go into effect for new employees at the beginning of their second calendar year
with the City. Since employees' accrual rates are based on tenure and change with their
anniversary dates, their accrual rate at the beginning of the year will be used for purposes of
determining their minimum usage requirement.
. Accrual Cap - Employees may carryover up to 50% of annual vacation accrual, with an accrual
cap established at 250 hours for regular employees and an adjusted amount of 350 hours for
24-hour shift employees.
. Grandfather Clause - Employees above the cap at the time of implementation will be
grandfathered in at the higher number. In the event the vacation balance falls below the
grandfathered balance at the beginning of any year, the lower balance will be the new
grandfathered accrual maximum for that employee.
. Buy-Back - Employees may opt to receive payment for vacation hours. However, these hours
cannot substitute for the minimum usage requirement in the Buy-Back section. Proposed
increases to the existing Buy-Back maximums are100 hours (formerly 80 hours) and 140 hours
(formerly 112 hours).
. Appeals - Employees will be able to appeal the forfeiture of any accrued vacation hours to the
City Manager's Office. Determinations regarding such appeals will take into consideration
unusual or uncontrollable circumstances, or the inability of the respective department to
approve an employee's request(s) for vacation. The City Manager or his designee shall have
the ability to deny or approve the employee's request. If approved, the City Manager may
extend the time for the employee to take the leave or buy-out the leave at the applicable rate.
The effective date for the proposed changes is April 1 st. This date will be used to establish
grandfathered accrual caps for each employee. The minimum usage requirements will also be
appropriately pro-rated for the remaining 9 months of the year.
FISCAL NOTE:
If the intent of the revised policy is met, vacation leave usage will increase, possibly creating additional
CITY OF SALINA
REQUEST FOR CITY COMMISSION ACTION
DATE
1/26/09
TIME
4:00 P.M.
AGENDA SECTION
NO:
6
ORIGINATING DEPARTMENT: APPROVED FOR
AGENDA:
HUMAN RESOURCES
ITEM
NO.
Page 2
overtime in some departments as a direct result of backfilling positions in functions with minimum
staffing requirements. Some additional expense can also be expected in the near term since many
employees will opt to receive payment in lieu of additional time off from duties. However, the financial
liability carried forward to future years will be decreased, thus reducing the long-term financial cost of
the vacation benefit.
5
BY: Natalie Fischer
BY:
COMFORMANCE WITH STRATEGIC PLAN:
NIA
RECOMMENDED ACTION:
Alternative #1: Approve Resolution No. 09-6591 allowing changes to Article 15: "Vacation" in the
Personnel Manual as proposed or with amendments.
Alternative #2: Do not approve Resolution No. 09-6591 at this time.
Staff recommends Alternative #1.
Attachments: Proposed changes to Article 15: "Vacation".
ARTICLE 15
"Vacation"
J3nu::HY 2006Februarv 2009
Section 1. ACCRUAL. All regular employees (except employees working twenty-four
(24) hours on duty and forty-eight (48) hours off duty) earn vacation with pay as follows:
Years of Total Service
Vacation
Hrs./Year
Start through 4 years
5 through 9 years
10 through 19 years
20 years and beyond
80
96
128
160
Vacation
Hrs./Month
6.6667
8.000
10.6667
13.3333
Employees working twenty-four (24) hours on duty and forty-eight (48) hours off duty shall earn
vacation with pay as follows:
Years of Total Service
Vacation
Hrs./Year
Start through 4 years
5 through 9 years
10 through 19 years
20 years and beyond
112
134
179
224
Vacation
Hrs./Month
9.3333
11 .2000
14.9333
18.6667
Classified part-time employees earn vacation with pay as follows:
Vacation Vacation
Years of Total Service Hrs./Year Hrs./Month
Start through 4 years 40 3.3333
5 through 9 years 48 4.0000
10 through 19 years 64 5.3333
20 years and beyond 80 6.6667
Regular part-time employees earn vacation with pay as follows:
Years of Total Service
Vacation
Hrs./Year
Start through 4 years
5 through 9 years
10 through 19 years
20 years and beyond
20
24
32
40
Vacation
Hrs./Month
1 .6667
2.0000
2.6667
3.3333
Vacation time shall be earned on the basis of complete calendar months of service.
For those employees who work 40-hour per week schedules, a legal holiday which occurs during
an employee's scheduled vacation shall not be counted as a day of vacation.
In the event an employee is transferred to or from a 24 hours on and 48 hours off schedule to a 40
hour base week, the employee's accrued vacation time shall be converted by Human Resources
accordingly, in order to maintain the same basic ratio of time off the job for vacation.
15-1
Section 2. USE - CARRY-OVER
A. Vacation shall be scheduled so as to meet the operating requirements of the
department and, if possible, the preference of employees. All vacation leave shall be subject to
the approval of the department head.
B. Emplovoos m3V c3rry 'J3c3tion 103'10 ovor from one Y03r to tho noxt.
B. Employoos m3Y c3rry v3c3tion 103'.'0 ovor from one Y03r to tho noxt.
G~. Vacation leave shall be used in increments of one-tenth- (1/10) hour or greater
subject to the approval of the department head.
C. Leave carry-over is allowed under the followinq quidelines.
1. Durinq the first full calendar year of employment. employees must
use a minimum of 50% of leave- accrued (based on annual accrual
rates on January 1st) in a calendar year. In the event employees do
not use the vacation leave, the unused leave will be forfeited at the
beqinninq of the next year (reflected on the 1/20 pay stub).
