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VI: Annual Salary Grade Adjustment: Salary grades will be normally.adjusted annually . <br />during the budget process, taking into consideration market and other in~uences such as <br />increases granted managers among agencies within the partner city's survey area, increases <br />granted the partner city's represented employees, internal relationships between <br />supervisory positions and across departments, etc. The salary grade adjustment will not <br />usually result in any adjustment to individual managers or confidential employee's salaries <br />unless a reclassification or job change results. <br />VII. Merit Increase Pool: Each yeaz based upon the recommendation of the City Managers <br />and as approved by the City Council's, there shall. be established. a merit increase pool. <br />The merit increase pool is a percentage of total base management salaries from which <br />management and conf dential employee salary increases are distributed. <br />VIII. Merit Increase Guide: Annually merit salary increases may be considered and <br />distributed by the City Managers based upon the recommendation of the supervisor and <br />the fallowing general guidelines. The aggregate of alt merit increases distributed vtrill <br />generally equal the merit increase pool percentage. <br />Increase amounts should differ significantly as performance levels increase. <br />Managers and confidential employees in.the lower performance zones of the salary <br />grade (below the control point) may receive target percentage increases than those in . <br />higher performance zones (above the control point). <br />No salary increase shall be awarded in instances where a performance rating is "Does <br />Not Meet Expectations". . <br />IX. Individual Merit Increase: In the month of September each year, managers will be <br />eligible for individual salary adjustments. Said increases shall be made based solely upon <br />performance and in accordance with the merit increase guide. No salary increase shall be <br />made unless a performance appraisal has been made of the employee. <br />lX. Performance Management Plan: The performance pay plan is intended to follow the <br />time schedule described on the following page: <br />- 16- <br />