1. Living Waters
Nursing Home, Inc.
CompensationPlan
Brianna Perez, Jose Martinez, Laura Hill,
Trey Washington, Ruby Perez
2. 2
Table of Contents
Introduction......................................................................................................................................4
Compensation Philosophy.................................................................................................................4
Compensation Plan Objectives..........................................................................................................4
Elements of the Compensation System..............................................................................................4
Assumptions and Limitations............................................................................................................5
Market Conditions............................................................................................................................5
Pay Level Policy................................................................................................................................5
Market Based Job Evaluation Process..............................................................................................5
Introduction..................................................................................................................................5
Design Process...............................................................................................................................6
Base Pay Structure:...................................................................................................................6
Job Evaluation Process..............................................................................................................6
Market Survey Data..................................................................................................................7
Survey List....................................................................................................................................7
Job Matches to Survey - Initial pay grade assignments.................................................................8
Final Pay Grade Assignments....................................................................................................8
Managerial Evaluation..............................................................................................................8
INDIVIDUAL ANALYSIS................................................................................................................9
Introduction......................................................................................................................................9
Compa-Ratio Analysis ......................................................................................................................9
Employees Under the Grade Minimum ............................................................................................9
Employees Over the Grade Maximum............................................................................................10
Within Grade Adjustments.............................................................................................................11
Common ReviewDate.....................................................................................................................11
Merit Increases...............................................................................................................................12
Merit Matrix...................................................................................................................................12
INDIVIDUAL WAGE MODEL......................................................................................................13
Introduction....................................................................................................................................13
Model..............................................................................................................................................13
Provide overviewand recommendation......................................................................................13
COST IMPLICATIONS.................................................................................................................14
Introduction....................................................................................................................................14
3. 3
To Minimum Of The Pay Grade .................................................................................................14
Merit Increases ...........................................................................................................................14
Summary ........................................................................................................................................14
FLSA Audit and Recommendations................................................................................................14
Introduction with Expected 2015 Changes in Regulations. .............................................................14
Potentially Misclassified Jobs..........................................................................................................15
Impacted Employees.......................................................................................................................15
Recommendations to fix..................................................................................................................15
Referral Bonuses- Nursing Referrals.............................................................................................16
Posting- Pay inequities and long term employees............................................................................16
Pay Deductions- Employee Theft..................................................................................................17
Pay Secrecy- Discussion of Pay....................................................................................................17
Performance Appraisal scores- Pay For Performance Scores.........................................................17
Surplus Funds - Fund Allocation..................................................................................................18
New Hire - HR Director................................................................................................................18
COMMUNICATIONS....................................................................................................................19
Introduction....................................................................................................................................19
Process............................................................................................................................................19
Outline of Topics.............................................................................................................................19
Timing ............................................................................................................................................19
SUMMARY....................................................................................................................................20
Exhibit 1 – Pay Structure............................................................................................................21
Exhibit 2 – Job Classifications.....................................................................................................22
Exhibit 3 – Market Data and Pay Grades by Pay Grade .............................................................32
Exhibit 4 – Jobs by Pay Grade ....................................................................................................36
Exhibit 5 – Rationale for Pay Grade Assignments.......................................................................38
Exhibit 6 – Individual Analysis ...................................................................................................41
Exhibit 7 – FLSA Audit: Recommended Classifications..............................................................50
Exhibit 8 – FLSA Audit: Impacted Employees...........................................................................53
Exhibit 9 – FLSA Audit:.............................................................................................................55
Exhibit 10 – Individual Merit Increases ......................................................................................84
4. 4
Introduction
Our firm has been tasked to re-evaluate and update the compensation system of Living Waters
Nursing Home INC.
As per Mr. Jones, we will address the following issues:
Evaluate the current pay practices and make some general recommendations.
Establish a stated overall compensation policy, including a pay level policy.
Develop a structured process for developing a pay structure and determining the pay grade
assignment for each job.
An audit of legal issues, especially with respect to the pay discrimination case and overtime.
Evaluate the employee's current pay relative to the marketplace and between employees in
similar jobs.
Present an overview of an individual pay model to assist managers in setting starting pay and
correcting any inequities.
Design a merit increases process and provide information on the pros/cons of a common
review date versus the current increase process.
Provide an analysis of the problems listed above, with specific recommendations to resolve
the problems.
Conduct a cost analysis showing the impact of your recommendations.
Provide a written report outlining the objectives, logic for all decisions, limitations of the
process, the pay system design process, and the outcomes.
Compensation Philosophy
In developing the compensation structure, there are several basic principles that provide
guidance in making recommendations. They are:
Be conservative. Start with conservative practices that can be expanded as needed;
Design a system that maintains competitive wages for the organization;
Focus on process equity rather than desired outcomes based on past decisions or practices;
Recommend financial resource allocation according to the goals objectives and culture of the
organization.
Compensation Plan Objectives
To achieve the compensation philosophy, the compensation system has several specific
objectives:
Create and maintain internal alignment among different pay grades.
To support the organization strategy to attract, retain, and motivate the best employees in
accordance to the organization’s objectives.
To control and maintain cost efficiency.
Be in compliance with all legal regulations and standards.
Create a process that is fair in the determination of an individual’s compensation.
Create a clear and understandable process of determining compensation for the organization.
Elements of the Compensation System
The basic elements of the compensation system consist of:
Base pay structures: Set of actual pay grades that determine the organization pay structure.
5. 5
FLSA status: Federal labor standards act that determines whether or not an employee will
receive overtime benefits or not, and equal pay for men and women in the same types of jobs.
Non-exempt: Jobs subject to the fair labor standards act that are entitled to overtime and
minimum wage.
Exempt: Jobs not subject the fair labor standards act; salaried employees.
Job evaluation: A systematic procedure to aid in establishing pay differentials among jobs
within a single company.
Minimum pay: The absolute lowest wage permitted to be paid.
Pay grade: Jobs with similar market rates and job responsibilities.
Salary Ranges: Pay given to employees who are exempt from the regulations of the fair
labor standards act.
Assumptions and Limitations
Job descriptions are correct.
Model matches the overall pay philosophy.
Wages paid in hospitals and nursing homes are the same.
Market Conditions
Labor market conditions for the organization including but are not limited to the unemployment
rate which at this time is at historical lows in this country, shortages of skilled workers.
Pay Level Policy
The organization maintains a not-for-profit market meet policy for most jobs and an identical
policy for managerial and medical professional jobs. The organization pay level policy is one
dealing with the organization's desired position relative to the competition. Our pay level policy
is to match the market to its relative marketplace. Our pay level movement in relation to
inflation will be to lag the pay structure, due to a low wage inflation.
Market BasedJob Evaluation Process
Introduction
The organization relies on a market based job evaluation process to place jobs within a pay
structure. The market based process review the market rate and market conditions for the jobs,
which are then assigned to the pay grades where there is the closest match between the weighted
average from the wage surveys and the midpoint of the pay grade. The market based grade
assignments provide a benchmark for all other jobs where there is insufficient market data or
where internal considerations carry a significant impact on the pay grade assignment. The job
evaluation process evaluates additional factors that may impact the compensation for the job.
These factors include but are not limited to:
● Reporting relationships within the department
● pay grade assignments of similar jobs in the organization
● differences in job responsibilities and skill requirements
● specific knowledge requirements
● other compensable factors within the organization and managerial input
6. 6
DesignProcess
Base Pay Structure:
The three factors that determine our pay structure are the minimum wage, midpoint separation,
and pay range. The current Federal and state minimum wage currently is $7.25 as described in
the Fair Labor Standards Act. We recommend that the organization’s minimum wage to start at
$8.50. We believe it will give a competitive edge in the non for profit market, being the state’s
minimum wage is at the $7.25.
The midpoint separation between pay grades represents the average differential that the
organization expects to maintain between jobs in adjoining pay grades. The organization will be
using a constant percentage differential of 8 percent. The differentials also create a sufficient
number of pay grades to accommodate most future growth and changes within the organization.
Our recommendation for the organization is using a 50 percent pay range spread, because it is a
good midpoint in the range of overlap while also maintaining that all the pay grades are
relatively spaced together. Which when combined with the 8 percent grade differentials, also
provides sufficient overlap in pay grades to accommodate the establishment of work teams and
cross training.
See Exhibit 1: Pay Structures.
Job Evaluation Process
Focuses on the market rate as the primary basis for assigning pay grades. Establishes consistent
rules to maintain internal and individual equity. Uses organizational relationships and relative
job responsibilities to assign non-benchmark jobs to pay grades.
Job information:
Our group obtained and analyzed several internal job descriptions. By utilizing this information,
a more complete understanding of the organizations jobs will allow us to design a proper pay
system for the organization. Based on the job information we were able to tell if the employees
were exempt or nonexempt, and reviewed under payment and overpayment of individual
employees. After that we able to group jobs into classifications and linked some of the jobs that
were similar.
Job classifications:
We recommend using classifications as it will aid the organization by making pay decisions that
are reasonable in comparison to similar work. The job classifications represent relatively narrow
categories of jobs based on common characteristics, similar to the traditional compensable
factors used in compensation. These compensable factors include knowledge, skills and abilities
necessary to perform the job, activities and tasks, training and education requirements working
conditions, responsibilities, and other traditional compensable factors.
Financial clerk
Clerks
Level one directors
Level two directors
7. 7
Receptionist
Aides
Licensed vocational nurses
Registered nurses
Level one supervisors
Level two supervisors
See Exhibit 2: Job Classifications
Internal equity rules
Through the course of our analysis, we recommend the following internal rules for the pay
structure.
Rule 1: All jobs in classifications get assigned the pay grade based on the relevant classification.
Rule 2: All jobs that have relationships will have their pay grade based on the relationship they
are linked to.
Rule 3: If we are linking one job to another, and their experience is between zero and two, then
one pay grade difference.
