This chart shows the cumulative effect of the varying increases between the employee group with salaries below the job rate and the employee group with salaries above the job rate over a five year period. The group below the job rate receives two types of increases: range increases and step increases. The group above the job rate receives only performance increases. The chart shows the pay compression which occurs when the two groups move at significantly different rates each year.For clarity, this example assumes constant rates of increase for each group during the time period shown.
Example 1: TRANSIT OPERATOR II GRADE 29 : 5.78% for Below Job Rate & 3.78% for Above Job Rate Employees
Employee A: New Hire January 2003	Employee A		Employee B: 5 years service as of January 2003	Employee B	Difference between salaries
hired at minimum:	24,265		salary as of January 1:  at Job Rate:	30,204	24%
moved to probationary step: July 2003:	26,039			30,204	16%
Year 1: step and range adjustments=5.78%	27,544		Year 1: granted performance increase of 3.78%	31,345	14%
Year 2: step and range adjustments=5.78%:	29,136		Year 2: granted performance increase of 3.78%	32,530	12%
Year 3: step and range adjustments=5.78%	30,820		Year 3: granted performance increase of 3.78%	33,760	10%
Year 4: step and range adjustments=5.78%	32,601		Year 4: granted performance increase of 3.78%%	35,036	7%
Year 5: step and range adjustments=5.78%	34,485		Year 5: granted performance increase of 3.78%	36,360	5%
total percent increase over time period	42%		total percent increase over time period	20%
total employee service: 5 years			total employee service: 10 years
Example 2: TRANSIT OPERATOR II GRADE 29 with 5.78% for Below Job Rate & 4.25% for Above Job Rate Employees
Employee A: New Hire January 2003	Employee A		Employee B: 5 years service as of January 2003	Employee B	Difference between salaries
hired at minimum:	24,265		salary as of January 1: Job Rate:	30,204	24%
moved to probationary step: July 2003:	26,039			30,204	16%
Year 1: step and range adjustment=5.78%	27,544		Year 1: granted performance increase of 4.25%	31,487	14%
Year 2: step and range adjustment=5.78%:	29,136		Year 2: granted performance increase of 4.25%	32,825	13%
Year 3: step and range adjustment=5.78%	30,820		Year 3: granted performance increase of 4.25%	34,220	11%
Year 4: step and range adjustment=5.78%	32,601		Year 4: granted performance increase of 4.25%	35,674	9%
Year 5: step and range adjustment=5.78%	34,485		Year 5: granted performance increase of 4.25%	37,190	8%
total percent increase over time period	42%		total percent increase over time period	23%
total employee service: 5 years			total employee service: 10 years