Medford city workers paid above the average

Mail Tribune (Medford, OR — Wayback)

2001-12-15

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Medford city workers paid above the average By MELISSA MARTIN Most Medford city employees are paid more than their peers in other public agencies and their benefits are among the best on the West Coast, a survey showed. Almost all of Medford's 411 employees have salaries and benefits that rank among the top 25 percent paid by other cities, counties, school districts and hospitals that participated in the survey, said Doug Detling, human resources director for the city of Medford. The survey was conducted by Fox-Lawson & Associates, which has offices in Phoenix, Ariz., and Minneapolis. The survey found that 52 Medford employees have annual salaries that are less than market average, ranging from $27 to $6,900 less. They were, however, the exception. "Three-fourths of employers surveyed pay considerably less than you do," Detling told the City Council during a Thursday study session. The City Council commissioned the $75,000 survey at the request of employees who believed they were underpaid, Detling said. After listening to survey results, the City Council recommended that Medford employee salaries and benefits be set at a level that ranks in the top 40 to 50 percent of what the market pays. When it comes to benefits, Medford employees are well covered, the survey showed. The city contracts with three different health insurance companies, Detling said. For fire department employees, the city pays $793 a month for family coverage and employees have no premiums taken out of their monthly paychecks. Police, public works and parks employees also have no monthly premiums and the city pays $524.68 a month. For management and officer workers, the city pays $847.71 a month and employees pay $91 a month from their paychecks. "You have a generous benefit package that puts you ahead of the group," consultant Bruce Lawson, of Fox-Lawson & Associates, told the City Council. For the total benefit package - health insurance and pension - Medford pays an average of $1,243 a month, compared to the $988 monthly average paid by the cities and counties in the survey. "Health insurance in Medford tends to be higher because we have little competition and we don't have as many vendors to provide services," Detling said. "And as a result of higher salaries, we have higher PERS (retirement) costs and social security costs." The survey showed that lower-ranking employees tend to be paid better than their counterparts in other cities or counties, while management-level employees tend to be paid less than their peers. For example, a department director would make $84,776 in Jackson County, $80,400 in the city of Ashland, $76,582 in city of Medford and $59,944 at Southern Oregon University. Medford's overall higher-than-average salaries are partly because all but 102 employees are represented by labor unions and partly due to the longetivity among workers. "This is an isolated employment area and so many people have stayed with the city their whole career," said Medford City Manager Michael Dyal. The survey found some inequities in departments, Detling said. Police lieutenants and sergeants aren't paid much more than lower-ranking officers, which provides little incentive for employees to seek promotions, he said. "Why would you want to apply for the sergeant's job when it means more work and not much more pay?" Detling said. If the City Council decides to move salaries closer to the middle of the market's average, it would cost the city $156,000 to bring the 52 underpaid employees up to scale. If the City Council decides to move salaries to the 60th percentile range, it would cost Medford $207,000. No wages will be lowered, Detling said. Any City Council decision must meet the approval of the seven bargaining units that negotiate salaries and benefits for city employees.   Mail Tribune Home | Ottaway Newspapers, Inc. | Dow Jones & Co., Inc. | Privacy | Contact Us Copyright � 2001 Mail Tribune, Inc.