SECTION 260:25-7-27. Performance-based adjustments

(a)   Performance-based adjustments enable Appointing Authorities to award a salary increase or lump sum payment to employees who have achieved an overall rating of "meets standards" or better on their most recent performance evaluation. This performance evaluation shall be conducted with the standard performance management system provided by 260:25-17-31.

(b)   Appointing Authorities may adopt a performance-based adjustment program for permanent classified full-time and part-time employees pursuant to this Section. The program may allow performance-based adjustments for part-time employees on a prorated basis.

(c)   In order to adopt a performance-based adjustment program, an Appointing Authority must submit a written performance-based adjustment plan to the Administrator for approval. The plan must:

(1)   Indicate the manner in which the Appointing Authority intends to award performance-based adjustments, including a determination that performance-based adjustments will be awarded for overall ratings of "meets standards" and "exceeds standards," or "exceeds standards" only. The plan shall includethe amount or percentage that the Appointing Authority will award to qualifying employees;

(2)   Indicate whether the Appointing Authority will award performance-based adjustments as an increase to the employee's salary, a lump sum payment, or a combination thereof;

(3)   Include certification by the Appointing Authority that the agency can fund the performance-based adjustment program for the current and subsequent fiscal year without the need for additional funding; and

(4)   Include a statement that the Appointing Authority may discontinue performance-based adjustments at any time should it be necessary to prevent a budget shortfall. The Appointing Authority shall notify employees of the discontinuation of the plan and the reason therefore.

(d)   The performance-based adjustment plan must be approved by the Administrator before the Appointing Authority may grant performance-based adjustments to any permanent classified employee.

(e)   An Appointing Authority shall not grant performance-based salary increases which cause an employee's base salary to exceed the maximum of the pay band to which the employee is assigned. [260:25-7-10] Such employees may be given performance-based salary increases up to the maximum of the pay band to which assigned and may also receive the remainder of the increase as a lump sum payment.

(f)   An Appointing Authority may grant only one performance-based adjustment to any employee for any 12-month evaluation cycle. An Appointing Authority shall not award a performance-based adjustment to any employee based upon a performance evaluation which is more than one year old.

[Source: Added at 31 Ok Reg 1346, eff 9-12-14; Amended at 32 Ok Reg 1751, eff 9-11-15]