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B. Changes to Vacation PolicyMEMORANDUM CITY OF TO: Todd Gerhardt, City Manager CHANHASSFN FROM: Laurie Hokkanen, Assistant City Manager 7700 Market Boulevard DATE: December 6, 2011 PO Box 147 0 �� ' Chanhassen, MN 55317 SUBJ: Changes to Vacation Policies Administration BACKGROUND Phone: 952.227.1100 added. At that time, we proposed moving the 1 day per year of service to 25+ Fax: 952.227.1110 At work session on September 26 and November 26, staff reviewed the sick and Building Inspections vacation benefits provided to city employees. Phone: 952.227.1180 In the late 1990's, we combined the two floating holidays that employees received Fax: 952.227.1190 Staff reviewed the history of changes to the vacation policy. Engineering In 1991, the following accrual schedule was in place: Phone: 952.227.1160 Fax: 952.227.1170 • 0 -5 years: 10 days Finance • 5 -15 years: 15 days Phone: 952.227.1140 . 16 -20 years: 20 days Fax: 952.227.1110 . 21 years: earned 1 day per year for service with no limit Park tio & Recreation Phone: Recr tio In December 1994, a category for 20 years of service /25 days of vacation was Fax: 952.227.1110 added. At that time, we proposed moving the 1 day per year of service to 25+ years, but chose not to enact. Recreation Center 2310 Coulter Boulevard In the late 1990's, we combined the two floating holidays that employees received Phone: 952.227.1400 with their vacation, for ease of administration. Fax: 952.227.1404 Planning & The vacation policy in place today is: Natural Resources Phone: 952.227.1130 o 0 -5 years: 12 days Fax: 952.227.1110 o 6 -15 years: 17 days 0 16 -20 years: 22 days Public Works o 20+ years: 27 days 7901 Park Place Phone: 952.227.1300 Fax: 952.227.1310 Based on discussions with the City Council, staff recommends implementing the following, to be effective as of January 1, 2012: Senior Center Phone: 952.227.1125 . All employees will be allowed to be paid out a maximum of 2x their Fax: 952.227.1110 annual vacation earning rate, regardless of their balance at the time of Web Site separation. This is a reduction from the current policy of 3x accrual. www.ci.chanhassen.mn.us • The max accrual rate for all employees going forward will be 2x. Those employees that currently exceed 2x will have 5 years to reduce their balance. At the end of the first pay period in January 2016, any hours above 2x will be forfeited. G \Admin \LH \City Council \Changes to vacation policy.doc Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow • A new leave earning category of 11 -15 years/ 19 days vacation will be introduced. • All employees hired after January 1, 2012 will earn vacation according to the following schedule, with a max rate of 22 days per year and a max accrual of 2x: 0 0 -5 years: 12 days 0 6 -10 years: 15 days 0 11 -15 years: 17 days 0 16+ years: 19 days 0 20+ years: 22 days RECCOMENDATION Staff recommends adoption of the Personnel Policy Changes required to incorporate these new policies, which are included on the regular City Council agenda for tonight. KFS Holiday Comparison City Regular Holidays Floating Holidays Total Holidays Chanhassen 10.0 2.0 12.0 Andover 10.0 1.0 11.0 Champlin 11.0 0.5 11.5 Chaska 10.0 2.0 110 Farmington 11.0 1.0 12.0 Inver Grove Heights 11.0 1.0 12.0 Lino Lakes 12.0 - 110 Oakdale 11.0 1.0 12,0 Prior Lake 10.0 2.0 12.0 Savage - Shoreview 11.0 1.0 12,0