2022 WVU Compensation Program
Vice President for Strategic Initiatives Rob Alsop provides an update on the
2022 West Virginia University Compensation Program.
As part of our continuing efforts to recognize, reward and retain top talent, West Virginia University is rolling out a 2022 Compensation Program. Through the program, WVU seeks to provide merit-based increases to faculty and staff who have strong performance in areas that support the University’s mission and operations and have a compensation ratio (compa-ratio) that needs enhanced to be in a market-competitive position.
Q. Is West Virginia University going to implement a salary increase program this year?
A: Yes. WVU has approval to conduct a 2022 Compensation Program in the coming months, and salary increases for faculty and staff are targeted to be effective in July. This year’s program will be merit-based and will incorporate feedback from recent performance reviews.
Q. What about the 5% pay increase Gov. Jim Justice announced for State employees? Aren’t WVU faculty and staff simply getting a 5% raise?
A: The University is only partially funded by the State’s general revenue (about 16% of our budget). As such, any pay increase for other State employees — including WVU personnel — would be based on a combination of available funding from the State’s General Fund and funding generated by the institution. The State’s budget, which will be effective July 1, 2022, includes the pool of funds related to the announced pay increase for State employees. However, this pool of funds was not based on each individual State employee’s salary details. Rather, the pool of funds was determined by taking 5% of the average salary ( approximately $50,000) for West Virginia State employees.
Q. What is the merit budget for the 2022 Compensation Program?
A: The University has allocated approximately $16 million to fund the 2022 Compensation Program. These funds will be distributed to college/unit leaders in the coming weeks to plan merit increases based on the program’s guidelines and the salary priorities for faculty and staff within each college/unit. WVU continues to review its market competitiveness with entry-level positions, therefore, as part of this program WVU will be adjusting its entry pay rate minimum to $13 an hour for staff positions.
Q. What are the objectives of the 2022 Compensation Program?
A. West Virginia University's 2022 Compensation Program is designed to provide merit-based increases to employees who have strong performance in areas that support the University’s mission and operations and have a compa-ratio that needs enhanced to be in a market-competitive position.
Q. What are eligibility requirements for participation in the program?
A. To be eligible for the program, employees must be in a benefits-eligible classified, faculty, non-classified or faculty equivalent position. Faculty and staff also need to be an active WVU employee before April 4, 2022 and have an overall rating higher than "Unsatisfactory" or "Development Needed" in their most recent performance review to be eligible for the program.
Further, employees must not be on active discipline to be eligible for the program. For classified staff, this means the employee must not be on active discipline at a second letter of warning or higher. For non-classified, faculty and faculty equivalent employees, this requirement includes any actively documented discipline.
Q. Will all eligible employees receive a pay increase?
A. The program does not include an across-the-board increase for all faculty and staff. Therefore, it is possible that some eligible employees may not receive an increase.
Q. What is the effective date for the program?
A. The target effective date for the program is July 3, 2022. For 12-month employees, increases will be reflected in pay statements dated July 29, 2022. For 9-month employees, full increases will be reflected in pay statements dated Sept. 9, 2022.
Q. How will the pay increase amount be determined?
A. Leaders will use the college’s or unit’s allocated pool of funds to plan increases based an employee’s performance evaluation and position in range (compa-ratio).
Talent and Culture will provide leaders a matrix of recommended increases that is designed to prioritize and provide the largest increase amounts to those with the strongest performance rating and the lowest market position. Other priorities within the college or unit also may be considered.
Q. Tell me more about the term “compa-ratio.”
A. A compensation ratio (compa-ratio) is a comparison of an employee's pay versus the market rate or applicable range midpoint. An employee's compa-ratio is determined by dividing his/her salary by the market rate or applicable range midpoint.
Market Rate / Range Midpoint
$45,000 / 50,000 = 90%
Q. How could my compa-ratio impact my merit increase? What does my compa-ratio mean?
A. Market-competitive range for salary generally is defined as 90% to 110% of market. Further, a compa-ratio below 90% is identified as below market competitive pay. However, it should be noted there may be legitimate reasons why some employees may be paid below 90% of market, for example, experience and performance.
Q. Will pay ranges be adjusted as part of the program?
A. Yes. A range uplift of 2.5% is being planned for staff ranges.
Q. What if I am at the maximum of my pay range?
A. If you are at or above the maximum of your range, you will be eligible for consideration for an increase according to the recommendations outlined for compa-ratio and performance.
Q. What about the $13 an hour pay rate for new staff employees?
A. The $13 an hour entry rate will be effective June 6, 2022 and applies to incoming staff positions only. The new entry rate does not apply to student workers.
As part of 2022 Compensation Program, current employees who are at a rate below $13.25 an hour and meet program eligibility requirements will be adjusted to $13.25 an hour.
Q. When can I expect to learn if I received a pay increase as part of the program?
A. Individual communications on pay increases as part of the program will begin in late June by managers and leaders.