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Banding Guide

Procedural Guide for HR Managers and Analysts

Last Update: 10/17/2008

Definitions

Career Banding

Career Banding is a human resources system that affects the way we classify, hire, pay, promote, evaluate, and provide career development opportunities for our employees. To reduce the number of job classes and titles in state government, similar jobs are being grouped together into broader job classes. The combined job classes are grouped into larger pay ranges and may be assigned new titles.

Career Progression Adjustment (Salary Adjustment)

A salary increase within the pay range of the employee's banded class. Managers consider work unit needs, pay equity, and other pay factors (including budgetary concerns) when awarding any salary adjustments.

A salary increase may be granted in the following situations:

  • Competency Increase: Increasing salary when an employee demonstrates one or more additional competencies within the same level.
  • Competency Level Change: Increasing salary when an employee moves from one competency level to another (e.g. Contributing to Journey, or Journey to Advanced).
  • Labor Market Increase: Increasing an employee's salary based on a review of the labor market for that employee's banded class. The Office of State Human Resources must approve this increase.
  • Retention Increase: Increasing salary when an employee presents a documented outside job offer for higher pay.
Competencies

The set of knowledge, skills, abilities and key behaviors that employees must demonstrate to be successful in their jobs and to support the organization's mission and goals.

  • Contributing Competencies: The set of knowledge, skills, abilities, and key behaviors typically performed in an entry-level position.
  • Journey Competencies: The set of knowledge, skills, abilities, and key behaviors typically performed at a full performance, experienced level.
  • Advanced Competencies: The set of knowledge, skills, abilities, and key behaviors typically performed at the expert level. These advanced competencies are not always required in every work unit.
Demotion Disciplinary Action, resulting in:
  • Employee movement from one banded position to another with the same banded classification with a lower competency level, or
  • Employee movement from one banded position to another with a different banded classification with a lower journey market rate, or
  • Reduction in salary within the same banded classification
DHHS Banded Class Competency Profiles As jobs are banded in DHHS, the HR implementation teams are working with managers and staff to establish a role summary, set of competencies, and associated key job activities for contributing, journey, and advanced levels in each banded class. (See Law Enforcement, Nursing, and Pharmacy Examples.
DHHS Competency Library

DHHS has established a Competency Library (see Reference Section) that includes definitions plus Contributing, Journey, and Advanced level competencies (knowledge, skills, abilities and key behaviors). These competencies are reviewed by HR staff, managers, and employee focus groups to select appropriate competencies for jobs in banded classes.

This comprehensive list of competencies should adequately apply to all jobs within DHHS, but managers who would like to add competencies should contact central HR at to request additions to the library.

Grade - Band Transfer

Moving an employee between career banded and former graded classes. This will occur when some state positions have not been converted to banded classes.

Note: Saleries that are below minumum of the banded class at implementation must be adjusted to minumum when funds become available. This adjustment may be retroactive to implementation date.

Horizontal / Lateral Transfer

Employee movement from one position to another within the same banded class with the same competency level or movement from one banded class to another with the same journey market rate.

Market Reference Rate

The average salary in the labor market for a banded class that exceeds the journey reference rate for that class. The DHHS central Human Resources (HR) Compensation and Classification Section sets special DHHS Market Rates for:

  • particular geographic regions that are highly competitive and
  • positions that are in high demand in the market.

The central HR office monitors certain high demand positions on a regular basis and adjusts the market reference rate as necessary.

Hiring managers can also ask HR to establish a higher Market Reference Rate for certain jobs when they find that they continually have to pay a higher rate for certain "hot skills" in the market.

Note: The Office of State Human Resources (OSHR) must approve all Market Reference Rates recommended by central DHHS HR.

New Hire Appointing a new employee to a position in a banded class.
Pay Factors

Managers must consider the following elements when making salary decisions. Consult the DHHS Pay Factor Guidelines for Career Banding for more information on each of the pay factors listed below.

  1. Financial Resources - the amount of funding that a manager has to work with in deciding pay.
  2. Appropriate Market Rate - the market rate that applies to the competencies required of the job.
  3. Internal Pay Alignment - the consideration of individual pay relationships within a work unit or organization.
  4. Required Competencies - the competencies required of the job based on organizational business need.
Promotion  Employee movement from one position to another with the same banded classification with a higher competency level (posted) or Employee movement from one banded class to another with a higher journey reference rate.
Reallocation

Moving an employee in one of the following circumstances is considered a reallocation. See specific definitions for more information:

Reassignment

Employee movement from one position to another with the same banded classification with a lower competency level or employee movement from one banded class with a lower journey reference rate.

Note: The employee can retain his or her current salary unless the employee's current salary exceeds the maximum rate for the new banded class.

Reference Rate

The average salary in a labor market determined by the Office of State Human Resources.

  • Contributing Reference Rate (CRR): The salary rate used as a market average for the contributing level of the banded class.
  • Journey Market Rate (JMR): The average salary in the labor market for the banded class.
  • Advanced Reference Rate (ARR): The salary rate used as a market average for the advanced level of the banded class.
Reinstatement Reemploying an individual to a position in a banded class following separation or Leave Without Pay (LWOP).
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