Rule 4: If we are linking one job to another, and their experience is between three and five, then
two pay grade difference.
Rule 5: Assistant Directors will be two pay grades below that of the directors, because there is
no survey data to match the director position with, so we linked the assistant directors to the
director position, and we recommend two pay grades below because they are just assisting the
director.
Rule 6: Employee Exemptions will be applied if the job description has a minimum base pay of
$50,400 yearly salary and the employee works at full time status. These minimums are based on
the FLSA requirements.
Market Survey Data
The availability of market data is critical to the success of the compensation system design. The
design process will use a combination of published surveys and a custom survey, as needed. The
published surveys provide the organization with the ability to update the pay system on an
annual basis without the time and expense of conducting a custom survey.
Survey List
The following were the market data that we used to match and review the Living Waters Nursing
Home INC. pay structure:
The San Antonio General Job survey
The San Antonio Not-for-Profit Job survey
The Texas Society for Healthcare Human Resources Administration and Education survey
(TSHHRAE)
Description of adjustment process
We based our pay process on the 3 market data surveys above. A majority of our pay adjustment
process was on the San Antonio Not-for-Profit survey, since Living Waters Nursing Home INC
is a not-for-profit organization. The San Antonio General Job survey is the market survey for the
8. 8
entire San Antonio area. The TSHHRAE survey is the market survey data for the entire state of
Texas. See below for how we based pay processes for the different jobs when internal rules do
not apply.
See Exhibit 3: Market Data and Pay Grades by Pay Grade
Market Survey Rules
Based on our evaluations of the three different market surveys, we recommend the following
rules structure to follow for the pay structures when internal rules do not apply.
Rule 1: We will use San Antonio Not-for-Profit as our primary source for market data.
Rule 2: If no Not-for-Profit data is present, we will use San Antonio General Job survey data
minus 1. Doing this because not-for-profit generally pays less than the San Antonio market.
Rule 3: If no Not-for-Profit data or San Antonio data, we will then use TSHAARE survey data
minus 2. Doing this because the Texas market is generally even higher than the San Antonio
market.
Job Matches to Survey - Initial pay grade assignments
The use of the surveys listed above helped in matching up the appropriate jobs in each survey to
the jobs already established in the pay structure. The initial pay grade assignments were already
provided when we matched each job within the pay structure. Then after matching surveys we
compared the initial pay grade assignments to the matches that we made. That allowed us to
review and see if the pay grade assignments were similar to the other market data. While
examining the internal factors of the organization’s structure and their current job descriptions.
Final Pay Grade Assignments
When we first make our pay grade assignments, we follow our internal rules. All classifications
are first assigned their pay grades. We follow that with job relationships. After those two rules
are followed, then we look at the market survey data and use the rules established there to assign
pay grades to each of the job titles that are remaining.
See Exhibit 4: Jobs by pay grade.
Managerial Evaluation
During this step of the job evaluation process, we have met and reviewed the structure with the
appropriate personnel including department managers and other designated individuals. During
this review, we have ensure the consistency and accuracy of the pay grade assignments for the
Living Waters Nursing Home INC. The following job titles are what we are questioning:
● The payroll manager doesn’t actually manage or supervise any employees. This job is
misclassified and should be at a payroll clerk.
● The support supervisor has the same job descriptions as a maintenance supervisor in both the
San Antonio market surveys as well as the TSHHRAE market surveys. This job needs to be
re-titled.
● The lead caregivers are assigned two pay grades based on the RN requirement in the job
description but they are LVNs or CNAs.
9. 9
Rationale for pay grade assignments
The rationale for the pay grade assignments, we used or rules to match the not-for-profit market
data. In addition, we reviewed experience to also have a rule to increase pay grades based on the
level of experience required.
See Exhibit 5: Rationale for Pay Grade Assignments
INDIVIDUAL ANALYSIS
Introduction
In this stage of the pay system design process we will address two issues regarding individual
pay. One being any employees who have pay that is outside of the proposed pay grade, and two
the individual adjustments within the pay grades to correct any pay inequalities or irregularities.
Compa-Ratio Analysis
This analysis evaluates the individual compa-ratio which is the employee’s current pay grade
assignment. The ideal compa-ratio for any organization is at or around 1.00. Any compa ratio at
1.20 or below 0.80 will be reviewed individually. The overall current compa-ratio for the current
pay grade assignments is 0.92. With our proposed new pay grade assignments, the new overall
compa-ratio is 0.96.
Employees Under the Grade Minimum
The Living Waters Nursing Home has 31 green circle rate employees based off of the current
pay grade assignments. These employees are being paid under the pay grade minimum, please
the table 1 below for further details. When going off of our proposed new pay grades, it resolves
the issue of the green circle rates.
Table 1:COMPA RATIOS GREEN CIRCLE RATES
Name Job Title
Pay
Grade
Current
Compa
Ratio
New
Pay to
Min
New
Compa
Ratio
VACANT
Director of Human
Resources 18 0.00 31.45 0.80
Rivera, Cristina Support Supervisor 10 0.53 16.99 0.84
Rodriguez,
Consuelo Desk Clerk 4 0.57 10.71 0.84
Goodson,
Yolanda Lead Care Giver I 15 0.60 24.97 0.84
Eckbom, Randall Administrative Assistant 11 0.61 18.35 0.84
Almaguer, Olivia Lead Care Giver II 16 0.61 26.96 0.84
Morales, Gloria Human Resources Clerk 7 0.63 13.49 0.84
Ruiz, Christina Desk Clerk 4 0.66 10.71 0.83
Alvarez, Sylvia Nurse Manager I 19 0.66 33.97 0.84
Whary, Darla Payroll Manager 12 0.68 19.82 0.84
Walker, Angel Nurse Manager II 19 0.69 33.97 0.84
Tucker, Howie Custodial Supervisor 7 0.70 13.49 0.84
10. 10
Pertosky, Brenda Dietary Aide 1 0.71 8.50 0.83
Shee, Paul Asst. Director of Operations 19 0.71 33.97 0.84
Smith, Bob
Resident Housekeeping
Supervisor 7 0.71 13.49 0.84
Perez, Jennifer Registered Nurse 15 0.71 24.97 0.84
James, Sabrina Registered Nurse 15 0.71 24.97 0.82
Jobs, Stephen
Environmental Services
Coordinator 3 0.71 9.91 0.84
Gonzalez,
Katherine Hiring/Recruiting Specialist 11 0.72 18.35 0.84
Still, Audrey Dietary Aide 1 0.73 8.50 0.84
Moore, Maria Registered Nurse 15 0.74 24.97 0.84
Christmen,
Edward Medical Records Clerk 7 0.74 13.49 0.84
Weiser, Bud Electrician 11 0.75 18.35 0.84
Garcia, Lilia Housekeeper 1 0.75 8.50 0.84
Moore, Angela Desk Clerk 4 0.75 10.71 0.84
Arias, Maria Registered Nurse 15 0.77 24.97 0.84
Gaietto, Marilyn Registered Nurse 15 0.77 24.97 0.84
Montoya,
Gerardo Security Guard 3 0.79 9.91 0.84
Perez, Richard Security Guard 3 0.79 9.91 0.82
Anthony, Paul Security Guard 3 0.79 9.91 0.84
Munoz,
Evangelina Cook 2 0.80 9.18 0.84
Employees Over the Grade Maximum
There are 13 current red circle rates using current pay grade assignments for the organization.
Again, see table 2 below to view further detail of these compa ratios. The proposed new pay
grade assignments still show 13 new red circle rates. These employees will need to be reviewed
by management and they will have several options to address these employees.
The organization can freeze wages until the structure catches the individual’s pay, give employee
½ of their expected increase, or provide a bonus equal to the expected increase. We recommend
the organization give the ½ of the employees expected increase. That way it's not completely
limiting their raises but allow for adjusting for the influx of the overpayment.
Table 2:COMPA RATIOS RED CIRCLE RATES
Name Job Title
Pay
Grade
Current
Compa
Ratio
New
Pay to
Min
New Compa
Ratio
Smith,
William Director of Nursing 18 1.23 48.20 1.23
Tisdale,
Ashley
Occupational
Therapist 17 1.25 45.67 1.32
11. 11
Smith, Joseph
Director of Resident
Services 17 1.26 45.87 1.32
Mesa, Jerry Resident Counselor 8 1.27 23.08 1.27
Uhrich,
Delbert Accounting Manager 13 1.27 33.96 1.33
Miller, Bill
Director of
Development 18 1.32 51.71 1.38
Triolo,
Michael
Director of Social
Services 17 1.32 48.20 1.39
Layug, James Resident Counselor 8 1.34 24.31 1.34
Moore, James Executive Director 23 1.35 77.88 1.42
Hernandez,
Aaron
Director of
Operations 18 1.38 54.11 1.45
Jacobs,
Tarleton Director of Finance 18 1.38 54.41 1.45
Olivas, Elva Marketing Associate 3 1.55 19.23 1.63
Hancock,
Johnny
Marketing
Coordinator 3 1.59 19.71 1.67
Within Grade Adjustments
The organization will use the individual wage model to adjust the employees pay that is not
corresponding to the market. If an employee is within the pay range then no adjustments need to
be made.
There are many reasons why employees within our organization have wages that are red circle
rates. The following is a list of reasons why:
Employees may have long tenure and/or seniority
Employees may possess more experience than their position requires
Employees may have more education than their position requires
Inefficient decision making by management
Poor financial choices by management
Common Review Date
The purpose of this policy is to establish and communicate evaluation dates for the employees.
Employees will receive a performance evaluation review on their tenured anniversary dates.
This will determine how much of a merit increase each individual employee receives.
● Date of Employment - This date is the date of hire and does not change throughout the length
of employment unless a break in service of greater than 3 months occurs. The initial
employment date determines seniority for purposes of applicable benefit accruals.
