E-LINE: Message to Laboratory Employees – Update on DOE Salary Freeze
As I noted in my e-line message to you on Dec.
17, Secretary Chu announced a two-year freeze on salaries for all exempt and non-exempt employees at the national laboratories, as well as other DOE sites and facilities. The following information outlines the details we have received thus far. We are working with DOE to obtain additional details and clarification and will share the information as it becomes available.
Per DOE instructions, the freeze becomes effective Jan. 1, 2011 and applies to all merit increases reimbursed under the contract for the next two years. This includes all:
-- Exempt and non-exempt (salaried, weekly and hourly) employees.
-- Salary range structure movement is also frozen.
The freeze does not apply to:
-- Approved fund for promotions and adjustments.
-- Increases in wages provided for in existing collective bargaining agreements.
-- Variable/non base pay (commonly referred to as a bonus).
New external hires are permitted during the salary freeze period. However, new external hires will not be eligible for salary increases beyond their initial salary while the salary freeze is in effect.
DOE has not indicated any intention to freeze other Lab benefits.
I know that the timing and impact of this decision is particularly difficult. Our Laboratory has submitted a number of questions and concerns to DOE. When we receive additional information, I will make sure that it is communicated to you.
13 comments:
"Approved fund for promotions and adjustments"= the A Team and friends.
"Variable/non base pay (commonly referred to as a bonus)"
Who, working at the Labs has ever received a Bonus besides upper management?
In the aggregate . . . .
"Increases in wages provided for in existing collective bargaining agreements."
Alright! We f'd all you tax payers once again!
Well, this is a pretty good hiring incentive: "Come on board and no raises for two years......."
But we will still do performance appraisals each year just because we may need to have a RIF list available . . .
Never know when we will need to jettison some staff to improve our standing with DOE and to increase our year-end bonus checks!
Great Christmas present Secretary Chu and George . . . timing of this announcement must have been from a Business Management 101 course. Give employees bad news after they have left for the holidays - they will cool off and forget that they just lost 20% of their buying power!
"But we will still do performance appraisals each year just because we may need to have a RIF list available . . . "
I am just a lowly Technical Class person, as such I would hope that the layoff by seniority would still be honored, thus reducing MY incentive to participate in this farce. But there is probably a Performance Based Incentive that requires the annual review.
I think I'll put down "Present" and leave it at that. It worked for Obama.
Maybe we don't really need the "best and brightest" handling America's nuclear weapons research.
Perhaps "good enough and cheap as dirt" with high staffing turnover rates will do when it comes to verifying the state of 30-year old nukes which haven't been tested in almost two decades.
Good luck with that one, Dr. Chu.
The salary freeze will not affect new hires significantly. The way to still offer a competitive compensation package is to provide a higher starting salary given a freeze for two years. Money in hand upfront (rather than earned in merit raises over two years) is better for the new hire.
The only way to get a raise now is to get promoted. The only way to get promoted is to change jobs. Get set for a flood of applicants for every advertised position, and goodby to a stable workforce.
"The salary freeze will not affect new hires significantly..."
Huh? Who the heck will knowingly hire into a frozen salary position that will not be allowed to seek market, but rather will be pegged to 2010 wage levels, even after the two year period is over?
Quasimoto?
The only people who will be brought in will be tricked into accepting. That should be good for a lot of laughs.
Not such bad news. Approximately 4% more of each lab should retire over each of the next two years if they act rationally.
Not the TCP-2 folks, but every TCP-1 person that hits 60 during the next two years.
"Perhaps "good enough and cheap as dirt" with high staffing turnover rates will do when it comes to verifying the state of 30-year old nukes which haven't been tested in almost two decades..."
With salaries frozen at 2010 market levels, Chu has decided that "15% cheaper than before" is his target, minus all who retire.
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