University System of New Hampshire

F. Compensation

1.   Authority. The Board of Trustees (BOT) authorizes the Chancellor, in coordination with the Administrative Board, to establish a job evaluation system, compensation policies, and compensation guidelines for annual increases and the principals and standards for distribution, except as noted below. These shall comply with state and federal legislation, and shall be established and implemented to promote the goals of internal equity, reward for meritorious performance, effective recruitment, and retention of employees.

1.1   Definition of Compensation. For status appointments (see USY V.C.6.2.4), compensation is defined as base salary paid as regular budgeted earnings. Benefit contributions are made only on base salary, not on additional pay with the exception of performance bonuses and over-range maximum bonuses. (See USY V.F.7.1)

1.1.1   For adjunct appointments (see USY V.C.6.2.4.2), compensation is defined as remuneration for services performed during a specific appointment period.

1.2   Classification and Pay Ranges. The BOT authorizes the Chancellor to establish a set of pay ranges and classification assignments for non-faculty exempt and non-exempt employees, Academic Administrators, and Extension Educators. The USNH Chief Human Resources Officer shall be responsible for establishment and maintenance of the pay program. Faculty salary levels and ranges shall be set by individual institutional authority, unless covered by Collective Bargaining Agreements (CBAs).

1.3   Additional Pay Policies. The BOT authorizes the Chancellor to establish compensation policies relating to hours worked, work in excess of regularly classified and compensated work, holiday pay, shift differentials and policy for payment of hourly adjunct employment.

2.   Job Evaluation.

2.1   Authority/Evaluation System. The Chancellor shall establish a job evaluation system for non-faculty exempt and non-exempt positions. The basis of the job evaluation system shall be the content of the position. The USNH Office of Human Resources shall be responsible for the methodology and maintenance of job evaluation standards and is authorized to make adjustments to those methods and standards. Any overall change of job evaluation or purchase of a new system shall be approved by the Chancellor in conjunction with the Administrative Board.

2.2   Job Content and Organizational Structure. Each institution shall be responsible for organizing its tasks, jobs, and organizational structure. Each shall have the authority to restructure organizations and job content to meet institutional needs and to fulfill the institutional mission. Human Resources shall be responsible for monitoring and maintaining job descriptions.

2.3   Administration.

2.3.1   Each Human Resources at each institution is authorized to classify all non-faculty positions using the job evaluation system established in USY V.F.2.

2.3.2   The University of New Hampshire is authorized to establish the classifications of the Extension Educator ranks.

2.3.3   The BOT as defined by Trustee policy shall be the sole authority for the classification and establishment of positions as Executive Officers.

3.   Establishment of Pay Ranges.

3.1   Pay Ranges.

3.1.1   Wage and Salary Schedules, including hourly rates for non-exempt employees and annual rates for exempt employees, will be established by USNH Human Resources.

3.1.2   Each pay range consists of minimum and maximum dollar amounts at each end of the scale. The pay range minimum is the lowest pay rate for all jobs in a particular range, and the pay range maximum is the highest rate employees may attain for all jobs in that pay range.

3.1.3   USNH Human Resources will revise pay ranges whenever necessitated by operational requirements. This usually occurs when an across-the-board pay adjustment is implemented for employees.

3.1.4   A wage schedule for adjunct appointments will be established and revised periodically by USNH Human Resources. Minimum and maximum hourly rates are included for various categories of suggested skills and services.

3.2   Assignment of Classified Jobs to Pay Ranges.

3.2.1   Generic classifications are assigned to a specific pay range by utilizing compensation studies to compare the salary survey market range midpoint for a like job to the closest matching USNH range midpoint. If directly related compensation data is unavailable, the classification will be assigned to a range by taking into account:

3.2.1.1   Similarity of managerial responsibilities and/or professional expertise with other comparable classifications within USNH.

3.2.1.2   Similarity of background requirements, education and experience with other comparable USNH classifications.

4.   Determination of Exempt/Non-Exempt Status.

4.1  Every job shall be designated as exempt or non-exempt as defined by the Fair Labor Standards Act. Human Resources shall be responsible for making such determinations in consultation with USNH Human Resources.

