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Bulletin 15: Denial of Merit Increases

In 2025 Employee Relations Bulletins
Tagged Employee Relations Handbook

DATE: April 21, 2014

TO: All Management Employees

FROM: Nicole McKay, Employee & Labor Relations Manager

SUBJECT: Employee Relations Bulletin 15 Denial of Merit Increases

When an employee at salary step A, B, C, or D receives an annual performance evaluation rated below standard, his/her merit increase (step increase) should be denied. Whenever a merit increase is denied because of below standard performance, a Performance Evaluation report is required.

Following the issuance of a below standard evaluation, the employee should be placed on a Corrective Action Plan. This consists of the Supervisor working closely with the employee to provide guidance and resources that will assist the employee in bringing their performance up to a competent level. In addition to working closely with the employee, the Supervisor should issue a special evaluation approximately every thirty days for a 90-day period. Depending on the employee’s job functions, it may be more suitable to issue them special evaluations every 45 or 60 days. The corrective action plan will continue for three special evaluation periods in an effort to assist the employee in reaching a standard level, and make sure the employee is sustaining that level. However if the employee is not demonstrating significant and sustained improvement, it may result in the employee being demoted or dismissed. If the employee’s performance does reach a standard level, this should be noted on the Performance Evaluation report, and a merit increase should be granted effective the following pay period.

If you are planning to issue your employee a below standard evaluation, please contact your Employee Relations Analyst for guidance on this process.

Please contact your Employee Relations Analyst with any questions regarding this matter.

2026-03-19
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Employee & Labor Relations