Salary Loadings

Salary Loadings

SUMMARY

The Salary Loadings Policy and Procedure establishes the approach for the setting, payment and review of salary loadings and responsibility allowances for academic and professional staff.

POLICY

PurposeTo outline the approach for the setting, payment and review of salary loadings and responsibility allowances.

Overview

The University is committed to attracting and retaining high quality staff and rewarding outstanding staff performance. Flexible remuneration using salary loadings and responsibility allowances assists in achieving this goal.

DEFINITIONS
Salary Loading: salary paid in addition to the standard salary for a position, in order to attract or retain high quality staff.

Responsibility Allowance:  a temporary allowance that is paid when a staff member performs additional responsibilities for a set period of time.

Scope

This policy applies to staff employed under the Macquarie University Enterprise Agreement.

It is of particular relevance to Continuing and Fixed Term Academic and Professional staff members.

Policy

SALARY LOADINGS
Eligibility
A salary loading may be considered when:
  • there are demonstrable difficulties in attracting and retaining suitably qualified staff to a discipline/specialist position
  • there is a risk of significant turnover of staff in a discipline/specialist area
  • a staff member is performing at an outstanding level
  • a staff member has skills that are highly sought after in the market.
Salary loadings will apply to:
  • Academic Staff and
  • Professional Staff positions that are HEW Level 9 and above.

Exceptions will require justification and the approval of the Director, Human Resources.

Salary loadings may be either:
  • negotiated as part of an offer of employment, or
  • recommended by an Executive Dean/Head of Office

and accompanied by documented evidence that supports the case for payment of a loading.

Loading Parameters
Human Resources, in consultation with the relevant Deputy Vice-Chancellor, will establish loading parameters. Loading parameters will be determined on the basis of the level at which salaries for particular disciplines are being sustained in comparison with the market. Executive Deans/Heads of Offices will recommend loadings for individual staff within these parameters.

The size of the loading will be adjusted to take into account any promotion or reclassification.

A salary loading will be paid as a percentage or a fixed dollar amount (whole number).

Review
A review of salary loadings will be undertaken annually and take into account:
  • salary survey and other market data
  • the recipient’s Performance Development and Review
  • the continued applicability of loadings
  • the applicability of a loading in the event that a staff member is promoted or appointed to a position with a higher classification.

Approvals

  • Setting a salary loading
    The setting of a salary loading for an Academic or Professional staff member requires the approval of the Director, Human Resources.
  • Renewing a salary loading
    A renewal of a salary loading where the salary loading remains the same or is reduced, or the cessation of a salary loading, requires the approval of the Executive Dean/Head of Office.
  • Increasing a salary loading
    The approvals as described for setting a salary loading apply.
Leave and Superannuation
Salary loadings will:
  • be paid on accrued leave that is taken during service
  • be paid on long service leave taken during service, but this will be funded from Faculty/Office budgets 
  • not be paid on accrued leave or annual leave taken on resignation, retirement or termination.

Subject to legislation, loadings will not generally attract superannuation.

Loadings paid in respect of long service leave taken in service will be funded from Faculty/Office budgets rather than central funds.

RESPONSIBILITY ALLOWANCE
Eligibility
A responsibility allowance will be considered when:
  • a staff member is performing additional responsibilities beyond those expected at their current level of appointment, and
  • there is no feasible or allowable Higher Duties Allowance.
Additional responsibilities may include, but are not limited to:
  • project work
  • performing a proportion of duties of another position which is classified at the same level as the staff member’s substantive position.

Duration
A responsibility allowance will be approved for up to six months. It is generally only approved once and is not appropriate for an ongoing need greater than six months.

Value
The amount allocated for a responsibility allowance will depend upon the additional responsibilities required. As a guide, responsibility allowances will be no greater than 5% of one year's base salary.

Review
The additional responsibilities and allowance may be increased, decreased or withdrawn during the period following consultation with the staff member.

Approvals
Responsibility allowances require the approval of the Director, Human Resources.

Salary and Leave
Only one responsibility allowance will be paid to a staff member at any one time.

A responsibility allowance will be paid as a percentage (whole number).

A responsibility allowance may be absorbed into the new level of remuneration if the recipient’s current position is reclassified to a higher level (in the case of professional staff) or the recipient is promoted (in the case of academic staff).

A staff member will not be paid a responsibility allowance for leave periods of one week or more.