● 90-Day Review - Upon completion of the initial employment period, after 90 days in a new
position, including new hire, transfer, or promotion, a formal performance review is conducted
by the immediate supervisor.
● Annual Review- Performance evaluations are scheduled on the anniversary date of each year.
12. 12
● Transfers - Employees who transfer to a new position or department will receive a 90-day
evaluation. An exit evaluation may be completed by the former supervisor at time of transfer
and averaged in with on-cycle evaluation, if appropriate.
● Promotions - Employees who are promoted into a new position will receive a 90-day
evaluation.
● Effective Date - The effective date for pay changes is the beginning date of the next applicable
pay period.
Merit Increases
The merit increases, however, will take effect for all employees in the organization on January
1st. The merit increase system is designed to reward employee performance through differential
pay increases based on the employee’s current pay and performance level. Guidelines for the
merit system are determined each fiscal year during the budget preparation.
● Pay increase and promotional increase guidelines will be provided each year, if applicable, to
aid management in determining the appropriate percentage amount for merit based on the
employee’s performance and position in pay range. These guidelines will be reviewed
annually and revised as necessary.
● Merit increase recommendations must be accompanied by performance appraisal
documentation. Employees on an active step of discipline will not receive a merit increase.
● The annual merit increases will be effective the first pay period following the start of the new
fiscal year.
● Merit increases are restricted to all full-time and part-time employees paid on a salary or hourly
basis.
Merit Matrix
The typical annual increase model identifies percentage increases based on the employee’s
performance appraisal.
Performance Matrix
Maximum Increase 5.00%
Quartile Diff. 0.75%
Performance Diff. 0.75%
Minimum Increase 0.00%
MERIT MATRIX
QUARTILE PERFORMANCE
1.00 2.00 3.00 3.75 4.25
1 0.00% 0.00% 3.50% 4.25% 5.00%
2 0.00% 0.00% 2.75% 3.50% 4.25%
3 0.00% 0.00% 2.00% 2.75% 3.50%
4 0.00% 0.00% 1.25% 2.00% 2.75%
5 0.00% 0.00% 0.50% 1.25% 2.00%
Over Target 0.00% 0.00% 0.00% 0.50% 1.25%
13. 13
Pros Cons
Easy.
Fits the traditional increase model
May work if wage inflation is
constant across all jobs.
Allows managers to avoid some
tough decisions.
Does not provide enough money to
those jobs that have higher than
average wage inflation.
Allocates larger dollar increases to
employees who are paid above the
midpoint of the pay range.
If published, forces managers to
adjust performance appraisal scores to
meet budget constraints.
INDIVIDUAL WAGE MODEL
Introduction
The individual wage model bases the annual increases that the organization give employees are
the most critical compensation decisions made on an annual basis. The organization’s annual pay
adjustment model should depend on the organization’s compensation objectives and philosophy.
The effect is a general lack of congruence between the pay increase models and the
organization’s needs.
Model
The degree of complexity of the organization’s profile based pay model depends on the specific
needs of the organization and the ability to collect the required information. The model factors
may include previous experience, seniority, performance, marketability, and criticality to the
organization, additional education, etc. The profile pay model computes the expected or ideal
target pay based the job-related factors and the weights attached to each factor by the
organization. The profile-based model, when matched with a market-based structure, provides
the most complete process for determining the appropriate pay regardless of market conditions,
the current pay, or the actual wage inflation.
The model that we used is shown below.
Target Pay = Minimum of the range * (1+((%) previous job related experience + (%) * tenure in
the job * performance + (%) * additional education or certifications + (%) * competence + (%) *
marketability + (%) * criticality + (%) * additional factors + (%) * managerial judgment)).
This model helps to maintain consistency and provide a rational basis from which to accurately
compensate employees.
Provide overview and recommendation
We as a company suggest the use of the pay system we have a submitted because of the
rationality and logical nature by which pay grades, classifications, and job matches were derived.
14. 14
COST IMPLICATIONS
Introduction
While examining the market data for the various surveys and creating a new pay structure for
Living Waters Nursing Home we can assume that there will be adjustments to current employees
pay to match the pay grades we will.
To Minimum Of The Pay Grade
In order to bring all employees to the minimum pay ranges the organization will incur an
additional cost. With this adjustment, all employees will be able to be paid in accordance with
the pay grades that are reflective of not only the various market surveys but also the internal
alignment rules that we have created. The overall cost to bring all the employees to the correct
pay grades will total $209,343.00.
Merit Increases
The Maximum increase will be 5%, this will give our best workers a higher than average
increase to keep them here and happy. On the flip side, the minimum is a 0.00% increase. We
use this to let people know that they have two options, either improve to at least average, or find
another job. We use a 0.75% incremental difference for both quartile and performance
differences.
Summary
The total amount to implement this new pay structure will be $4,827,701.62. This amount
includes the base annual pay of $4,426,526.98, then add the amount to bring employees to the
minimum to meet the market of $191,831.16. The last amount added is the cost of the merit
increase of $209,343.48. This amount does not include the cost of in grade adjustments.
Original cost of pay structure $ 4,426,526.98
Cost to bring to minimum $ 191,831.16
Cost to implement the merit increases $ 209,343.48
Total of pay structure $ 4,827,701.62
FLSA Audit and Recommendations.
The compensation project will include an audit of the exemption status for each job and the
related pay practices. All employees covered under the FLSA must be paid minimum wage for
all hours worked. Compensable time that must be counted as hours worked include for example:
waiting time if employee cannot use time for personal purposes, travel between job-sites,
mandatory training programs and meetings, meal periods less than 30 minutes, meal periods over
30 minutes if the employee conducts some work during the lunch period, breaks or rest periods
20 minutes or less, on-call time where personal liberty is restricted, show-up time on company
premises of 10 or 15 minutes, stand-by time during plant shutdowns, and preparatory work.
Introduction with Expected 2015 Changes in Regulations.
In addition to certain employees who are not covered by the FLSA, other employees are exempt
from the minimum wage and overtime requirements. The major FLSA exemptions are executive,
15. 15
administrative, and professional employees, outside sales employees, and employees in certain
computer related occupations.
The FLSA exemptions are based on the employee’s specific job duties, skill requirements, and
payment on a salary basis, rather than the job title, job description, hours worked, or the potential
cost of overtime. The executive, administrative, and professional exemptions include a primary
duty requirement as a basis for evaluating job duties. Factors relating to the primary duty
requirement include: the relative importance of the managerial duties; the frequency and extent
of the employee’s decision making discretion; and the relative freedom from supervision.
Most employees must receive a salary of at least $50,400 that is free and clear.
The organization may also pay certain administrative and professional employees under limited
circumstances, on a "fee basis" An employee is paid on a "fee basis" if the employee is paid an
agreed sum for completing a single job, regardless of the time required to complete the work.
Payment on a "fee basis" is not available for employees who perform a series of non-unique jobs
repeated an indefinite number of times for which payment on an identical basis is made over and
over again. A fee payment meets the minimum salary level required for exemption only if, based
on the time worked to complete the job, the fee is at a rate that would amount to at least $970 per
week if the employee worked 40 hours.
Potentially MisclassifiedJobs
The jobs that are misclassified - current exempt/nonexempt positions and need to be classified to
proper status nonexempt/ exempt status. Currently we found 22 job positions that are
misclassified in either the exempt/ nonexempt statuses. Please see the following exhibits to see a
complete list of potentially misclassified jobs and a checklist of the jobs that show their
classifications as being exempt.
See Exhibit 7: Recommended Classifications
See Exhibit 9: FLSA Audit: Forms
Impacted Employees
Currently there are 29 employees who are impacted and need to be either changed to an exempt
position or changed to a nonexempt position. Please see our exhibit below to show who is
impacted and the reasoning’s why we recommend that their statuses be changed.
See Exhibit 8: Impacted Employees
Recommendations to fix
Our recommendations are based on the FLSA rules of exemption. There are 20 jobs that are
currently exempt and will need to be changed to non-exempt based on the FLSA exemptions
rules. For the jobs that are currently are exempt and should be nonexempt – we recommend they
need to paid back pay/ overtime pay for at least 3 years back.
ORGANIZATIONAL ISSUES
16. 16
Referral Bonuses- Nursing Referrals
Statement of Problem: The organization gave referral bonuses of $2,000 to 5 nurses. The
referred employees must stay with the organization one year for the nurses to receive the
bonus.
Background: In order to attract new talent for organizations, a common practice is the use of
referrals. Referrals are useful because it allows the organization to attract applicants that are
of quality while keeping recruiting costs low. This method is effective because often time’s
good employees will refer good applicants.
Options: In order to make sure that all applicable laws are followed in the disbursement of
bonuses, there is only one option available. Because this is a non-discretionary bonus, the
wage rate needs to be re-calculated based on the amount of the bonus.
Recommendations: In order to correctly re-calculate the wage rate for the nurses, use the
following equation
RR𝑎 = (𝐵𝑜𝑛𝑢𝑠 𝐸𝑎𝑟𝑛𝑒𝑑 / 52) / ℎ𝑜𝑢𝑟𝑠 𝑤𝑜𝑟𝑘𝑒𝑑 𝑜𝑣𝑒𝑟𝑡𝑖𝑚𝑒
Posting- Pay inequities and long term employees
Statement of Problem: Three weeks ago, when Mr. Jones came to work, there was a note on
the bulletin board listing everyone's pay. This has led to complaints from several long-term
employees. In addition, it is obvious that several employees are receiving substantially more
money than other similar employees in the same job.
Background: In most organizations, an employee's individual pay is not posted because of
the preference of privacy. However when an employee's’ pay is broadcast to all, the
organization is placed into a tough situation. The information that was once considered
private is then open for all to see and in some cases can lead to ill will and discontentment in
the organization.
