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December 19, 2007
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Village Employees Get Up To 2.75% Pay Hike

Village of Archbold employees will get up to a 2.75% raise in their paychecks as a result of action taken by Archbold Village Council, Monday, Dec. 17.

Dennis Howell, Archbold village administrator, could get up to 3.75%, because councilmen believe he is underpaid for his responsibilities.

Ed Leininger, council president and chairman of the fi- nance committee, said the committee considered a number of things, including the cost of living index, loss of overtime pay, reduction in available funds in 2007, and the local economy in setting the raise.

When it was announced in Sept. 2006 that the ConAgra plant would close, council took several steps to cut expenses and save money, fearing the loss of tax revenue from the closing.

Village workers received an up-to-2.5% increase in pay in 2006, but the consumer price index went up 3.68%.

The consumer price index, also known as the cost of living index, reflects the changes in the cost of basic consumer goods and services. It is a measure of inflation.

This year, the consumer price index went up 2.36%, against the 2.75% maximum raise.

Also, as part of a cost-saving measure, village officials eliminated overtime, which negatively impacted employee paychecks. Jim Wyse, Archbold mayor, said several payrolls in several village departments have gone down.

When asked if this was a year to increase wages to "catch up" with the consumer price index, Leininger said, "Honestly, we're still behind the CPI a little bit."

Maximum

Leininger said the actual raise each village employee receives is up to his or her individual department head. Individual raises are determined by employee performance over the preceding year. The maximum a department head can award is 2.75%.

Pay rates are also dependent on an employee skills and certification. For example, if a street department employee is certified as a welder, they can receive more pay.

The individual wage decisions are made at the end of the year, Leininger said.

He said there have been occasions where an employee has not received the maximum raise, based on performance.

Howell

Leininger said the finance committee believes that Howell's current pay is below what is paid to other administrators who do similar work. As a result, they built in a maximum 3.75% pay hike for Howell.

It will be up to Wyse, as Howell's supervisor, to determine how much of the 3.75% he will receive.

Other administrators, Joann Lovejoy, finance director, and Melanie Nagel, assistant village administrator, will receive raises up to the maximum 2.75%.

Another factor cited in the pay hike decisions is employee medical insurance.

"We have seen a continued rise in insurance costs," Leininger told council.

"We will allow the insurance to remain the same for the employees.

"We anticipate a rise in insurance costs, and we will look at that again in the future," he said.

Leininger said the finance committee believes all village departments have stepped up and tried to keep a careful watch on all expenses.- David Pugh


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