Latest featured videos from DaytonDailyNews.com

Blogs

Blogs

  • :
    A crime novel set in Dayton...
    May. 26
  • :
    Rockies continue to dominate the Reds
    May. 25
  • :
    Trotwood's McCray gets OSU offer despite verbal commit to Michigan
    May. 25
E-mail this page
Editorial: Dayton\'s pay plan sets wrong example | A Matter of Opinion
 

Home > Blogs > A Matter of Opinion > Archives > 2009 > December > 06 > Entry

Editorial: Dayton’s pay plan sets wrong example

Maybe Dayton’s perks to its top-ranking managers made sense once upon a time. But those days are gone.

Recently, City Manager Tim Riordan suspended contributions to what’s called the “Executive Savings Plan.”

Currently, 17 managers are part of a program whereby they accrue money — the equivalent of a day’s pay for every month worked — in an account that is set aside and can be emptied out only when they leave.

There also are other deposits — an initial payment of a week’s pay upon becoming a manager, as well as a buyout of unused vacation pay and portions of unused sick pay if an executive is promoted from within.

Then, when the manager leaves, he or she receives a payout that may not exceed a year’s pay.

The benefit has resulted in significant checks being written to exiting employees.

Since 2005, a total of $1 million has been dispersed to 17 persons. Meanwhile, the city is carrying a liability that totals almost an equal amount for 17 other employees who will be due money when they quit or retire.

Mr. Riordan, who left a job with Dayton in 1998, received $87,019.

The reason to discontinue the plan is not that it’s ridiculously rich. Rather, the problem is that it masks what people are really being paid.

Transparency should be the operating principle in public employment. No, the pay plan is not a secret; all payments, in the end, are public. But who’s kidding whom?

This money is off-the-books in an important way because it isn’t reflected as compensation unless a person knows to ask about it.

It’s this sort of arrangement that makes the public suspicious of government, and public employee unions suspicious of their bosses. Both groups wonder what else isn’t apparent or being disclosed.

The practice is right up there with the retire-rehire gig that is becoming so common in public service, wherein public employees quit their jobs, begin collecting their pensions, and then are hired back to their old job or possibly a different public position.

Those cushy financial arrangements, too, might or might not be known.

At a time when taxpayers are being told that governments are hurting as never before, exposure of these sorts of deals breeds cynicism that’s corrosive to public confidence.

Incidentally, Dayton employees who aren’t considered executives also have their own generous exit payout plan. Upon leaving the city, they can convert portions of their accrued unused sick time and vacation they’ve carried over from previous years to cash.

It’s possible to walk away with six months of pay for sick time and vacation you never used.

There is, and always will be, a subset of people who will be against government — and taxes — no matter what.

But there are at least two other kinds of people who contest that view:

One large group believes government is good and necessary and is competent more often than not.

And there’s a third group that’s open-minded, willing to believe that when government officials say they’re financially pressed, they really mean it.

Ensuring that salaries are exactly as they seem is important to these open-minded people.

One of the justifications for Dayton’s executive pay plan is that other employees who have been on the job for long periods can get up to 32 days of vacation, while managers max out at 20.

It’s telling that that argument is being articulated. Of course, managers are going to want as much in the way of benefits as the rank-and-file receive, especially when there’s this kind of disparity in time off.

But if managers are going to justify their perks based on amazing deals they (or managers before them) have cut with unions, we’re in a deep and vicious cycle.

Nobody is going to be inclined to give up anything — even benefit packages and pay packages that are out of line with the private sector or simply unaffordable.

A suspension isn’t the right approach. The plan has to go — permanently.

Permalink | Comments (14) | Post your comment | Categories: City of Dayton, Editorials, Ellen Belcher

Comments

By Skeptic

December 6, 2009 1:33 AM | Link to this

Maybe the DDN is right, if the total compensation package is in line with comparable cities. However, paying employees for unused leave is a good ideas and actually encourages them to stay on the job and avoid taking time off. Would you rather pay them to take a day off now, or at the end of their career when their work is done? The choice is clear.

By Mike

December 6, 2009 10:28 AM | Link to this

DDN should investigate the retire\rehire game in the Coroner’s Office, even the administrative secretary is in on the game. Check out the buy outs to employees between 2003 and 2007 that may have been made without the proper resolution. This process hinders the employment of younger, qualified individuals and hurts the Ohio Public Employees Retirement System.

By Joe

December 6, 2009 12:51 PM | Link to this

It’s interesting how we all want to be paid for work we don’t perform….

By Joe

December 6, 2009 12:55 PM | Link to this

….and the extent to which we will go to make that happen.

By Patrick

December 6, 2009 2:56 PM | Link to this

I don’t think people should be paid for unused time off. Time off is so that a person can take a break and recharge their energies. Those who don’t take time off suffer and so does their work. It should not be encouraged that they work all the time. My company gives time off and I lose any unused time at the end of the year. It amazes me that those who talk about all the unused time they are throwing away are also those who get little done. Most of our productive people are those who get away.

By joe_mamma

December 7, 2009 1:34 PM | Link to this

I’m not surprised that government would be so wasteful as to pay people for unused sick and vacation days. It’s very easy to spend other peoples money especially when you don’t have to be effective, efficient or provide great service to get that money.