Options: In this situation, many different issues that need to be addressed. Concerns with
regard to the breach of privacy and the security should be foremost in being looked at. In
addition, to the culprit needs to be caught both to prevent this from happening again but also
to determine the motivation of the posting. Finally, with that being taken care of, because of
concerns of the other employees, an audit for discrimination needs to be conducted to ensure
all is of with the current pay structure.
Recommendations: In order to help deal with the break in security, in investigation needs to
take place with several aims. One is to determine how the original poster acquired the
information. Next, the method of gaining authorization and how the original culprit defeated
the current security measures so that that gap can be found and fixed. In addition, the
perpetrator needs to be found and then their employment terminated to completely ensure the
same person wouldn’t be able to do the same action again. Finally, an internal audit needs to
17. 17
be done with a lawyer present to help identify any areas of possible discrimination to be
addressed
Pay Deductions- Employee Theft
Statement of Problem: An employee was caught after stealing $300.00. The employee was
terminated and the manager wants to deduct the $300.00 from the employee’s last pay check.
The employee worked 40 during the last week at an hourly rate of $8.00. Please advise the
manager.
Background: The Fair Labor Wages Act states that an employee’s pay cannot be docked if
the deduction would cause the wage to fall below $7.25 per hour. Also, you cannot deduct
money from an employee as punishment without permission.
Options: The manager has the options of consulting the employee and informing them of the
intentions of docking the employee’s last pay. At that time, the employee would need to
authorize the deduction before it could take effect. The manager also has the option to cut his
losses from the theft and accept the loss of $300.
Recommendations: The manager should not attempt to deduct the $300 from the
employee’s last paycheck due to the fact that it would be more of hassle to get the former
employee to authorize the deduction and complete the paperwork. In other words, it’s not
worth the time not hassle for the manager to recover the $300 from the employee
Pay Secrecy- Discussion of Pay
Statement of Problem: A manager wants to fire two employees for discussing their pay in
an open meeting.
Background: The national labor relations act deals with unionization and protects the
employee’s right to come together and discuss issues.
Options: The organization does not have many options. They cannot terminate the
employee’s due to the national labor relations act.
Recommendations: Encourage the employees to keep the conversations with regards to pay
private. However if the employees choose not to then the organization must allow them to
continue.
Performance Appraisal scores- Pay For Performance Scores
Statement of Problem: Some managers recently became upset with the lack of pay
increases in 2013 and 2014. They decided to inflate the performance scores to get their
employees more money.
18. 18
Background Information: When a company goes through a freeze in pay, they often try to
find alternative ways for their employees to be compensated.
Options: The managers have the option to reevaluate past performance scores. By
reevaluating past performance scores the managers will be able to tell if the employee
consistently received high scores, which will justify the pay.
Recommendations: We need to have the departments evaluated on past performance and
production. If the results are valid then we can keep the departments the same.
Surplus Funds - Fund Allocation
Statement of Problem: Some managers are using money from other budget items that have
a surplus of funds to provide bonuses to exceptional employees.
Background Information: Managers often try to reward employees for their great
performance. However, the managers often do not have the funds to reward these employees.
The major problem is that this will cause dissention between other employees. The managers
need to be held responsible, to fix this, the managers will have some kind of repercussions,
i.e. take away their bonus for the year.
Options: There are plethora of options for these managers to compensate employees for their
exceptional performance. The manager’s must evaluate policies to ensure it is legal to use
funds from other items to provide bonuses. Another option is to re compensate overtime.
Recommendations: In order to address the problem the organization should re compensate
employees for the overtime they have worked. The organization should establish a policy for
future incidents.
New Hire - HR Director
Statement of Problem: The organization has received the resume of the new Human
Resources Director. Based upon that resume, what would we pay the employee?
Background: Figuring out what to pay an employee based on their potential and previous
experience has been a problem for employers since the beginning of time. The need to pay
employees a competitive wage is a major factor that helps to determine the type of employee
that an organization has. This is a heavy indicator of how successful the organization can be
in the future.
Options: Based upon the differing amounts of experience, education, and job labor market,
all are factors that can affect what pay grade and what rate within that pay grade. In this case,
the Human Resources Director falls within the DIR1 classification with a minimum at pay
grade 18 or in other words an hourly rate of 31.45. With the weights attributed to each factor,
the hourly rate and therefore compra-ratio are used to check that the employee is
19. 19
compensated correctly according to their experience and education. As more factors are
included that pay grade midpoint is not a bad option.
Recommendation: Using the individual pay model function in the compensation system
model, the new Human Resources Director should be paid just below the grade midpoint at
$35.24 per hour, or at about 73k per year. This rate puts the compra-ratio for this employee at
.90 due to their extensive experience and education.
COMMUNICATIONS
Introduction
We recommend keeping all employees up to date on the new compensation process. We feel
that this will help the employees understand how the system works, what we used for
calculations and how this will impact their individual pay.
Process
To implement this new pay structure the entire structure needs to be done from a top-down
process. We will work with the Human Resources department to ensure that everyone gets
proper training. Once the HR department has been trained, we will work with them to get the top
levels of management trained to understand the system. This will allow management to
understand how the new system works and be able to educate any employees who have
questions. Finally, we suggest having a presentation on the new pay system to the remaining
employees on not only the reasoning for the new pay system, but also on how the calculations
work so there are no misconceptions. We suggest that all new employees brought into the
company also be trained on the pay system as needed.
Topics to be covered in the meetings will include a general overview of the compensation
system, pay grade assignment process that includes the initial pay grade assignment according to
market data, pay grade assignment according to classification, pay philosophy, pay objectives,
and finally the general changes in pay that will result.
Outline of Topics
Compensation Philosophy
Compensation Plan Objectives
Elements of the Compensation System
Assumptions and Limitations
Market Conditions
Pay Level Policy
Market Based Job Evaluation Process
Design Process
Individual Wage Model
Cost Implications
Timing
Execution of the new pay system will begin on January 1st, following immediately after with the
training of the staff, allowing for only a two day training time span. This two day period will
20. 20
allow for more accurate information to be shared amongst employees, leaving less room for false
or negative information, also allowing for information to reach employees as quickly as possible
for the first pay check of the New Year will reflect the changes made. In six months following
the new pay structure being put in to place, an audit should be conducted to make sure all areas
of the structure are working properly.
SUMMARY
With the information we have gathered from Living Waters Nursing Home, Inc. in regards to job
descriptions and individual analysis’s, also with information from the market research data, we
have been able to create and design a pay structure. This information is accurate and the best
interest of all the employees at Living Waters Nursing Home, Inc. With the recommendations
presented as well and how to proceed in implementing the pay system, there should be a positive
outcome for the organization, ensure less legal issues occurring and have a more satisfied staff.
22. 22
Exhibit 2 – Job Classifications
CLASS CLASS TITLE PAY GRADE
FC Financial Clerk 6
Class Description
Clerical positions in the finance department
Education
Minimum
Experience Certification
HS 0
Job
# Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
1 Accounting Clerk I 6 5 7 6 6
5 Accounts
Receivable/Payable
Clerk
5 6 6 6
Average 6 6 7 6
23. 23
CLASS CLASS TITLE PAY GRADE
CLK Clerks 7
Class Description
Qualities similar to each other in general clerical duties and administrative functions
Education
Minimum
Experience Certification
HS 0.25
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
42 Human Resources
Clerk
6 7 7 6
7
54 Medical Records
Clerk
4 6 3 4
Average 5 7 5 5
24. 24
CLASS CLASS TITLE PAY GRADE
DIR1 Level 1 Directors 18
Class Description
Director of a specific department
Education
Minimum
Experience Certification
BA 3
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
22 Director of
Development
17 17
18
23 Director of Finance 22 20 21
24 Director of Human
Resources
22 17 22 20
26 Director of Nursing 23 22 22
27 Director of
Operations
29 20 31 28
52 Marketing Director 22 18 19 20
Average 24 18 24 21
25. 25
CLASS CLASS TITLE PAY GRADE
DIR2 Level 2 Directors 17
Class Description
Directors that aren't as responsible for higher level directors.
Education
Minimum
Experience Certification
BA 2
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
28 Director of
Resident Services
17
29 Director of Social
Services
19 19
Average 19 19
26. 26
CLASS CLASS TITLE PAY GRADE
REC Receptionist 3
Class Description
Different jobs with similar receptionist type responsibilities
Education
Minimum
Experience Certification
HS
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
63 Resident Counselor
Secretary
6 4 6 5
3
18 Development
Assistant
31 Environmental
Services
Coordinator
50 Marketing
Associate
3 2 3 3
51 Marketing
Coordinator
3 2 3 3
Average 4 3 4 4
27. 27
CLASS CLASS TITLE PAY GRADE
AIDE Aides 1
Class Description
Aides in the different departments
Education
Minimum
Experience Certification
HS 0 CNA'
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
14 Certified Nurse’s
Aide
2 4 3
1
55 Medication Aide 2 2
66 Restorative Aide 2 4 3
Average 2 4 3
28. 28
CLASS CLASS TITLE
PAY
GRADE
LVN Licensed Vocational Nurses 9
Class
Description
Job classifications that require LVN certifications.
Education
Minimum
Experience Certification
BA 1 LVN
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
49 Licensed
Vocational Nurse
9 9 10 9
9
70 Training
Coordinator/LVN
9 Asst Living
Manager/LVN
Average 9 9 10 9
29. 29
CLASS CLASS TITLE PAY GRADE
RN RegisteredNurses 15
Class Description
Job positions that require RN certifications.
