2019 Salary and Benefits
Introduction
November 13, 2018
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Item No. 8b Supp
Meeting date: 11/13/18
Topics to Cover
• Background of the Salary and Benefits Resolution
• Recommended Updates and changes
– Pay Range Adjustment
– Changes and Clarifications
– Retiree Medical Plans
– Paid Leave Plans
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Background
• RCW 53.08.170 authorizes Commission to establish
salaries and benefits via resolution
• The Salary and Benefits Resolution covers non-represented
employees
• The Resolution includes delegation of authority not
included elsewhere
• The 2019 Salary and Benefits Resolution 3752 will
incorporate changes to the Salary and Benefits Policy
Directive
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Recommended Updates
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Pay Range Adjustment
• The recommended pay range adjustment is 3.5% to maintain
market competitive pay ranges
• Costs associated with the range adjustment are minimal
– Less than 40 employees affected
– Cost is approximately $42,000
• 2019 Seattle Minimum Wage will be $16/hour
– Grade 7 range minimum will be slightly less than $16/hour
– HR staff will review in 2019
– No employees will be paid less than the City of Seattle minimum wage
– High School intern rate will be $16.81/hour
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Changes and Clarifications
• The Internal Audit Director reporting relationship will
clarified
• A slight change to the definition of the probationary period
that it is an extension of the hiring process
• NEW: Outside counsel recommended updating the
definition of at-will jobs. The footnote reference to at-will
jobs will be also removed from Exhibit A
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Healthcare Plan Changes
• Eliminating Retiree Medical Plans
– Following years of declining enrollment and increasing premiums
we will discontinue the retiree medical plans after the end of 2018
– As a result, in Section 5.3, subsections (B) and (C) related to
medical benefits for retirees and their dependents are repealed
– Section 5.4(B)(1), delete existing paragraph (b) relating to medical
benefits for commissioners eligible for retiree medical
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Paid Leave Plans
• Prompted by feedback from the 2016 Employee Benefits
Survey and 2017 focus groups
• Researched local public employers and general industry
market data and found we lagged the market average in
this area
• Recommended Addition:
– One (1) Personal Day per year
– Administered similar to a holiday with no liability accruing to the Port, no
accrual or carry forward of the day to the following year
– Taken as a full day off, cannot be split up and taken as multiple partial days off
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Washington State Paid Family & Medical Leave
• Mandated by state – benefits available 1/1/2020
– Provides partial pay (max $1,000/week) benefits for up to 12 weeks of medical (18 weeks
in some pregnancy situations)
– Funded by employee and employer premiums beginning 1/1/2019
– State rulemaking will not be completed until approximately 3Q 2019
• The Port has applied to opt-out of the State plan with a voluntary plan offering
benefits that are at least as good as the State plan
– The State must approve employers’ applications to opt out
– We anticipate that our plan will be approved this year and become effective in 2020
• Details on participation in either the State program or the Port’s plan will be
discussed during next year’s process.
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Questions?
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