Professional & Managerial Staff 3-5 Advisory Committee Meeting Summary April 22, 2014
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1 1) Caucus Time (30 minutes) Professional & Managerial Staff 3-5 Advisory Committee Meeting Summary April 22, 2014 Time for members to discuss scheduled agenda items or other issues. 2) Updates on s from January 2014 meeting a) Annual Performance Assessment Process Members to encourage colleagues to follow up with their managers regarding additional feedback Compensation will ensure this is highlighted in training for 2014 annual process b) Improving Career Mobility and Secondments Senior HR team to consider possible options for providing opportunities to staff - work in this area is ongoing c) HCSA HR to produce additional information and estimates regarding a possible Health Care Spending Account will be discussed today d) Scholarship Program for Dependants Committee to send questions regarding the program and comments from follow up discussion to Steve Dyce Ran out of time at January meeting discussion to continue on today s agenda 3) Compensation Issues a) Base Salary Increase The Agenda Planning Committee requested an update regarding possible salary increases in Angela Hildyard noted that: the Provincial Government s budget announcement, expected May 1, 2014, would have considerable influence on any base salary increases the directive regarding net zero increases to compensation issued by the Finance Minister in August 2012 remains in effect a proposal could be brought forward to the Business Board on June 12 if proposed and approved, increases would appear in the October pay, retroactive to July 1 Page 1 of 6
2 in three of the last seven years there have been no ATB increases for the PM 3-5 group, as dictated by the Province the University has continued to provide merit increases to base salaries each year, and ATBs for the last two years the total value of merit pools have been frozen since the Minister s 2012 directive was issued salary catch up is not permitted once the restrictions are removed private sector increases are no longer in the 3-4% range The Committee raised questions about the frequency and scope of market analysis conducted by the University with respect to employee salaries. Deborah Ovsenny, Executive Director, Total Rewards, advised that the University conducts salary surveys with other Canadian universities on an annual basis, as well as participating in external surveys every two years. A full salary review was conducted in 2012, with very few adjustments. The information gathered through the comparisons is presented to Business Board and the Senior Appointments and Compensation Committee of the Governing Council, and is used to inform salary decisions. b) Performance Assessment Deborah Ovsenny, Executive Director, Total Rewards, discussed the launch of the new online Performance Assessment tool - Halogen eappraisal. A memo was sent out April 22 to all staff and managers detailing the new system and the 2014 annual process. The tool is set to launch mid-may, and the time allocated to complete the process will be extended to provide individuals and managers to become comfortable with the new system. 4) Benefits and Pension Issues a) Scholarship Program for Dependents Steve Dyce, Director, Benefits & Pensions, provided an overview of the Scholarship for Dependants program as a follow up to the discussion in January. Approximately 35% of the scholarships for PM 1-9 dependants are utilized at the University of Toronto, while the majority of the remainder are used at other Ontario or Canadian Universities. Current eligibility for the Scholarship Program is an 80% average in Grade 12. The Committee raised questions at the January meeting regarding lowering the threshold to 75%, as was negotiated with respect to the Scholarship Program for Dependants for faculty. The Committee was advised that the University would be willing to review the Program requirements, as part of the review of potential salary increases for The Committee may be asked to provide feedback regarding the Scholarship Program s priority given other compensation considerations and costs. Revision to Scholarship Program to be considered in context of salary increases in 2014 Page 2 of 6
3 b) Paramedical Practitioners The Committee discussed the possibility of expansion of paramedical coverage to include Acupuncture and Naturopathic medicine. It was explained to the Committee that there would be significant costs associated with adding additional services to the plan. Even if the current maximum annual cap remained the same, increased use of the existing envelope would drive up costs. In addition to costs, adding these services would have a broader impact on other groups, as the benefits for PM 3-5 staff are in line with benefits provided to other employee groups. Among PM 1-5 staff, there are ~600 employees enrolled in the benefit plans. Last plan year $840,000 in dental claims, and $1.1M in Extended Health Care claims were processed by Green Shield. Approximately claims were submitted. Steve Dyce noted that he did speak with Green Shield about adding additional practitioners. They have a large paramedical plan that included a wide array of practitioners, but would be a significantly more expensive benefit than that currently in place. Steve noted monies in a Health Care Spending Account could be used to cover fees for paramedical services not covered under the Extended Health Care plan. If there is interest in these add-ons, the matter must be considered carefully in terms of next steps. c) Health Care Spending Account (HCSA) Discussion continued from January meeting. Details were provided about the origin and composition of the PM 6-9 HCSA. In order to gain the account, the group gave up massage / physiotherapy coverage, ended vision coverage, capped nurses at $5,000, and did not add orthodontia coverage. It was noted that the PM 6-9 is a different group in terms of member size and utilization. Based on a similar scheme, a HCSA for PM 1-5 would be in the realm of $420 (family) and $210 (single) per year. Removing orthodontia coverage could increase the HCSA by ~$100 per year. Premiums on the regular benefit plans would likely decrease 7-8% and HCSA dollars could be used to pay premiums. It was stressed that such a plan would apply to the whole employee group. Staff who are covered by a spouses plan would have access to a HCSA at the single rate. The Committee asked about the incentives for the University to move to a HCSA. It was explained that many organizations are moving to a HCSA to better control costs, as these programs are based on a cost per person, and are not driven by usage. Moreover, as new services are unlikely to be added to the existing plan, this option can function as a top up for coverage while providing flexibility. It was emphasized that even with a HCSA the fundamental components in the health care plan will remain the same. If the Committee hears of anyone interested in this type of plan, they are asked to inform Meredith Sandles (m.sandles@utoronto.ca). Feedback received since the January meeting has shown little interest in creating a HCSA for PMs 1-5, however Committee members requested more detailed information regarding costs. Page 3 of 6