Education
Minimum
Experience Certification
RN 0
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
47 Lead Care Giver I 15
60 Registered Nurse 15 15 15 15
65 Residential
Assessment
Coordinator
Average 15 15 15 15
30. 30
CLASS CLASS TITLE PAY GRADE
SPV1 Level 1 Supervisors 10
Class Description
Supervisor positions within the organizations
Education
Minimum
Experience Certification
HS 2
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
79 Maintenance
Supervisor
11 13 12
10
69 Support Supervisor 11 13 12
Average 11 13 12
31. 31
CLASS CLASS TITLE PAY GRADE
SPV2 Level 2 Supervisor 7
Class Description
Level 2 Supervisors
Education
Minimum
Experience Certification
HS 2
Job # Job Title
San
Antonio
San
Antonio
NFP TSHHRAE MISC MISC
Job
Relation
Pay
Grade
Average
Market
Pay
Grade
Related
Class
Class
Relation
Relation
PG
Pay
Grade
16 Custodial
Supervisor
8 6 7 7
7
64 Resident
Housekeeping
Supervisor
8 6 7 7
Average 8 6 7 7
37. 37
Job
# Job Title
New
Pay
Grade
Pay
Grade
Min
Pay
Grade
Mid
Pay
Grade
Max
32 Environmental Services Manager 10 16.99 21.24 25.49
79 Maintenance Supervisor 10 16.99 21.24 25.49
69 Support Supervisor 10 16.99 21.24 25.49
6 Administrative Assistant 11 18.35 22.94 27.53
77 Electrician 11 18.35 22.94 27.53
35 Executive Secretary 11 18.35 22.94 27.53
38 Hiring/Recruiting Specialist 11 18.35 22.94 27.53
33 Executive Assistant to President 12 19.82 24.77 29.73
75 Occupational Therapist Assistant - Certified 12 19.82 24.77 29.73
3 Accounting Manager 13 21.40 26.76 32.11
47 Lead Care Giver I 15 24.97 31.21 37.45
60 Registered Nurse 15 24.97 31.21 37.45
65 Residential Assessment Coordinator 15 24.97 31.21 37.45
8 Assistant Director of Nursing 16 26.96 33.70 40.45
10 Asst. Director of Operations 16 26.96 33.70 40.45
36 Finance Manager 16 26.96 33.70 40.45
44 Information System Manager 16 26.96 33.70 40.45
48 Lead Care Giver II 16 26.96 33.70 40.45
67 Safety Manager 16 26.96 33.70 40.45
25 Director of Maintenance 17 29.12 36.40 43.68
28 Director of Resident Services 17 29.12 36.40 43.68
29 Director of Social Services 17 29.12 36.40 43.68
74 Occupational Therapist 17 29.12 36.40 43.68
22 Director of Development 18 31.45 39.31 47.18
23 Director of Finance 18 31.45 39.31 47.18
24 Director of Human Resources 18 31.45 39.31 47.18
26 Director of Nursing 18 31.45 39.31 47.18
27 Director of Operations 18 31.45 39.31 47.18
52 Marketing Director 18 31.45 39.31 47.18
56 Nurse Manager I 19 33.97 42.46 50.95
57 Nurse Manager II 19 33.97 42.46 50.95
34 Executive Director 23 46.21 57.76 69.32
38. 38
Exhibit 5 – Rationale for Pay Grade Assignments
Job
# Job Title Notes and Rationale
1 Accounting Clerk I pay based on classification
2 Accounting Clerk II Rule 2 - if NO SANFP, use SA-1
3 Accounting Manager pay based on classification
5 Accounts Receivable/Payable
Clerk
pay based on classification
6 Administrative Assistant Rule 1 - If SANFP, use SANFP
8 Assistant Director of Nursing pay based on classification
9 Asst Living Manager/LVN Rule 1 - If SANFP, use SANFP
10 Asst. Director of Operations Rule 2 - if NO SANFP, use SA-1
11 Benefit Coordinator pay based on classification
14 Certified Nurse Aide pay based on classification
15 Cook pay based on classification
16 Custodial Supervisor pay based on classification
17 Desk Clerk Rule 1 - If SANFP, use SANFP
18 Development Assistant Pay based on linking to another job, because of internal rule with experience we subtracted -2 on
paygrade
19 Dietary Aide Rule 1 - If SANFP, use SANFP
22 Director of Development Rule 1 - If SANFP, use SANFP
23 Director of Finance pay based on classification
24 Director of Human Resources pay based on classification
25 Director of Maintenance Rule 2 - if NO SANFP, use SA-1
26 Director of Nursing pay based on classification
27 Director of Operations pay based on classification
28 Director of Resident Services Rule 2 - if NO SANFP, use SA-1
29 Director of Social Services pay based on classification
39. 39
Job
# Job Title Notes and Rationale
30 Driver Rule 1 - If SANFP, use SANFP
31 Environmental Services
Coordinator
Rule 2 - if NO SANFP, use SA-1
32 Environmental Services Manager Pay based on linking to another job because they are doing similar jobs
33 Executive Assistant to President pay based on classification
34 Executive Director pay based on classification
35 Executive Secretary pay based on classification
36 Finance Manager Pay based on relationship since everything was the same with Nurse Mgr I with exception of
certification and experience, which we felt balanced out
37 General Maintenance Technician pay based on classification
38 Hiring/Recruiting Specialist did based on relationship since everything was the same with Lead Care Giver I, but preferred an
extra level of certification
41 Housekeeper Rule 1 - If SANFP, use SANFP
42 Human Resources Clerk pay based on classification
44 Information System Manager Rule 2 - if NO SANFP, use SA-1
45 Janitor Pay based on linking to another job, because of internal rule with experience we added +2 on
paygrade
46 Kitchen Assistant Rule 1 - If SANFP, use SANFP
47 Lead Care Giver I pay based on classification
48 Lead Care Giver II Rule 2 - if NO SANFP, use SA-1
49 Licensed Vocational Nurse Rule 1 - If SANFP, use SANFP
50 Marketing Associate pay based on classification
51 Marketing Coordinator Rule 1 - If SANFP, use SANFP
52 Marketing Director Rule 2 - if NO SANFP, use SA-1
54 Medical Records Clerk pay based on classification
55 Medication Aide pay based on classification
56 Nurse Manager I Gave at SA data range because of specialty of job
40. 40
Job
# Job Title Notes and Rationale
57 Nurse Manager II pay based on classification
58 Payroll Manager pay based on classification
59 Preventative Maintenance Tech pay based on classification
60 Registered Nurse pay based on classification
61 Resident Associate Rule 1 - If SANFP, use SANFP
62 Resident Counselor Rule 3 - if NO SA or SANFP, use TSHHRAE-2
63 Resident Counselor Secretary pay based on classification
64 Resident Housekeeping
Supervisor
Rule 1 - If SANFP, use SANFP
65 Residential Assessment
Coordinator
pay based on classification
66 Restorative Aide Pay based on linking to another job, because of internal rule with experience we subtracted -2 on
paygrade
67 Safety Manager Rule 2 - if NO SANFP, use SA-1
68 Security Guard Rule 1 - If SANFP, use SANFP
69 Support Supervisor Rule 1 - If SANFP, use SANFP
70 Training Coordinator/LVN As technician, should be paid a little better than SANFP, used rule 2 as guide for pay
74 Occupational Therapist Rule 1 - If SANFP, use SANFP
75 Occupational Therapist Assistant -
Certified
pay based on classification
76 Accountant Rule 2 - if NO SANFP, use SA-1
77 Electrician Rule 1 - If SANFP, use SANFP
78 Plumber Rule 2 - if NO SANFP, use SA-1
79 Maintenance Supervisor pay based on classification
80 Carpenter pay based on classification
81 Accountant II Rule 1 - If SANFP, use SANFP
43. 43
Name
Job
Number Job Title
Annual
Pay
Pay
Grade
Grade
Min
Grade
Mid
Grade
Max
Current
Compa
Ratio
New
Pay
to
Min
Annual
Cost to
Min Pay
New
Compa
Ratio
Munoz,
Evangelina
15 Cook 9.13 2 9.18 11.48 13.77 0.80 9.18 94.40 0.80
Munoz, Flor 15 Cook 11.54 2 9.18 11.48 13.77 1.01 11.54 0.00 1.01
Knoble,
Barne
18 Development
Assistant
13.37 3 9.91 12.39 14.87 1.08 13.37 0.00 1.08
Clooney,
Robert
30 Driver 10.69 3 9.91 12.39 14.87 0.86 10.69 0.00 0.86
Jobs,
Stephen
31 Environmental
Services Coordinator
8.85 3 9.91 12.39 14.87 0.71 9.91 2,220.45 0.80
Olivas, Elva 50 Marketing Associate 19.23 3 9.91 12.39 14.87 1.55 19.23 0.00 1.55
Hancock,
Johnny
51 Marketing
Coordinator
19.71 3 9.91 12.39 14.87 1.59 19.71 0.00 1.59
Morales,
Carmen
63 Resident Counselor
Secretary
10.99 3 9.91 12.39 14.87 0.89 10.99 0.00 0.89
Anthony,
Paul
68 Security Guard 9.83 3 9.91 12.39 14.87 0.79 9.91 84.72 0.80
Montoya,
Gerardo
68 Security Guard 9.79 3 9.91 12.39 14.87 0.79 9.91 126.11 0.80
Perez,
Richard
68 Security Guard 9.80 3 9.91 12.39 14.87 0.79 9.91 242.03 0.80
Mendoza,
Guadalupe
11 Benefit Coordinator 15.38 4 10.71 13.38 16.06 1.15 15.38 0.00 1.15
Moore,
Angela
17 Desk Clerk 10.10 4 10.71 13.38 16.06 0.75 10.71 1,265.54 0.80
Rodriguez,
Consuelo
17 Desk Clerk 7.60 4 10.71 13.38 16.06 0.57 10.71 6,463.71 0.80
44. 44
Name
Job
Number Job Title
Annual
Pay
Pay
Grade
Grade
Min
Grade
Mid
Grade
Max
Current
Compa
Ratio
New
Pay
to
Min
Annual
Cost to
Min Pay
New
Compa
Ratio
Ruiz,
Christina
