Human Resources Policy Manual AWARD & INCENTIVE PAY POLICY

Policy 42

NOTE: THIS POLICY, LIKE ALL OTHER MUSC HUMAN RESOURCES POLICIES, IS NOT A CONTRACT OF EMPLOYMENT AND SHOULD NOT BE RELIED UPON AS SUCH. THIS POLICY MAY BE CHANGED AT ANY TIME BY THE MEDICAL UNIVERSITY OF SOUTH CAROLINA.

I.

PURPOSE This document sets forth the Award and Incentive Pay Policy of the Medical University of South Carolina. The purpose of this policy is to facilitate the awarding of lump sum increases to individuals or groups of employees whose performance materially affects the financial and/or operational performance of their respective organizational units. A monetary award is a one-time lump sum payment which, depending upon the funding source, is limited to specific dollar amounts ranging from $50 to $1,000 and is granted, after the fact, to recognize one of the following:

Contributions to increased organizational productivity; Development and/or implementation of improved work processes; Exceptional customer service; Exceptional patient satisfaction; Realized cost savings; or Other specific contributions to the success of the institution

A non-monetary award is a meal, plaque, certificate, or other similar type of recognition, which is granted to reward innovations or improvements by individual employees or employee teams that enhance the quality of work or productivity.

An incentive is a one-time lump sum payment granted to recognize individual and/or group productivity. Incentive increases are limited to $2,000 per participating employee and are generally awarded for operational cost reductions within a defined unit. In order to participate, a department must pre-establish target goals and identify performance measures and criteria. Group productivity plans must also define the unit to be recognized and include a list of all participating employees within the unit. II. PROCEDURE Each department electing to participate in this program must submit a proposal through administrative channels to the Department of Human Resources Management for evaluation and approval. The Department of Human Resources Management is available to provide assistance in developing these plans in accordance with enabling legislation funding and reporting requirements. For more information, please contact Human Resources Development, Planning and Records at extension 2-2683. The following items must be included in each proposal, using the attached form:

Purpose Affected positions/employees Baseline/historical data Target goals (if incentive plan) Funding Recommended awards/increases Verification/audit of data

III.

IV.

ELIGIBILITY All permanent and probationary employees of the Medical University of South Carolina are eligible for consideration for an award or incentive pay increase within their respective organizational units. Temporary and temporary grant employees are not addressed in this policy; however, temporary grant employees may be eligible if the grant allows for such increases. REPORTING Records of proposals, actual dollar savings, and employee awards/incentives will be reported to the Budget and Control Board or its designee.

Approved by:

Information Contact

Effective

Robert C. Gallager Vice President for Finance &

Jacquelyn K. Jones Director Department of Human Resources

April 12, 1996 Revised:

Administration

Management

June 24, 2002