COMPLIANCE AND BREACHES
The University may commence applicable disciplinary procedures if a person to whom this Policy applies breaches this Policy (or any of its related procedures).

Policy Information

Contact OfficerManager, Employee Relations, Human Resources
Date Approved11 May 2011
Approval AuthorityDirector, Human Resources
Date of Commencement11 May 2011
Amendment HistoryMay 2013 – updated to reflect Director, Human Resources approves both Academic and Professional staff salary loadings
December 2012 – updated Loading Parameters to take into account any promotion or reclassification and extend next review date to full 3 years.
May 2012 – updated with Compliance and Breaches statement
April 2012 – Approvals sections added
Date for Next ReviewMay 2014
Related DocumentsSalary Loadings Procedure (see tab above)
Position Classification for Professional Staff Policy / Procedure
Policies / Rules Superseded by this PolicySalary Loadings Policy approved 10 June 2010
KeywordsSalary Loading, Responsibility Allowance

PROCEDURE

PurposeTo document the procedures for the payment and review of salary loadings and responsibility allowances for academic and professional staff.

Procedure

This procedure requires action by the following:

Director,
Human
Resources

SALARY LOADING
Set Salary Loading
Review salary and market data from both internal and external sources and recommend salary loading values for the coming year to the relevant Deputy Vice-Chancellor.
Supervisor/Head of DepartmentPropose the position which should attract a salary loading to the Executive Dean/Head of Office.  In your proposal, include evidence and the rationale of the circumstances that justify a loading.
Executive Dean/Head of Office

Review salary loading proposals from supervisors. Include the salary loading recommendation with the recruitment documentation for approval and forward to the Director, Human Resources.

Director, Human Resources

Approve Academic or Professional Staff salary loading
Review salary loading proposals from Executive Deans.

Approve salary loadings as appropriate.

Supervisor/Head of Department

Review Salary Loading
Recommend to the Executive Dean/Head of Office for the continuation or cessation of the salary loading and provide supporting documentation.
Executive Dean/Head of Office

Review submissions for salary loading reviews from the Faculty/Office and approve or decline the salary loading request.

Human Resources Officer

Process approved salary loadings as part of the normal salary payments.

Salary loadings approved for 12 months may be used for salary packaging purposes in accordance with University policy.

Supervisor/Head of Department

RESPONSIBILITY ALLOWANCE
Set Responsibility Allowance
Consider all staff when there may be a number of staff eligible for a responsibility allowance.

Consider the suitability of rotating the allowance amongst eligible staff. Selection needs to be defensible but interviews are not essential.

Inform all relevant staff as appropriate.

Submit a recommendation detailing the additional responsibilities, the duration, and the proposed allowance amount (i.e. the percentage amount) to the Executive Dean/Head of Office for consideration and endorsement.
Executive Dean/Head of Office

Review the request for the responsibility allowance. Seek advice and approval from the Director, Human Resources.

Director, Human Resources

Approve Responsibility Allowance
Review the Executive Dean/Head of Office endorsement and documentation and confirm or decline the request.

Advise the Executive Dean/Head of Office of the outcome.
Human Resources Officer

Process the approved allowance as part of normal salary payments.

Supervisor/Head of Department

Review Responsibility Allowance
Recommend to the Executive Dean/Head of Office for the continuation or cessation of the responsibility allowance and provide supporting documentation.
Executive Dean/Head of Office

Review submissions for responsibility allowance from the Faculty/Office and provide recommendation to the Director, Human Resources.

Director, Human
Resources

Approve Responsibility Allowance
Consider responsibility allowance recommendation from Executive Dean/Heads of Office and approve or decline the request.
Human Resources Officer

Process the approved allowance as part of normal salary payments.

Procedure Information

Contact OfficerManager, Employee Relations, Human Resources
Date Approved11 May 2011
Approval AuthorityDirector, Human Resources
Date of Commencement11 May 2011
Amendment HistoryMay 2013 – updated to reflect Director, Human Resources approves both Academic and Professional staff salary loadings
December 2012 – extended date for next review to full 3 years
May 2011 – Approvals sections added
Date for Next ReviewMay 2014
Related DocumentsSalary Loadings Policy
Position Classification for Professional Staff Policy / Procedure
Macquarie University Enterprise Agreements
KeywordsSalary Loading, Responsibility Allowance
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