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City of St. Louis Adjusts Timeline for Employee Compensation Plan

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~ City of St. Louis Adjusts Implementation Date for New Employee Compensation and Classification Plan

In a recent announcement, City officials revealed that the implementation date for the new employee compensation and classification plan in St. Louis will be adjusted to allow for a thorough final review and to account for recent public safety developments. The City had previously planned to enact the new pay structure in February 2026, but the revised timeline ensures accuracy and sustainability for both employees and taxpayers. The new target date for implementation is March.

One of the main reasons for this adjustment is the recent announcement regarding pay increases for the St. Louis Metropolitan Police Department. This would also result in increased pension costs for the City, which were not accounted for in the initial plan. Under City Charter requirements, raises for police officers trigger automatic matching raises and increased pension costs for firefighters in order to maintain pay parity. However, this was not taken into consideration by the Board of Police Commissioners.

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According to Personnel Director Brian Light, "Our priority is getting this right the first time." He further explained that with the addition of police and fire pay triggers, it is crucial to ensure that the $10 million annual budget allocation is distributed fairly while maintaining the integrity of the new 30-grade pay system. This requires careful coordination before implementation.

In addition to these factors, negotiations with union partners and rigorous testing to integrate the new open-range structure into existing payroll systems have also contributed to extending the timeline.

Despite this delay, City officials remain committed to addressing key issues identified in the compensation study. This includes closing a 30% lag in pay range minimums identified by Evergreen Solutions LLC by improving pay range minimums and securing across-the-board raises as a first step towards becoming more competitive. Other recommendations from the study include realigning full pay ranges and adopting new compensation structures that are more responsive to market trends.

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The City also aims to maintain competitive benefits for its employees, including a 17.35% contribution towards retirement benefits. Mayor Cara Spencer emphasized the importance of moving with urgency and being deliberate in improving salaries for all City employees. She also acknowledged the need to account for police and fire obligations that were made without considering the overall City budget or other city staff. However, she reassured that the City is building a solid foundation that will benefit all employees and taxpayers in the long term.

Updates on recommendations for approximately 4,200 impacted employees will continue to be provided to the Civil Service Commission and the Board of Aldermen. The City remains committed to its core pillars of the compensation study and is working towards creating a fair and sustainable pay structure for its workforce.

Filed Under: Government, City
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