New Hire Compensation
Starting pay for new employees will be determined by considering the pay range associated with the job’s grade, and the candidate’s knowledge, skills, and experience. Hiring managers should consider the pay of other similarly situated employees to ensure equitable compensation decision.
Administrative and Professional Employees
Starting pay offers above the 25th percentile of the pay grade must be reviewed with the Planning Unit and must be approved by Compensation, prior to making the offer. When presenting a request to hire above the 25th percentile, please prepare a justification in writing that indicates why it is appropriate to offer the candidate a rate higher than the 25th percentile. The reasoning should be based upon how the candidate exceeds the minimum qualifications of the position, such as experience, skills, certifications and/or education they have that justifies an offer above the 25th percentile.
Sign-on Bonus for Administrative and Professional Positions
In instances where positions may be difficult to recruit or retain qualified applicants, departments may utilize a sign-on bonus during the hiring process for new hires. Sign-on bonuses can be utilized for a position only when other recruitment methods have been deemed unsuccessful. Key Factors departments should consider in determining which positions are difficult to recruit/retain consist of the following:
- Turnover frequency and existing vacancies
- Labor market factors, conditions of and staffing patterns for other entities in the industry
- Results of previous recruitment/retention methods
- Specific qualifications for the position and relative difficulty in attaining such qualifications
- Availability of funds for the purpose of a sign-on bonus
Sign-on bonuses will be limited to no more than 10% of the employee’s base salary and require the approval of the division Vice President or the Provost. Applicants of fixed term, temporary, and intermittent positions are not eligible to receive a sign-on bonus. Employees covered by a collective bargaining agreement should refer to that agreement to determine eligibility to participate in a signing bonus program. Departments may reach out to their HR Liaison for more information about sign-on bonuses.
Sign-on bonuses may be offered during the job posting stage or during negotiations with top candidates. Hiring managers must gain appropriate planning unit approvals before extending a verbal offer of a sign-on bonus. Any sign-on bonuses should be reflected in the hiring proposal submitted to UHR (University Human Resources). Once received, UHR (University Human Resources) will route the agreement form for signature before the sign-on bonus is officially approved and awarded. The order of signature is as follows:
- Vice President/Provost
Payment of the sign-on bonus shall be paid directly to the Employee in accordance with typical University payroll processes within thirty (30) days following Employees first day of employment and is subject to all required federal, state, and local tax deductions and withholdings.
Before the funds are awarded the employee must agree (utilizing the agreement form mentioned above) to repay the University the amount of sign-on bonus if Employee voluntarily resigns, terminates employment, or is involuntarily terminated for cause with the Ohio University hiring department prior to completing two (2) full years of continuous employment in active pay status with the Ohio University hiring department from the Employee’s Start Date.
The percentage of Sign-On Bonus to be repaid is based on the number of years of employment Employee was in an active pay status, as follows:
a. If Employee’s employment with the Ohio University hiring department terminates prior to the completion of twelve (12) full months in active pay status after the Start Date, Employee agrees to repay one hundred (100%) of the Sign-On Bonus.
b. If Employee’s employment with the Ohio University hiring department terminates after the completion of twelve (12) full months in active pay status after the Start Date, but less than twenty-four (24) full months in active pay status after the Start Date, Employee agrees to repay fifty percent (50%) of the Sign-On Bonus.
If an Employee fails to remain employed in active pay status by the Ohio University hiring department for two (2) full years of continuous employment for reasons beyond their control (e.g., job elimination, department closing, injury, illness, or death), other than voluntary resignation or involuntary termination for cause, University may in its sole discretion waive all or part of the liability owed by the Employee. Any such waiver must be approved in writing by the Employee’s Department Head and the Chief Human Resources Officer.