500 Donald Street East Provides Pay Hike Statement

City Manager Norm Gale
Norm Gale, City Manager.

THUNDER BAY – POLITICS – Norm Gale states, “City Council voted in favour of a pay band adjustment last night for non-union and managerial employees. I understand this has caused some concern and speculation to taxpayers. I’d like to set the record straight, and provide some background for clarity.

“The City of Thunder Bay values its employees. Like many municipalities across Ontario, we face challenges when it comes to recruitment and retention of the qualified employees it takes to lead and manage a large, highly complex environment offering critical and varied public services.

“We strive to be an employer of choice and provide appropriate compensation. We are lagging behind and risk losing good employees to jobs in other cities and here in Thunder Bay.

“The pay band adjustment is not an immediate increase to salaries. It allows for performance-based annual increases of 1% to 4% through salary ranges. The salary range for this group has not changed since 2007. Of the 329 employees in this group, 18 will receive an 8% increase; of those, 4 are in front-line supervisory roles and the remainder are in administrative/clerical roles. 288 people in this group will receive no immediate raise as a result of Council’s decision last night.

“Our compensation strategy for non-union employees is to pay at the 50th percentile – or midpoint – of other comparable municipalities. However, 76% of the City’s non-union jobs lag below that target. Specifically, the City’s compensation of non-union and managerial staff lags behind that of comparable municipalities by -9.1%.  This adjustment will assist in regaining our targetmarket position of the 50th percentile. It is one of several processes applied to the financial compensation of employees.

“We greatly appreciate the diligence and hard work of all employees during COVID-19, and every day, for providing essential and quality city services to the citizens of Thunder Bay. We respect the views of all union groups, and we will continue to bargain in good faith.”

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