Pay For Performance Raises included in state budget

TSEA April 24, 2018 Comments Off on Pay For Performance Raises included in state budget
Pay For Performance Raises included in state budget

TSEA has verified that the 2018-2019 state budget, passed last week by the House and Senate, includes funding for pay-for-performance raises of 2.5 percent for state employees with evaluation scores of valued, advanced, or outstanding.

The budget also includes additional funding for a one-time bonus for state employees rated advanced or outstanding.

According to the administration, employee evaluations will be completed on September 30, 2018, and the resulting salary increases will be effective on January 1, 2019.

The Commissioner of DOHR has broad authority in this area, and currently we only know the percentage and general structure of the pay-for-performance salary adjustments. Usually, the one-time bonus amounts are a percentage of an employee’s base salary for those who receive ratings of advanced or outstanding, but we do not anticipate knowing these rates until December.

Salary increases for state employees not covered by the TEAM Act (Higher Ed and others) are funded to the equivalent of a 2.5 percent across-the-board increase. IMPORTANT: For Non-TEAM Act employees, the appointing authorities of their agency will decide the amount of increase each employee receives, which means there is no guarantee that all Non-TEAM act employees will receive a 2.5 percent raise. These increases will be effective July 1, 2018.

This budget awaits Governor Haslam’s signature to be official, but we do not anticipate any delay.

TSEA