• = CITY OF AUSTIN, TEXAS MINUTES OF THE CITY COUNCIL CITY OF AUSTIN, TEXAS SPECIAL MEETING June 27, 1967 10:00 Α.Μ. COUNCIL CHAMBERS, CITY HALL The meeting was called to order with Mayor Akin presiding. Roll Call: Present: Councilmen Janes, LaRue, Long, Nichols, Mayor Akin Absent: None Mayor Akin announced that the Council was holding a special meeting for the purpose of hearing presentations and general discussions on the matter concerning personnel classification and reclassification systems. Speakers, Mr. Donald Hunt of J.L. Jacobs Co. of Chicago, Illinois, Mr. Charles Raines of Griffen, Hagen, and Kroger Company of San Francisco, California and Mr. Ray Harbah of the Public Administration Service of Chicago, Illinois appeared before the Council to present proposed plans for a new classification system for the City's employees. The Mayor then introduced accountants for the Council, Mr. Henry Ramsey and Bill Febbs, stating that they were present for the purpose of noting background information. The Mayor then requested that the speakers give their presentations in the order in which they were introduced. Mr. Hunt stated that the City's present classification system was somewhat unusual for Municipal government noting that it was a form of the point evaluation system. He then stated that his firm recommended a classification pay plan as opposed to a point evaluation system or job evaluation plan. He stated that the point system worked well where there was a homogenous grouping of jobs, such as in a factory type operation, but that in City government where there was a wide variety of occupations, there was no concern for movement among occupational groups in the labor market. He noted that it was difficult in a point system • June 27, 1967 = CITY OF AUSTIN, TEXAS He to relate the evaluation point of a job to the labor market conditions. then used the example of a key punch operator stating that it was a very low level job, routine and repetitive and that it did not require much education. He added that on the labor market, because there was a scarcity in that occupation, the job of key punch operator paid higher than that of secretary. Mr. Hunt used other examples of occupations to show where there was inequity in pay due to the fact that in a point system, job evaluations could not be properly related to labor market conditions. Councilman Nichols then asked if fringe benefits were taken into consideration in evaluating the jobs. Mr. Hunt replied that the benefits were considered a part of the whole salary. He then stated that under the classification plan a job was classified, described and salaried and that the salary base was related to the occupational grouping of the job and not tied to a specific point value. Mr. Hunt then noted that his report on the classification plan included twb parts. In the first part of the report, employees were given questionaires which were then filled out, each employee giving a description of their job. The questionaires with job descriptions were then compared with the labor market conditions. Mr. Hunt then stated that in a classification system there was not the rigidity of a point evaluation system and that the evaluation of a job was raised by giving it a higher salary. Mayor Akin then asked if there was any sort of preliminary approach that the Council could take that would be consistent with the new system should it be adopted. Mr. Hunt replied that it was possible, but that it would be necessary to concentrate on the salary survey first and then get an indication from the returns where the City stood on a percentage basis within the existing occupational groups. Mr. Hunt said that the cost of a two-month survey which would be complete review of the classification system would cost about $25,000. He then noted that if the City wanted to continue with the point evaluation system an additional $7,000 fee would be added. Mayor Akin thanked Mr. Hunt for his presentation and stated that more time and information were needed before a final decision could be made. The second speaker to appear before the Council, Mr. Charles Raines, also opposed the point evaluation system that was being used by the City. His first objection was that the system's objective was based on very subjective evaluations noting that points were assigned to educated experienced members which possibly involved making a fictitious division between education and experience. Mr. Raines stated that another problem with the point system was that pay ranges were applied to specific point values and often the pay ranges were not related to the labor market. If the salary ranges were to be adjusted, then the points would have to somehow be artificially adjusted. Mr. Raines recommended evaluating a position in relationship to another position rather than getting involved in evaluating each factor of each position against the other. Mr. Raines stated that if the Council wished June 27, 1967 - CITY OF AUSTIN, TEXAS to have a salary survey conducted, his firm would do one independent of the City's policy, but that information concerning the City employees's salaries was needed. He stated that if the City wished to be in competion with other employers, his firm would use the competitive wage theory in conducting the survey. Mayor Akin replied that he and the Council were not sure exactly what plan was needed but that a comprehensive study of the total employment situation was necessary. He then suggested that Mr. Raines make recommendations from the survey. He also requested that the proposed system based on the preliminary study be one that the City could easily adjust to. Mr. Raines stated that such a system was possible if his firm and the Council agreed that the system would be based on descriptions of existing City jobs. Mr. Raines stated that the survey would take a minimum of six months and would cost approximately $25,000 to $35,000. Mr. Raines then asked the Council to indicate whether or not they wanted a salary survey done. He then gave the Council background information on his firm stating that the company had been in business since 1911 and that they had conducted over a thousand City surveys. He further noted that the survey could be done in open view and he suggested that City employees be allowed to make suggestions. Mayor Akin then thanked Mr. Raines for his presentation. The third speaker, Mr. Ray Harbah began his presentation by informing the Council of his company's previous experience with classification surveys. He then stated that the City's current classification system was theoretically sound but that because the market conditions were not stable, the system offered no flexibility to meet the changes. He then proposed a classification system that would establish bench mark positions which would be directly related to the market conditions. He stated that questionaires would be distributed to employees and then sent to a supervisor who would prepare job specifications. The questionaires would then be checked by department heads who would determine which employees fit certain positions. Mr. Hunt stated that the intention of his proposed system was to establish levels such as clerk stenographer 1 and clerk stenographer 2. the information gathered a questionaire would then be devised which would determine bench mark positions on a state and local level. Councilman Janes asked if an efficiency study would be made. Mr. Harbah replied that another type of survey called an organization management study could be conducted but that it would be done separate from the personal interviews. He then said that the fee for his firm's study would be from $25,000 to $28,000 with an additional fee for the efficiency study. The Mayor then thanked Mr. Harbah for his presentation and stated that no action would be taken until a later date. From EXECUTIVE SESSION The Council then went into Executive Session to discuss the subject pertaining to the resignation of City Manager W.T. Williams, Jr. - CITY OF AUSTIN, TEXAS June 27, 1967 RESIGNATION OF CITY MANAGER At the conclusion of the Executive Session, the Council resumed its regular business. MOTION Councilman Janes moved the Council accept the resignation of City Manager W.T. Williams. The motion died for lack of a second. MOTION Councilman LaRue moved the Council not accept the City Manager's resignation. The motion died for lack of a second. MOTION Councilman Long moved the Council accept the City Manager's resignation effective July 14, 1967. The motion, seconded by Councilman Nichols, carried by the following vote: Ayes: Councilmen Janes, Nichols, Long, Mayor Akin Noes: Councilman LaRue ADJOURNMENT The Council then adjourned. Nam k APPROVED: Mayor Grace Monise ATTEST: Ast City Clerk