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Employee Advancement through the Ranges <br />To implement the new Compensation Plan, MGT recommends that thestarting salary of the <br />range (minimum) is the normal hiring/promoting rate. Exceptions to this starting point should <br />be limited to hiring situations involving: <br />1)Applicants with an exceptional background and qualifications. <br />4+C"rtqoqvkqp"kp"yjkej"vjg"gornq{ggҀu"ewttgpv"eqorgpucvkqp"ku"jkijgt"vjcp"vjg" <br />minimum of the new range. <br />3)In the case of a labor market situation where it is impossible to recruit qualified <br />candidates at the minimum. <br />In these cases, employees may be appointed to their positions anywhere within the defined <br />range (generally up to the midpoint), depending on their experience and qualifications, and <br />dcugf"qp"vjg"rtqxkukqpu"qh"vjg"Ekv{Ҁu"rqnkekgu"*kh"crrnkecdng+0"Gornq{ggu"ujqwnf"pqv"dg"jktgf" <br />below the minimum of their compensation range. <br />Salary advancement between thehiring rate and the top-of-the-range (maximum) is done <br />vjtqwijqwv"vjg"gornq{ggҀu"vgpwtg"ykvj"vjg"qtganization. Advancement through the range would <br />be done on an annual basis and would be dependent on a satisfactory performance evaluation. <br />Incumbents progressing through the range should understand that standards of performance <br />would become more exacting or controlling as compensation levels advance. <br />The Citymay also wish to provide a merit bonus for exemplary performance after an employee <br />reaches the maximum compensation for the range. If this option is exercised, then an employee <br />would be eligible to receive a payment after a successful performance evaluation each <br />year.This payment should not be worked into the base salary but should be in the form of a <br />lump sum payment that is a set amount calculated each year and is consistent for all affected <br />employees.Because the payment would be provided as a lump sum rather than incorporated <br />into base pay, the City would retain the flexibility to modify or discontinue the practice in future <br />years based on operational and fiscal considerations. <br />City of Centerville, MN| May 2026 <br />12 <br />CLASSIFICATION, COMPENSATION, AND PAY EQUITY <br />18 <br />REPORT <br /> <br />