17 Desk Clerk 8.80 4 10.71 13.38 16.06 0.66 10.71 3,959.54 0.80
Fuentes,
Jesus
59 Preventative
Maintenance Tech
12.02 5 11.56 14.46 17.35 0.83 12.02 0.00 0.83
Ramai,
Maria
1 Accounting Clerk I 14.31 6 12.49 15.61 18.73 0.92 14.31 0.00 0.92
Panuto, Jan 5 Accounts
Receivable/Payable
Clerk
13.64 6 12.49 15.61 18.73 0.87 13.64 0.00 0.87
Fierro,
Michael
80 Carpenter 16.03 6 12.49 15.61 18.73 1.03 16.03 0.00 1.03
Anzures,
Bob
37 General
Maintenance
Technician
13.84 6 12.49 15.61 18.73 0.89 13.84 0.00 0.89
Bustillos,
Robert
37 General
Maintenance
Technician
13.45 6 12.49 15.61 18.73 0.86 13.45 0.00 0.86
Tripp,
Gilbert
37 General
Maintenance
Technician
14.24 6 12.49 15.61 18.73 0.91 14.24 0.00 0.91
Tucker,
Howie
16 Custodial Supervisor 11.87 7 13.49 16.86 20.23 0.70 13.49 3,358.59 0.80
Morales,
Gloria
42 Human Resources
Clerk
10.68 7 13.49 16.86 20.23 0.63 13.49 5,832.29 0.80
Christmen,
Edward
54 Medical Records
Clerk
12.51 7 13.49 16.86 20.23 0.74 13.49 2,038.07 0.80
45. 45
Name
Job
Number Job Title
Annual
Pay
Pay
Grade
Grade
Min
Grade
Mid
Grade
Max
Current
Compa
Ratio
New
Pay
to
Min
Annual
Cost to
Min Pay
New
Compa
Ratio
Smith, Bob 64 Resident
Housekeeping
Supervisor
11.93 7 13.49 16.86 20.23 0.71 13.49 3,238.12 0.80
Knogen,
Josephina
2 Accounting Clerk II 19.23 8 14.57 18.21 21.85 1.06 19.23 0.00 1.06
Whary, Darla 58 Payroll Manager 16.83 8 14.57 18.21 21.85 0.92 16.83 0.00 0.92
Layug,
James
62 Resident Counselor 24.31 8 14.57 18.21 21.85 1.34 24.31 0.00 1.34
Mesa, Jerry 62 Resident Counselor 23.08 8 14.57 18.21 21.85 1.27 23.08 0.00 1.27
Hernandez,
Alicia
81 Accountant II 23.49 9 15.73 19.67 23.60 1.19 23.49 0.00 1.19
Herrera,
Richard
9 Asst Living
Manager/LVN
20.84 9 15.73 19.67 23.60 1.06 20.84 0.00 1.06
Brown, Rose 49 Licensed Vocational
Nurse
23.56 9 15.73 19.67 23.60 1.20 23.56 0.00 1.20
Clothesoff,
Oliver
49 Licensed Vocational
Nurse
23.56 9 15.73 19.67 23.60 1.20 23.56 0.00 1.20
Del Toro,
Maria
49 Licensed Vocational
Nurse
23.08 9 15.73 19.67 23.60 1.17 23.08 0.00 1.17
Nunn, Peggy 49 Licensed Vocational
Nurse
18.55 9 15.73 19.67 23.60 0.94 18.55 0.00 0.94
Prasad, Rosie 49 Licensed Vocational
Nurse
18.84 9 15.73 19.67 23.60 0.96 18.84 0.00 0.96
Rubio,
Paulina
49 Licensed Vocational
Nurse
19.69 9 15.73 19.67 23.60 1.00 19.69 0.00 1.00
Estrada,
Paulo
78 Plumber 17.82 9 15.73 19.67 23.60 0.91 17.82 0.00 0.91
46. 46
Name
Job
Number Job Title
Annual
Pay
Pay
Grade
Grade
Min
Grade
Mid
Grade
Max
Current
Compa
Ratio
New
Pay
to
Min
Annual
Cost to
Min Pay
New
Compa
Ratio
Saenz, Jane 70 Training
Coordinator/LVN
19.29 9 15.73 19.67 23.60 0.98 19.29 0.00 0.98
Caine, Jane 76 Accountant 21.08 10 16.99 21.24 25.49 0.99 21.08 0.00 0.99
Hardcastle,
Paul
32 Environmental
Services Manager
17.97 10 16.99 21.24 25.49 0.85 17.97 0.00 0.85
Cyrus, M. 79 Maintenance
Supervisor
18.20 10 16.99 21.24 25.49 0.86 18.20 0.00 0.86
Rivera,
Cristina
69 Support Supervisor 11.25 10 16.99 21.24 25.49 0.53 16.99 11,937.3
6
0.80
Eckbom,
Randall
6 Administrative
Assistant
13.94 11 18.35 22.94 27.53 0.61 18.35 9,169.79 0.80
Senser,
Sylvia
6 Administrative
Assistant
18.75 11 18.35 22.94 27.53 0.82 18.75 0.00 0.82
Weiser, Bud 77 Electrician 17.15 11 18.35 22.94 27.53 0.75 18.35 2,502.16 0.80
Moreno,
Francisca
35 Executive Secretary 18.77 11 18.35 22.94 27.53 0.82 18.77 0.00 0.82
Gonzalez,
Katherine
38 Hiring/Recruiting
Specialist
16.44 11 18.35 22.94 27.53 0.72 18.35 3,966.74 0.80
Ochsner,
Ryan
33 Executive Assistant
to President
23.56 12 19.82 24.77 29.73 0.95 23.56 0.00 0.95
Gonzalez,
Linda
75 Occupational
Therapist Assistant -
Certified
22.97 12 19.82 24.77 29.73 0.93 22.97 0.00 0.93
Nelson,
Mary
75 Occupational
Therapist Assistant -
Certified
21.98 12 19.82 24.77 29.73 0.89 21.98 0.00 0.89
47. 47
Name
Job
Number Job Title
Annual
Pay
Pay
Grade
Grade
Min
Grade
Mid
Grade
Max
Current
Compa
Ratio
New
Pay
to
Min
Annual
Cost to
Min Pay
New
Compa
Ratio
Uhrich,
Delbert
3 Accounting Manager 33.96 13 21.40 26.76 32.11 1.27 33.96 0.00 1.27
Goodson,
Yolanda
47 Lead Care Giver I 18.59 15 24.97 31.21 37.45 0.60 24.97 13,269.0
4
0.80
Arias, Maria 60 Registered Nurse 24.04 15 24.97 31.21 37.45 0.77 24.97 1,929.58 0.80
Gaietto,
Marilyn
60 Registered Nurse 24.04 15 24.97 31.21 37.45 0.77 24.97 1,929.58 0.80
James,
Sabrina
60 Registered Nurse 22.12 15 24.97 31.21 37.45 0.71 24.97 2,964.79 0.80
Moore,
Maria
60 Registered Nurse 23.08 15 24.97 31.21 37.45 0.74 24.97 3,929.58 0.80
Moore,
Nicholas
60 Registered Nurse 31.78 15 24.97 31.21 37.45 1.02 31.78 0.00 1.02
Perez,
Jennifer
60 Registered Nurse 22.12 15 24.97 31.21 37.45 0.71 24.97 5,929.58 0.80
Smith, Alan 60 Registered Nurse 28.17 15 24.97 31.21 37.45 0.90 28.17 0.00 0.90
Sylvester,
Sue
60 Registered Nurse 25.00 15 24.97 31.21 37.45 0.80 25.00 0.00 0.80
Vega, Donna 60 Registered Nurse 30.12 15 24.97 31.21 37.45 0.97 30.12 0.00 0.97
Pedroza,
Dolores
65 Residential
Assessment
Coordinator
28.68 15 24.97 31.21 37.45 0.92 28.68 0.00 0.92
Daniels,
Joseph
36 Finance Manager 29.78 16 26.96 33.70 40.45 0.88 29.78 0.00 0.88
Gates,
William
44 Information System
Manager
34.80 16 26.96 33.70 40.45 1.03 34.80 0.00 1.03
48. 48
Name
Job
Number Job Title
Annual
Pay
Pay
Grade
Grade
Min
Grade
Mid
Grade
Max
Current
Compa
Ratio
New
Pay
to
Min
Annual
Cost to
Min Pay
New
Compa
Ratio
Almaguer,
Olivia
48 Lead Care Giver II 20.62 16 26.96 33.70 40.45 0.61 26.96 13,200.1
7
0.80
Leitner, Erik 67 Safety Manager 30.90 16 26.96 33.70 40.45 0.92 30.90 0.00 0.92
King,
Stephen
25 Director of
Maintenance
34.62 17 29.12 36.40 43.68 0.95 34.62 0.00 0.95
Smith,
Joseph
28 Director of Resident
Services
45.87 17 29.12 36.40 43.68 1.26 45.87 0.00 1.26
Triolo,
Michael
29 Director of Social
Services
48.20 17 29.12 36.40 43.68 1.32 48.20 0.00 1.32
Tisdale,
Ashley
74 Occupational
Therapist
45.67 17 29.12 36.40 43.68 1.25 45.67 0.00 1.25
Miller, Bill 22 Director of
Development
51.71 18 31.45 39.31 47.18 1.32 51.71 0.00 1.32
Jacobs,
Tarleton
23 Director of Finance 54.41 18 31.45 39.31 47.18 1.38 54.41 0.00 1.38
VACANT 24 Director of Human
Resources
0.00 18 31.45 39.31 47.18 0.00 31.45 65,416.3
2
0.80
Smith,
William
26 Director of Nursing 48.20 18 31.45 39.31 47.18 1.23 48.20 0.00 1.23
Hernandez,
Aaron
27 Director of
Operations
54.11 18 31.45 39.31 47.18 1.38 54.11 0.00 1.38
Efron,
Zachariah
52 Marketing Director 46.39 18 31.45 39.31 47.18 1.18 46.39 0.00 1.18
Bush, Daniel 8 Assistant Director of
Nursing
38.74 19 33.97 42.46 50.95 0.91 38.74 0.00 0.91
Shee, Paul 10 Asst. Director of
Operations
29.97 19 33.97 42.46 50.95 0.71 33.97 8,308.62 0.80
50. 50
Exhibit 7 – FLSA Audit: Recommended Classifications
Job
# Job Title
Current
FLSA
Status Basedon exempt rules should be
76 Accounting Clerk I Non-exempt Non-exempt
81 Accountant Exempt non-exempt - does not meet basic reqs
1 Accountant II Exempt non-exempt - does not meet basic reqs
2 Accounting Clerk II Non-exempt Non-exempt
3 Accounting Manager Exempt non-exempt - does not meet basic reqs
5 Accounts Receivable/Payable Clerk Non-exempt Non-exempt
6 Administrative Assistant Exempt non-exempt - does not meet basic reqs
8 Assistant Director of Nursing Exempt exempt - learned profession
exemption
9 Asst Living Manager/LVN Exempt non-exempt - does not meet basic reqs
10 Asst. Director of Operations Exempt exempt - executive exemption
11 Benefit Coordinator Exempt non-exempt - does not meet basic reqs
80 Carpenter Non-exempt Non-exempt
14 Certified Nurse Aide Non-exempt Non-exempt
15 Cook Non-exempt Non-exempt
16 Custodial Supervisor Exempt non-exempt - does not meet basic reqs
17 Desk Clerk Non-exempt Non-exempt
18 Development Assistant Non-exempt Non-exempt
19 Dietary Aide Non-exempt Non-exempt
22 Director of Development Exempt exempt - executive exemption
23 Director of Finance Exempt exempt - executive exemption
24 Director of Human Resources Exempt exempt - executive exemption
25 Director of Maintenance Exempt exempt - executive exemption
26 Director of Nursing Exempt exempt - executive exemption
27 Director of Operations Exempt exempt - executive exemption
28 Director of Resident Services Exempt exempt - executive exemption
29 Director of Social Services Exempt exempt - executive exemption
30 Driver Non-exempt Non-exempt
77 Electrician Non-exempt Non-exempt
31 Environmental Services Coordinator Non-exempt Non-exempt
32 Environmental Services Manager Exempt non-exempt - does not meet basic reqs
33 Executive Assistant to President Exempt non-exempt - does not meet basic reqs