By public service worker

December 8, 2009 12:07 PM | Link to this

As a public service manager with 30 years experience, I take exception to the idea that my benefits and pay are excessive. I work 50 hours a week, minimum, to get my work done. No overtime. I have always received exceptional performance appraisals. Because I am a public employee, I have never received a bonus, never received anything not available to any other employee in my organization. I don’t have a 401k with an employer match. I’ve never gotten a turkey at Thanksgiving. If I go to a daylong training session, I can’t even be reimbursed for lunch. There have been two times in 30 years when I have taken a long vacation; if I hadn’t been able to roll over my hours, these special family events could never have happened. I have given the citizens I work for outstanding service for far less pay than I would make in a comparable private industry position. I have earned my small retirement buy-out, should I ever be able to afford to retire.

By davidss2

December 8, 2009 2:10 PM | Link to this

public service worker: you say you have 30 years. What is your retirement if you retire TODAY? If you retire at the appointed time chosen as optimum by the plan? Let’s hear about that meager retirement you say you can’t afford to use to retire? I thought so. You’ll never answer…

By 25 yrs Perfect Attendance-for WHAT?

December 13, 2009 2:30 PM | Link to this

City employee has an unheard record of over 25-years’ with NOT ONE day of sick leave used! ——-Wow, that sounds remarkable! But who would be able to say that?———- I know someone who can. —And that person, when he/she retires/ will lose most of the monetary sick leave value. —- FYI there are no incentives to encourage one to show up on the job every day for 25+ years.—- No turkey.— No bonus pay.— No ‘thanks’.—— Why would the pride of oneself be sufficient?—- I can tell you.— Good Work Ethics. —-Never calling off sick for a three-day sick-ation break. ——-Always having pride that the job is important. ——-I’m proud to know this individual. Very proud.—— More people should try it (not calling off when you’re not ill) The City would have more money in the budget, that’s for sure. ——Way to go !

By 25+ yrs Perfect Attendance-for WHAT?

December 13, 2009 2:30 PM | Link to this

City employee has an unheard record of over 25-years’ with NOT ONE day of sick leave used! ——-Wow, that sounds remarkable! But who would be able to say that?———- I know someone who can. —And that person, when he/she retires/ will lose most of the monetary sick leave value. —- FYI there are no incentives to encourage one to show up on the job every day for 25+ years.—- No turkey.— No bonus pay.— No ‘thanks’.—— Why would the pride of oneself be sufficient?—- I can tell you.— Good Work Ethics. —-Never calling off sick for a three-day sick-ation break. ——-Always having pride that the job is important. ——-I’m proud to know this individual. Very proud.—— More people should try it (not calling off when you’re not ill) The City would have more money in the budget, that’s for sure. ——Way to go !

By 25+ yrs Perfect Attendance-for WHAT?

December 13, 2009 2:31 PM | Link to this

City employee has an unheard record of over 25-years’ with NOT ONE day of sick leave used! ——-Wow, that sounds remarkable! But who would be able to say that?———- I know someone who can. —And that person, when he/she retires/ will lose most of the monetary sick leave value. —- FYI there are no incentives to encourage one to show up on the job every day for 25+ years.—- No turkey.— No bonus pay.— No ‘thanks’.—— Why would the pride of oneself be sufficient?—- I can tell you.— Good Work Ethics. —-Never calling off sick for a three-day sick-ation break. ——-Always having pride that the job is important. ——-I’m proud to know this individual. Very proud.—— More people should try it (not calling off when you’re not ill) The City would have more money in the budget, that’s for sure. ——Way to go !

By 25+ yrs Perfect Attendance-for WHAT?

December 13, 2009 2:32 PM | Link to this

City employee has an unheard record of over 25-years’ with NOT ONE day of sick leave used! ——-Wow, that sounds remarkable! But who would be able to say that?———- I know someone who can. —And that person, when he/she retires/ will lose most of the monetary sick leave value. —- FYI there are no incentives to encourage one to show up on the job every day for 25+ years.—- No turkey.— No bonus pay.— No ‘thanks’.—— Why would the pride of oneself be sufficient?—- I can tell you.— Good Work Ethics. —-Never calling off sick for a three-day sick-ation break. ——-Always having pride that the job is important. ——-I’m proud to know this individual. Very proud.—— More people should try it (not calling off when you’re not ill) The City would have more money in the budget, that’s for sure. ——Way to go !

By 4STARGAL

December 30, 2009 11:51 PM | Link to this

Government workers pay should be in association with the economic standards of those they serve. Decrease the employee rolls as Dayton’s population and standard of living declines.

By 4STARGAL

December 30, 2009 11:52 PM | Link to this

Government workers pay should be in association with the economic standards of those they serve. Decrease the employee rolls as Dayton’s population and standard of living declines.

Post a comment



Remember me?




*HTML not allowed in comments. Your e-mail address is required.

 

Copyright © 2011 Cox Media Group Ohio, Dayton, Ohio, USA. All rights reserved.

By using this site, you accept the terms of our Visitors Agreement and Privacy Policy. You may wish to note our other business policies.