HomeMy WebLinkAboutCouncil Presentation - Leave Benefits and Leave Payout Change AdoptionLeave Benefits and
Leave Payout
Curry C. Hale
05/16/2023
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Ensure the organization remains competitive in
recruiting and retaining talent that aligns with
five-star service and a culture of excellence.
Purpose
Local Labor Market Comparison
Human Resources conducted a review of the local labor market comparing vacation accrual, maximum accrued hours, and leave payout programs.
The review identified the following:
•The Town lagged behind our labor market in vacation accrual and maximum accrued hours.
•Pima County, City of Tucson, Oro Valley, Sahuarita in this category
•The Town is the sole outlier not offering a payout of sick leave or Managed Time Off (MTO) upon separation and/or retirement.
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Identified Leave Benefits for Change
•Vacation Leave Accrual Rate
•Maximum Accrued Vacation Hours
•Leave Payout at Retirement or Separation After 15 Years
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Proposed Vacation Accrual & Maximum Accrued
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Accumulated Leave Payout
Aligns with Total Compensation competitiveness in the local
labor market with recruiting and retention, also provide the
following benefits:
•Incentivize employees to better manage their MTO and Sick Leave
usage to be eligible for this benefit
•Incentivize employees to remain with the Town to receive this
benefit (average tenure of an employee who resigned in the past
three years is 3.75 years)
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Accumulated Leave Payout
Eligibility continued:
•Official retirement (regardless of years of service)
•250-749 accrued MTO/Sick Leave pays out 25%
•Separation/Retirement 15+ years of service
•500-749 accrued MTO/Sick Leave pays out 25%
•750-999 accrued MTO/Sick Leave pays out 35%
•1000-1500 accrued MTO/Sick Leave pays out 50%
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Accumulated Leave Payout
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Separation/Retirement Type Hours of Accrued Payout
MTO/Sick Leave
Official Retirement 250 –749 25%
(Irrespective of Years of Service)
Separation/Retirement 500 –749 25%
15+ Years of Service 750 –999 35%
1,000 –1500 50%
Questions?
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