HOME & COMMUNITYPolicy No.: HR-4-40

SUPPORT SERVICESReviewed: March 2005

--OF GREY-BRUCE--Effective Date: Jan/99

Page: 1 of 1

SECTION: HUMAN RESOURCES

TOPIC: COMPENSATION

POLICY TITLE: RED-CIRCLED RATES/DEMOTION

POLICY STATEMENT

An employee's salary may be red-circled when he/she is demoted (assigned to a position at a lower salary level) for any of the following reasons:

  • the position is re-evaluated following re-organization or re-assignment of duties;
  • the position no longer exists, and there is no suitable vacancy at the same salary grade;
  • the employee is unable to meet the requirements of the position (cannot perform the essential duties of the position).

WHEN DEMOTIONOCCURS

A demotion will take place only after:

  1. the Agency has attempted to find an alternative position for which the employee is suited, at a similar salary level; and/or
  2. the employee has been counselled, and provided with an opportunity to obtain skills necessary to perform at the required level if feasible.

No employee will be demoted without prior approval of the Executive Director, in consultation with the Board of Directors.

SALARY

If the demotion occurs for reasons other than the employee's inability to perform the duties of the position;

  1. there is no immediate salary reduction;
  2. the employee's salary will be red-circled (frozen) if the current salary is above the job-rate for the new grade; and
  3. no increases ( merit or cost of living) will be granted until such time as the job-rate for the new grade exceeds the salary of the employee.

If the demotion results from the employee's inability to perform the duties of the position:

  1. the employee is paid the lesser of the job-rate for the new position, or the employee's current salary; and
  2. the employee is eligible to receive cost of living increases, retains the same performance review date, and is eligible for merit increases based on level of performance.

CONTACT

For more information, contact the Executive Director.