34 Executive Director Exempt exempt - executive exemption
35 Executive Secretary Exempt non-exempt - does not meet basic reqs
36 Finance Manager Exempt exempt - executive exemption
51. 51
Job
# Job Title
Current
FLSA
Status Basedon exempt rules should be
37 General Maintenance Technician Non-exempt Non-exempt
38 Hiring/Recruiting Specialist Exempt non-exempt - does not meet basic reqs
41 Housekeeper Non-exempt Non-exempt
42 Human Resources Clerk Non-exempt Non-exempt
44 Information System Manager Exempt exempt - computer employee
exemption
45 Janitor Non-exempt Non-exempt
46 Kitchen Assistant Non-exempt Non-exempt
47 Lead Care Giver I Non-exempt exempt - learned profession
exemption
48 Lead Care Giver II Non-exempt exempt - learned profession
exemption
49 Licensed Vocational Nurse Non-exempt Non-exempt
79 Maintenance Supervisor Exempt non-exempt - does not meet basic reqs
50 Marketing Associate Exempt non-exempt - does not meet basic reqs
51 Marketing Coordinator Exempt non-exempt - does not meet basic reqs
52 Marketing Director Exempt exempt - executive exemption
54 Medical Records Clerk Non-exempt Non-exempt
55 Medication Aide Non-exempt Non-exempt
56 Nurse Manager I Exempt exempt - learned profession
exemption
57 Nurse Manager II Exempt exempt - learned profession
exemption
74 Occupational Therapist Exempt exempt - learned profession
exemption
75 Occupational Therapist Assistant -
Certified
Non-exempt
Non-exempt
58 Payroll Manager Exempt non-exempt - does not meet basic reqs
78 Plumber Non-exempt Non-exempt
59 Preventative Maintenance Tech Non-exempt Non-exempt
60 Registered Nurse Non-exempt exempt - learned profession
exemption
61 Resident Associate Non-exempt Non-exempt
62 Resident Counselor Exempt non-exempt - does not meet basic reqs
63 Resident Counselor Secretary Non-exempt Non-exempt
64 Resident Housekeeping Supervisor Exempt non-exempt - does not meet basic reqs
65 Residential Assessment Coordinator Exempt exempt - learned profession
exemption
52. 52
Job
# Job Title
Current
FLSA
Status Basedon exempt rules should be
66 Restorative Aide Non-exempt Non-exempt
67 Safety Manager Exempt exempt - administrative exemption
68 Security Guard Non-exempt Non-exempt
69 Support Supervisor Exempt non-exempt - does not meet basic reqs
70 Training Coordinator/LVN Exempt non-exempt - does not meet basic reqs
53. 53
Exhibit 8 – FLSA Audit: Impacted Employees
Name
Job
Number Job Title
Current
FLSA Status Recommended Impacted Employees
Almaguer, Olivia 48 Lead Care Giver II Non-exempt exempt for learned profession
Arias, Maria 60 Registered Nurse Non-exempt exempt for learned profession
Caine, Jane 76 Accountant Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Cyrus, M. 79 Maintenance Supervisor Non-exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Eckbom, Randall 6 Administrative Assistant Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Gaietto, Marilyn 60 Registered Nurse Non-exempt exempt for learned profession
Gonzalez,
Katherine
38 Hiring/Recruiting Specialist Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Goodson, Yolanda 47 Lead Care Giver I Non-exempt exempt for learned profession
Hancock, Johnny 51 Marketing Coordinator Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Hardcastle, Paul 32 Environmental Services
Manager
Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Hernandez, Alicia 81 Accountant II Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Herrera, Richard 9 Asst Living Manager/LVN Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Mendoza,
Guadalupe
11 Benefit Coordinator Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Moore, Maria 60 Registered Nurse Non-exempt exempt for learned profession
Moore, Nicholas 60 Registered Nurse Non-exempt exempt for learned profession
Moreno, Francisca 35 Executive Secretary Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
54. 54
Name
Job
Number Job Title
Current
FLSA Status Recommended Impacted Employees
Ochsner, Ryan 33 Executive Assistant to
President
Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Olivas, Elva 50 Marketing Associate Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Perez, Jennifer 60 Registered Nurse Non-exempt exempt for learned profession
Rivera, Cristina 69 Support Supervisor Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Saenz, Jane 70 Training Coordinator/LVN Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Senser, Sylvia 6 Administrative Assistant Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Smith, Alan 60 Registered Nurse Non-exempt exempt for learned profession
Smith, Bob 64 Resident Housekeeping
Supervisor
Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Sylvester, Sue 60 Registered Nurse Non-exempt exempt for learned profession
Tisdale, Ashley 74 Occupational Therapist Non-exempt needs to stay non-exempt because employee is only part time
Tucker, Howie 16 Custodial Supervisor Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Uhrich, Delbert 3 Accounting Manager Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
Whary, Darla 58 Payroll Manager Exempt needs to be a non-exempt employee - does not meet basic
exemption requirements
55. 55
Exhibit 9 – FLSA Audit:
Job Title: Assistant Director of Nursing Services Department: Healthcare
EXECUTIVE EXEMPTION
The term “employee employed in a bona fide executive…..capacity” in section 13 (a) (1) if
FLSA is defined by the regulations as an employee whose primary duty is managing the
enterprise in which he is employed or of a customarily recognized department thereof; who
customarily and regularly directs the work of two or more other employees; who has the
authority to hire or fire other employees or whose suggestions and recommendations as to the
hiring or firing and as to the advancement and promotion or any other change of status of other
employees will be given particular weight; and who customarily and regularly exercises
discretionary powers.
Executive Exemption Checklist
X Primary duty is management of the enterprise or of a customarily recognized department or
subdivision. Organizational unit:
X Interview, select, and train employees.
Set and adjust rates of pay and hours of work for employees.
X Direct the work of employees.
X Maintain record on employee productivity and efficiency for use in supervisor or control.
Appraise employees’ productivity and efficiency to recommend promotions or other changes
in status.
Handle employee complaints and grievances and discipline employees when necessary.
X Plan other employees’ work.
Determine the techniques other employees use in their work.
Apportion work among different employees.
Determine the types of materials, supplies, or tools to be used by other employees.
Control the flow and distribution of materials and supplies.
Provide for the safety of employees and the property of the employer.
Control the budget.
Monitor or implement legal compliance.
X Customarily and regularly directs the work of at least two or more other employees or their
equivalent.
X Employee has the authority to hire and fire other employees.
Employee makes frequent recommendations on hiring, firing, advancement, promotions, or
other changes of status.
X Employee’s recommendations are given particular weight.
Identify the number of employees supervised and the job classification (s) in which they work.
Job Classification Number of Employees
Nurse Manager (I + II) 2
56. 56
Job Title: Assistant Director of Operations Department: Operations
EXECUTIVE EXEMPTION
The term “employee employed in a bona fide executive…..capacity” in section 13 (a) (1) if
FLSA is defined by the regulations as an employee whose primary duty is managing the
enterprise in which he is employed or of a customarily recognized department thereof; who
customarily and regularly directs the work of two or more other employees; who has the
authority to hire or fire other employees or whose suggestions and recommendations as to the
hiring or firing and as to the advancement and promotion or any other change of status of other
employees will be given particular weight; and who customarily and regularly exercises
discretionary powers.
Executive Exemption Checklist
X Primary duty is management of the enterprise or of a customarily recognized department or
subdivision. Organizational unit:
X Interview, select, and train employees.
