Jul. 26—The city of Owensboro is soliciting bids to conduct a salary study in an effort to determine how the city can compete with other government agencies and the private sector.
On Monday, the city released a request for proposals, to hire a consultant to determine a study of city employee salaries and benefits for all job classifications. Part of the study will include comparing the city's pay and benefits to other public and private sector employers within an 80-mile radius.
Some of the goals of the study include determining if pay scales for city workers are appropriate for the various job classifications and duties, if some jobs are understaffed or overstaffed, and for the consultants to recommend a way for the city to keep its pay rates economically competitive over time.
The city hasn't done a pay study in several years.
"We used to do them semi-regularly," City Manager Nate Pagan said.
The study will give commissioners a comprehensive look at pay rates, rather than changes rates piecemeal, Pagan said.
"It's more proactive, as opposed to reactive," Pagan said.
Governments no longer have the pension plans that helped them compete with private employers in the past. Today, new government workers across Kentucky receive a hybrid 401(k) plan rather than a pension.
Josh Bachmeier, the city's human resources manager, said the idea is to ensure the compensation ranges are compatible with other governments and private industry.
"We still have good benefits, but we don't offer anything more than the private sector does on their 401(k)," Bachmeier said. "I think the city is going to have to make a concerted effort to compete with the private sector."
Although the request for proposals calls a comparison on governments and businesses within an 80-mile range, Owensboro is vying with cities from father away, for workers such as firefighters and police officers, Bachmeier said.
"We do compete with Louisville, Lexington and Nashville for fire and police," he said. "I know several firefighters that live in Owensboro and travel to Louisville, because their compensation is higher."
The city has fewer workers now than it had 15 years ago, while the tasks city employees are asked to do have increased.
"We've added very, very few workers over the last 15 years," Bachmeier said.
The goal is to have the study by December, so city staff members can use it when they begin work on the 2023-24 city budget, Bachmeier said.
James Mayse, 270-691-7303, jmayse@messenger-inquirer.com, Twitter: @JamesMayse