November 26, 2008
295 Rochester managers get "incentive" bonuses
Rochester Mayor Robert Duffy has given performance bonuses--ranging from $2,001 to $5,000--to 295 city managers rather than across-the-board pay raises.
The Rochester Democrat & Chronicle, which filed a Freedom of Information Law request to acquire the information, reports that 356 non-unionized city workers were eligible for the one-time "incentive pay".
Among Duffy's 20-person Cabinet, none received less than a $4,000 award, except two who have or are about to retire. Duffy was not eligible.
While performance-based pay is commonplace in the private sector, the mayor called it "a radical shift" for city government. City employees progress through predetermined pay levels, or steps, moving up two steps a year based on a checklist performance review.
(snip)
"Yes, this upsets the apple cart," Duffy said Monday, arguing that tough economic times and competition to attract and retain talent require change. "It's different. But you know what it doesn't do? It doesn't cost the taxpayer one additional dollar."
Such upsetting the apple cart is controversial. Duffy found himself defending the new program at a press conference a day later (here). City officials say the program will save the city $150,000, because the awards totaled $767,930, less than the $1.3 million that had been budgeted for pay raises.
Duffy insisted the awards were earned, and the message should be that the city is "putting an emphasis on performance and results."
In an editorial, the D&C calls the new performance pay "a step in the right direction breaking away from the outdated and inequitable system of step pay." (here).
But such accountability shouldn't only take place for the top layer of local governments. Holding employees to the same level of excellence is the next logical step.
But the city should go one step further, making the information available on its Web site. The information shouldn't have to be obtained by the Freedom of Information Law, as the Democrat and Chronicle did for the 295 employees who received performance awards. It should be made readily available to the public.
Transparency is key.
(snip)
Making sure the pay process has integrity and the information is easily accessible will be the icing on the cake.
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