Set and adjust rates of pay and hours of work for employees.
X Direct the work of employees.
X Maintain record on employee productivity and efficiency for use in supervisor or control.
Appraise employees’ productivity and efficiency to recommend promotions or other changes
in status.
Handle employee complaints and grievances and discipline employees when necessary.
X Plan other employees’ work.
Determine the techniques other employees use in their work.
Apportion work among different employees.
Determine the types of materials, supplies, or tools to be used by other employees.
Control the flow and distribution of materials and supplies.
Provide for the safety of employees and the property of the employer.
X Control the budget.
Monitor or implement legal compliance.
X Customarily and regularly directs the work of at least two or more other employees or their
equivalent.
X Employee has the authority to hire and fire other employees.
Employee makes frequent recommendations on hiring, firing, advancement, promotions, or
other changes of status.
X Employee’s recommendations are given particular weight.
Identify the number of employees supervised and the job classification (s) in which they work.
Job Classification Number of Employees
Directors 4
57. 57
Job Title: Director of Development Department: Development Department
EXECUTIVE EXEMPTION
The term “employee employed in a bona fide executive…..capacity” in section 13 (a) (1) if
FLSA is defined by the regulations as an employee whose primary duty is managing the
enterprise in which he is employed or of a customarily recognized department thereof; who
customarily and regularly directs the work of two or more other employees; who has the
authority to hire or fire other employees or whose suggestions and recommendations as to the
hiring or firing and as to the advancement and promotion or any other change of status of other
employees will be given particular weight; and who customarily and regularly exercises
discretionary powers.
Executive Exemption Checklist
X Primary duty is management of the enterprise or of a customarily recognized department or
subdivision. Organizational unit:
Interview, select, and train employees.
Set and adjust rates of pay and hours of work for employees.
X Direct the work of employees.
X Maintain record on employee productivity and efficiency for use in supervisor or control.
Appraise employees’ productivity and efficiency to recommend promotions or other changes
in status.
X Handle employee complaints and grievances and discipline employees when necessary.
Plan other employees’ work.
X Determine the techniques other employees use in their work.
Apportion work among different employees.
Determine the types of materials, supplies, or tools to be used by other employees.
Control the flow and distribution of materials and supplies.
Provide for the safety of employees and the property of the employer.
X Control the budget.
X Monitor or implement legal compliance.
X Customarily and regularly directs the work of at least two or more other employees or their
equivalent.
Employee has the authority to hire and fire other employees.
Employee makes frequent recommendations on hiring, firing, advancement, promotions, or
other changes of status.
X Employee’s recommendations are given particular weight.
Identify the number of employees supervised and the job classification (s) in which they work.
Job Classification Number of Employees
Development Assistant 1
Administrative Assistant 1
58. 58
Job Title: Director of Finance Department: Finance Department
EXECUTIVE EXEMPTION
The term “employee employed in a bona fide executive…..capacity” in section 13 (a) (1) if
FLSA is defined by the regulations as an employee whose primary duty is managing the
enterprise in which he is employed or of a customarily recognized department thereof; who
customarily and regularly directs the work of two or more other employees; who has the
authority to hire or fire other employees or whose suggestions and recommendations as to the
hiring or firing and as to the advancement and promotion or any other change of status of other
employees will be given particular weight; and who customarily and regularly exercises
discretionary powers.
Executive Exemption Checklist
X Primary duty is management of the enterprise or of a customarily recognized department or
subdivision. Organizational unit:
Interview, select, and train employees.
Set and adjust rates of pay and hours of work for employees.
X Direct the work of employees.
X Maintain record on employee productivity and efficiency for use in supervisor or control.
Appraise employees’ productivity and efficiency to recommend promotions or other changes
in status.
Handle employee complaints and grievances and discipline employees when necessary.
Plan other employees’ work.
Determine the techniques other employees use in their work.
Apportion work among different employees.
Determine the types of materials, supplies, or tools to be used by other employees.
Control the flow and distribution of materials and supplies.
Provide for the safety of employees and the property of the employer.
X Control the budget.
X Monitor or implement legal compliance.
X Customarily and regularly directs the work of at least two or more other employees or their
equivalent.
Employee has the authority to hire and fire other employees.
Employee makes frequent recommendations on hiring, firing, advancement, promotions, or
other changes of status.
X Employee’s recommendations are given particular weight.
Identify the number of employees supervised and the job classification (s) in which they work.
Job Classification Number of Employees
Managers 3
Administrative Assistant 1
59. 59
Job Title: Director of Human Resources Department: Human Resources Department
EXECUTIVE EXEMPTION
The term “employee employed in a bona fide executive…..capacity” in section 13 (a) (1) if
FLSA is defined by the regulations as an employee whose primary duty is managing the
enterprise in which he is employed or of a customarily recognized department thereof; who
customarily and regularly directs the work of two or more other employees; who has the
authority to hire or fire other employees or whose suggestions and recommendations as to the
hiring or firing and as to the advancement and promotion or any other change of status of other
employees will be given particular weight; and who customarily and regularly exercises
discretionary powers.
Executive Exemption Checklist
X Primary duty is management of the enterprise or of a customarily recognized department or
subdivision. Organizational unit:
X Interview, select, and train employees.
X Set and adjust rates of pay and hours of work for employees.
Direct the work of employees.
X Maintain record on employee productivity and efficiency for use in supervisor or control.
X Appraise employees’ productivity and efficiency to recommend promotions or other changes
in status.
X Handle employee complaints and grievances and discipline employees when necessary.
Plan other employees’ work.
Determine the techniques other employees use in their work.
Apportion work among different employees.
Determine the types of materials, supplies, or tools to be used by other employees.
Control the flow and distribution of materials and supplies.
Provide for the safety of employees and the property of the employer.
Control the budget.
X Monitor or implement legal compliance.
X Customarily and regularly directs the work of at least two or more other employees or their
equivalent.
X Employee has the authority to hire and fire other employees.
X Employee makes frequent recommendations on hiring, firing, advancement, promotions, or
other changes of status.
X Employee’s recommendations are given particular weight.
Identify the number of employees supervised and the job classification (s) in which they work.
Job Classification Number of Employees
Benefits Coordinator 1
Human Resources Clerk 1
Hiring/Recruiting Specialist 1
60. 60
Job Title: Director of Maintenance Department: Operations
EXECUTIVE EXEMPTION
The term “employee employed in a bona fide executive…..capacity” in section 13 (a) (1) if
FLSA is defined by the regulations as an employee whose primary duty is managing the
enterprise in which he is employed or of a customarily recognized department thereof; who
customarily and regularly directs the work of two or more other employees; who has the
authority to hire or fire other employees or whose suggestions and recommendations as to the
hiring or firing and as to the advancement and promotion or any other change of status of other
employees will be given particular weight; and who customarily and regularly exercises
discretionary powers.
Executive Exemption Checklist
X Primary duty is management of the enterprise or of a customarily recognized department or
subdivision. Organizational unit:
Interview, select, and train employees.
Set and adjust rates of pay and hours of work for employees.
X Direct the work of employees.
Maintain record on employee productivity and efficiency for use in supervisor or control.
Appraise employees’ productivity and efficiency to recommend promotions or other changes
in status.
Handle employee complaints and grievances and discipline employees when necessary.
X Plan other employees’ work.
X Determine the techniques other employees use in their work.
X Apportion work among different employees.
X Determine the types of materials, supplies, or tools to be used by other employees.
X Control the flow and distribution of materials and supplies.
X Provide for the safety of employees and the property of the employer.
X Control the budget.
X Monitor or implement legal compliance.
X Customarily and regularly directs the work of at least two or more other employees or their
equivalent.
Employee has the authority to hire and fire other employees.
Employee makes frequent recommendations on hiring, firing, advancement, promotions, or
other changes of status.
X Employee’s recommendations are given particular weight.
Identify the number of employees supervised and the job classification (s) in which they work.
Job Classification Number of Employees
Supervisors 2
Plumber 1
Electrician 1
Carpenter 1
61. 61
Job Title: Director of Nursing Department: Healthcare Department
EXECUTIVE EXEMPTION
The term “employee employed in a bona fide executive…..capacity” in section 13 (a) (1) if
FLSA is defined by the regulations as an employee whose primary duty is managing the
enterprise in which he is employed or of a customarily recognized department thereof; who
customarily and regularly directs the work of two or more other employees; who has the
authority to hire or fire other employees or whose suggestions and recommendations as to the
hiring or firing and as to the advancement and promotion or any other change of status of other
employees will be given particular weight; and who customarily and regularly exercises
discretionary powers.
Executive Exemption Checklist
X Primary duty is management of the enterprise or of a customarily recognized department or
subdivision. Organizational unit:
X Interview, select, and train employees.
Set and adjust rates of pay and hours of work for employees.
X Direct the work of employees.
Maintain record on employee productivity and efficiency for use in supervisor or control.
Appraise employees’ productivity and efficiency to recommend promotions or other changes
in status.
Handle employee complaints and grievances and discipline employees when necessary.
X Plan other employees’ work.
X Determine the techniques other employees use in their work.
X Apportion work among different employees.
Determine the types of materials, supplies, or tools to be used by other employees.
Control the flow and distribution of materials and supplies.
Provide for the safety of employees and the property of the employer.
Control the budget.
X Monitor or implement legal compliance.
X Customarily and regularly directs the work of at least two or more other employees or their
equivalent.
Employee has the authority to hire and fire other employees.
Employee makes frequent recommendations on hiring, firing, advancement, promotions, or
other changes of status.
X Employee’s recommendations are given particular weight.
Identify the number of employees supervised and the job classification (s) in which they work.
Job Classification Number of Employees
Assistant Director of Nursing 1
Nurse Managers 2
Assisted Living Manager/LVN 1
Training Coordinator/LVN 1
Occupational Therapist 1
