Open Discussion Forum

  • 1.  Employee Wage Scale

    Posted 12-11-2019 02:10 PM
    I've been asked to develop a matrix of sorts to use when evaluating an employee's job performance and determining a wage increase. Does anyone have a model they would share? We want to reward those who go above and beyond the minimum job requirements and who gain an education.

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    Catherine Bergman
    Director
    Stratford Early Learning Center
    Stratford IA
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  • 2.  RE: Employee Wage Scale

    Posted 12-12-2019 08:09 AM
    Hello Catherine,

    At one of the Early Childhood Education Centers where I served as the Director, I worked collaboratively with my accountant to create a Bonus Incentive Program. My accountant taught me that increasing the wage for staff is a long term financial commitment to the business and could put the business at a risk, when the revenue dropped. However, a Bonus Incentive Plan is connected to profit resulting from the performance of the staff. For example, I kept track of the increase in the revenue at the Center during the year and then after I prepared my budget for the following year, I allocated a percentage of the increased revenue for the Bonus Incentive Plan. The plan specified the performance indicators for each of the three levels of the Bonus Incentive Plan. Each level had indicators where staff showed an increase in their ability to own their responsibilities to support our commitment to operate a high quality ECE program.

    I also had experience with increasing wages based on a staff members success in meeting and, if possible, exceeding, 3 SMART goals we agreed upon at his/her Annual Review. This led to creating a Succession Plan to support the opportunity for promotions for the staff. Earning a degree was a goal where there was an increase in a person's wage. 

    I always used my budget to guide my decisions about increases in wages.


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    Robert Gundling, Ed.D.
    Better Futures LLC
    Senior Consultant
    Washington, DC
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