4 Cost estimates for HCSA to be provided to the Committee d) Vision Coverage An explanation of the historical restructuring of the Vision Care benefit was provided to the Committee. The Vision Care and Extended Health Care (EHC) plan were merged to provide a simpler plan that clarified coverage choices. It was also more cost effective for employees. It was mentioned that there are some people who were previously exempted from EHC and opted into the Vision Care plan. Steve Dyce, Director of Pensions and Benefits acknowledged that this option is no longer available. It was suggested that adoption of a HCSA may be useful for those with an EHC exemption who would like supplemental monies for vision care. e) Joint Membership Program (JMP) The Agenda Planning Committee raised the question of creating more flexibility in the JMP. Specific questions were raised regarding sessional memberships, changing the annual opt out restriction and possibly having a single facility discount vs. JMP. Steve Dyce indicated that these types of issues have been discussed with the facilities in the past, and there are some concerns about changing the current structure. Changes to the JMP could impact long term planning and budgeting for the facilities, and increased uncertainty regarding membership levels throughout the year, as each facility depends on membership fees to support their programs. Also there is an ongoing effort to maintain a balance between the increases to student ancillary fees and the JMP fees. There will also be significant periods of time during which facilities will be inaccessible to JMP members due to the Pan Am and Parapan Am Games. Members of the Committee asked about options for individuals coming to the St. George campus from Scarborough or Mississauga, and want to dine at the Faculty Club. There is an option to purchase a separate membership to the Faculty Club. This membership fee does not include the JMP subsidy. Specific comments and / or suggestions are welcome, and should be directed to Steve Dyce at steve.dyce@utoronto.ca. f) Pension Contributions The Committee was reminded that pension contributions will be increasing in July as scheduled. Information will be sent out to staff via detailing the changes. Angela Hildyard advised the Committee that the Provincial Government is looking to move to 50 / 50 cost share for contributions by employers and employees. This contribution increase is part of moving toward this goal. It was stressed that the University needs to ensure that contribution changes are the same for every employee group. Members asked about the University s pension ratio in Page 4 of 6
5 comparison to other institutions. It was noted that the University has one of the lowest contribution rates, and has been directed by the government to move towards a 50 / 50 ratio. The Committee was advised that the Provincial Government is also considering making changes to the overall structure of pensions in the university sector. One possibility under consideration is creating one single plan for all Ontario Universities. As the University of Toronto has a large fund already, there would need to be a substantial increase in the pool size to make it worthwhile. Before this would be a possibility there would be many considerations to take into account, including potential legislation. The Ontario Confederation of University Faculty Associations (OCUFA) has put together a plan proposal which merges the best features from pension plans across the country. It remains to be seen what recommendations will be taken under consideration. Reminder memo to all staff in the pension plan regarding changes to contributions effective June 30 5) Career Community and Networking Opportunities Rosie Parnass, Executive Director, Organizational & Leadership Development and Work-Life Support, gave the Committee an update on the ODLC s Career Community initiative and a March event titled Work the Room, a pilot project for developing networking skills. The Career Community is a multi-faceted initiative that aims to put individuals in connection with a wide variety of resources related to career management of which networking is an important component. The community will house career resources, sponsor career events, showcase career profiles (short videos where staff talk about their careers), and will provide a database of networking contacts across the University. There are some career profiles posted on the ODLC site already with more to come. PM 3-5 members are encouraged to come forward and volunteer to be a connection within the Community. Individuals interested in more information or helping to develop the Career Community should Rosie (rosie.parnass@utoronto) or Teresa Scannell (t.scannell@utoronto.ca). Page 5 of 6
6 6) Job Description Development The Committee was asked to comment on the USW job description development process and provide suggestions on potential ways to improve the current system. The Committee was encouraged to share ideas. 7) Pan Am and Parapan Am Games Update Angela Hildyard advised the Committee that the University was looking at how staff volunteering during the 2015 Pan Am and Parapan Am Games might be facilitated. There will be events at both the Scarborough and St. George campuses. During the games the University will remain open, but interested parties are encouraged to explore volunteering opportunities. Further information will be provided at a later date. 8) Announcement: Presidential Day June 30, 2014 It was announced to the Committee that June 30, 2014 will be a Presidential Day. The Presidential Day will create a four day long weekend for Canada Day. A memo regarding the holiday will be sent out to all staff. 9) Reminder re: nomination process / Committee membership turnover Meredith Sandles confirmed that there would be no membership term extensions and the University had proceeded to try to fill the nine vacancies for the Committee. A message calling for new volunteers was sent out April 21 to PM 3-5 staff. Meredith Sandles asked the Committee if there was interest in hosting a meeting in May for members only (incoming, continuing, and outgoing). Committee to inform Meredith Sandles if members interested in May meeting. Page 6 of 6
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