This policy provides for a fair and transparent process for establishing, maintaining, and monitoring remuneration levels for all staff; and for promotion and incremental progression in recognition of work performance and contributions to Otago Polytechnic Limited (Ltd).
This policy applies to all staff positions within Otago Polytechnic Ltd.
Employment Relations Act 2000 and all subsequent amendments
Public Service Act 2020 and all subsequent amendments
Minimum Wage Act 1983 and subsequent amendments
Equal Pay Act 1972 and subsequent amendments
Equal Pay Amendment Act 2020
Otago Polytechnic Limited’s (Ltd) remuneration policy and framework will be maintained in a way that reflects the following principles and values:
- Alignment with market.
- Fairness and equity.
- Consistency of approach and application.
- Financial sustainability and accountability.
Remuneration will be applied as detailed in the relevant Standard Operating Procedures (SOPs) relating to remuneration and as per relevant employment agreements.
Otago Polytechnic Ltd offers generous terms and conditions of employment of which base salary is one component. When considering remuneration of staff, it is important to remember the staff benefits that exist for staff including generous leave entitlements, professional development opportunities, staff discounts, and flexible work practices.
Automatic Increments - Annual salary increases up the relevant scale on completion of each year of service.
Salary Progression - Refers to increases from one Grade to the next highest Grade for professional staff and for academic staff movement within the scales that require proof of development.
Academic Promotion - Refers to the process of moving from one academic scale to another. (i.e., Lecturer to Senior Lecturer, Senior Lecturer to Principal Lecturer, Principal Lecturer to Associate Professor, Associate Professor to Professor).
Starting and Review of Salaries
The primary considerations in determining the starting salary of a staff member are relativity and the skills and experience of the new staff member in relation to the role they will be performing.
- Professional staff roles are evaluated and assigned to a Band. The salary Grade and Step that an individual is assigned will be within the Band of the role. Otago Polytechnic Ltd Bands run from B to F reflecting factors such as the level of skill, accountability, and complexity of the role. Each Band is divided into Grades 1, 2, and 3.
- For academic staff this will include an emphasis on qualifications and expertise in their field and teaching experience, and then alignment to the relevant academic scale, e.g., Lecturer, Senior Lecturer, Principal Lecturer, Associate Professor, and Professor.
All remuneration offers must be made in line with Otago Polytechnic Ltd Delegations from the Board to the Chief Executive and Authorities and Sub Delegations from Chief Executive policy and are only formal once issued in writing by the Deputy Chief Executive: People, Culture and Safety. Formal Leaders must consult with People and Culture before making any salary offer to a new or existing staff member.
Salaries of all staff will be reviewed annually in line with this policy, relevant SOPs, and employment agreements. Individual salary movements can be either by general wage increases, increments, progression, promotion, or change to role and job evaluation.
For academic staff there will be at least one (1) promotion round each year. Application deadlines and meeting dates will be published on the Otago Polytechnic Ltd intranet (Tūhono) and will give sufficient notice to staff to prepare their applications.
Applications for Associate Professor/Professor occur at least every two (2) years as determined by the Chief Executive.
Otago Polytechnic Ltd also offers general salary increases through collective and individual employment agreement negotiations.
Otago Polytechnic pays at least the Living Wage. The living wage changes annually and Otago Polytechnic Ltd will ensure it keeps up with those changes.
Where Otago Polytechnic Ltd believes there is a need, allowances may be used to remunerate special responsibilities, market alignment, or key skills. Allowances will be offered in writing, and specific details of the terms and conditions associated with the allowance will be advised (e.g., the reason for the allowance, the time frame for payment of the allowance).
Bonuses may be awarded for additional work or exemplary performance. These will only be offered paid in exceptional circumstances. Any applications for a bonus must be made by the Formal Leader, who must outline the exceptional circumstances that they believe justify a bonus payment. The application must be endorsed by the relevant Deputy Chief Executive before final approval is considered by the Deputy Chief Executive: People, Culture and Safety and Chief Executive.
Non-monetary Recognition and Rewards
In addition to base salary Otago Polytechnic Ltd has a number of non-monetary initiatives to reward staff. These include five (5) weeks’ annual leave, long service leave (for professional staff), and staff discounts on Otago Polytechnic Ltd programmes of study/course(s), as well as access to discounts at local retailers. In exceptional circumstances, additional rewards or benefits may be offered to a staff member (e.g., additional leave, professional development funding, or similar), and these require the approval of the Deputy Chief Executive: People, Culture and Safety or Chief Executive.
Appendix 1. Salary Progression (downloadable)
Appendix 2. Professional Staff Salary (downloadable)
Appendix 3. Promotion Academic Staff (downloadable)
Performance Review Policy
Professorial Appointments Policy
- Collective Employment Agreements
- Individual Employment Agreements
Dr. Megan Gibbons
28 July 2022.
Policy Version: V1