2. Remaininq accrued balances may be carried over into the next
calendar year. However, ^n employee may carry over a maximum
of 50% of leave accrued over the course of the 'lear, with a an
employee's maximum accrued vacation leave balance shall not tG
exceed either 250 hours (employees workinq 24 hour shifts may not
exceed 350 hours) or their "qrandfathered" maximum carry over
amount.
3. Any employee may appeal to the City Manaqer's Office for
reconsideration of vacation balances that have been forfeited in
accordance with this policy. The City Manaqer shall either consider
the request or assiqn a desiqnee to consider the request within 10
business days. In order to be considered, appeals shall be in
writinq and ~rovided to the Human Resources Department by
February 1St. Consideration shall be qiven to unusual or
uncontrollable circumstances, or the inability of the department to
approve an employee's request(s) for the minimum use requirement.
If the determination is in favor of the employee, the City Manaqer
shall reserve the riqht to either qrant an extension of time for the
accrued leave to be used or buy back the leave at the employee's
rate of pay as of December 31st of the respective accrual
year.Emplovees 'Norkinq 24 hours shifts may not exceed 350 hours.
BuV backs may occur for leave that would be carried over in the
event an employee has reached the maximum of 250 hours or 350
hours. (See Section 3. Buv Back.)
Years of Total Service
Vacation
Hrs./Year
Minimum
Vacation Use
1 throuqh 4 years
5 throuqh 9 years
10 throuqh 19 years
20 years and beyond
80
96
128
160
40
48
64
80
15-2
Employees workinq twenty-four (24) hour shifts:
Years of Total Service
Vacation
Hrs./Year
Minimum
Vacation Use
Start throuqh 4 years
5 throuqh 9 years
10 throuqh 19 years
20 years and beyond
112
134
179
224
56
67
89.5
112
D. For employees whose leave exceeds 250 hours or 350 hours as of April
1, 2009 (reflected on the March 20 pay stub), the maximum leave will be
established accordinq to the followinq quidelines.
1. The Human Resources Department will send department heads a report
of all departmental employees exceedinq the established maximum
vacation hours, alonq with their actual number of hours. This amount of
hours will constitute e number of hours is the an employee's
"qrandfathered" maximum carryover.
2. Employees will accrual vacation time at their reqular rate of pay
throuqhout the year.
3. After the January 5 pay date, any hours exceedinq the individual's
"qrandfathered" maximum carryover will be removed from his or her
vacation leave. The remaininq balance will be become the employee's
new maximum carryover balance. Any adiusted balances will be
reflected on the 1/20 pay stub.
4. If an employee uses or selects the buy-back option (see Section 3),
resultinq in the leave balance on the January 5 pay stub to fall below the
"qrandfathered" maximum carry over balance established in D.1, the
lower number becomes the new "qrandfathered" maximum carryover
for the employee.
Section 3. BUY-BACK
A. Employees may request to receive payment for a portion of their unused vacation
leave. Leave that is bouqht back cannot substitute for an employee's minimum annual
vacation use requirement. Buy-back of leave may occur for leave that would otherwise be
carried over in the event an employee had not reached their maximum carryover accrual of
250 hours (350 hours for employees workinq 24 hour shifts) or their "qrandfathered"
maximum carry over amount. In order to request payment for unused vacation leave, the
employee must maintain a minimum balance of 80 hours (112 hours for employees working 24
hours on duty and 48 hours off duty) and make a written request on the appropriate form and
submit the form to the Human Resources Department. Requests must be submitted at least
five (5) calendar days prior to the pay date.
Employees may request payment for a minimum of ~81 hours and a maximum of gQ
30100 hours (112 -t--1-2140 hours for employees working 24 hours on duty and 48 hours off duty)
per calendar year of their unused vacation leave as long as the employee maintains the minimum
balance. Those employees with accrued leave balances exceedinq 250 hours (350 hours
for employees workinq 24 hours shifts) may request payment for leave in addition to the
prescribed maximum amounts, with payment subiect to the discretion of the City.
Employees within three (3) years of qualifyinq for-Jetirement may request payment for any
portion (no maximum) of their unused vacation leave as long as the employee maintains the
minimum balance.
Unused Vy'acation will be paid at the employee's current Rmffiy-rate of pay (for exempt
positions the annual salary will be converted to an hourly rate) pay (for exempt positions the
15-3
3nnu31 s313ry will bo con'.'ortod to 3n hourly r3to) and will not include additional amounts for shift
differential payor certification pay.
Payments for unused vacation leave will be processed 3t 103st somi monthly or 3S
dosiqn3tod by tho Hum3n Rosourcos Dep3rtmont with the reqular payroll cycleat least semi
monthly or as designated by the Human Resources Department, but will be issued in a
separate check. P3vmonts for unused v3c3tion 103'10 will bo disbursod in tho S3mo form3t 3S tho
reqular payroll, however employees set up with direct deposit may specificall',' request to have
p3ymont issuod in check form3t. P3ymonts for unucod '.'3c3tion 103'.'0 will bo disbursod in tho
S3mo f-orm3t 3S tho rogubr p3yroll., howo'.'or omployoos sot up with diroct doposit m3Y cpocific311y
roquost to h3vo p3ymont issuod in chock form3t. Employees may request payment no more
than four (4) times per calendar year at any time. at any time.
The payment for unused vacation leave will be processed through payroll; therefore, all
applicable state and federal taxes, and active garnishments, excluding child-support orders will
apply. This payment will be included as taxable wages, and reported on your W-2 form.
KPERS/KP&F percentages will apply to payments made to individuals whose membership date is
prior to July 1, 1993.
Soction 1. I\PPEI\L
15-4