5.   Pay Policies and Practices.

5.1   Workweek Definitions and Authority. The workweek begins on Saturday and ends on Friday. The standard workweek is 40 hours as determined by operational needs. Authority to determine what constitutes time worked to comply with FLSA resides with Human Resources with advice from USNH Human Resources as appropriate.

5.2   Records. Human Resources and Payroll are responsible for maintaining true and accurate records of the hours worked by each employee and the amount of wages paid to them. Employees are required to timely and accurately submit accounting for hours actually worked, which must be completed by the employee and approved by the supervisor.

Any changes or correction to an employee’s time record must be acknowledged and approved by the employee and their supervisor. Failure to timely submit and/or approve time records may be grounds for discipline.

5.3   Non-Exempt/Hourly Pay Policies

5.3.1   Non-Exempt Work Schedules. The supervisor may not change a non-exempt employee's regular work schedule without prior consultation with Human Resources. When this occurs, the supervisor must give reasonable (normally defined to be thirty [30] calendar days) advance notice to the employee. This policy is intended to cover permanent or major changes and is not intended to prohibit flexibility in dealing with ad-hoc/short-term needs. Supervisors must approve in advance any employee work outside of the regular work schedule.

5.3.2   Hourly Time Accounting. USNH is required to ensure that all non-exempt employee work hours are accurately recorded to ensure that they are paid for all hours worked as required by applicable law. Non-exempt employees must not be permitted or asked to perform off-the-clock work and all aspects of time-keeping records must accurately reflect hours worked and Meal Periods taken. Supervisors must approve in advance any overtime work.

5.3.3   Rest Periods. Each non-exempt employee is allowed, but not required, to take two 15-minute rest periods per day away from their job, which are considered time worked. The immediate supervisor will determine when rest periods may occur. Rest periods are not cumulative.

5.3.4   Meal Periods. All employees are entitled to a Meal Period if they work more than five consecutive hours in a day unless it is feasible for the employee to eat while working and the employee is permitted to do so. Meal Periods are breaks that are at least 30 minutes long and may be scheduled by the supervisor for as long as 60 minutes.

Exempt employees are responsible for scheduling and taking their own Meal Periods, or choosing to work through lunch if their job can be performed while eating.

Non-exempt employees will usually have their Meal Periods scheduled by their supervisors who will determine both the time of day and duration. If working in a department where Meal Periods are not scheduled, then Meal Periods may be taken at a time consistent with operational needs. Meal Periods are unpaid for non-exempt employees and are not considered time worked. Non-exempt employees who take a Meal Period must record the time of day the break starts and the time of day the break ends in their time-keeping records.

Non-exempt employees are required to take their Meal Periods unless permission is requested and received in advance to work through lunch for a specific reason. A request to work through lunch may only be authorized by a supervisor if:

(1) it is feasible for the employee to eat while working, in which case the time worked is paid; or 
(2) if it is not feasible for the employee to eat while working but it is possible to grant the employee a paid break of 15-20 minutes in duration to break the five consecutive hours of work and allow the employee time to eat, with the understanding that the paid break must be documented with the employee.

In either case, the supervisor should separately consider the need for possible advance authorization of overtime.

5.4   Non-Exempt Paid Holiday Leave.

5.4.1   Eligibility. To receive paid holiday leave, a non-exempt employee must: hold a status appointment; their appointment dates must encompass the holiday; and they must not be in a leave without pay situation immediately prior to or following the holiday. If an employee is on paid leave when a designated holiday occurs, they will receive paid holiday leave, and the time will not be charged as Earned Time.

5.4.2   Payment. All full-time eligible status non-exempt employees receive holiday leave amounting to their base hourly rate multiplied by their usual daily hours not to exceed eight hours (for percent time staff see below).

5.4.2.1   Non-Exempt with percent time appointments. Each case is individualized, based on the employee's appointment dates, working schedule, and when the holidays fall as per below:

5.4.2.1.1   Flex-time appointments. Those employees whose appointment dates cover the full fiscal year (the 12 month period from July 1 - June 30), but are less than 100%, will have their appointment percentage applied to the holiday leave hours for the week within which the holiday falls. For example, a 75% fiscal year (July 1 - June 30) appointment within which an employee works three eight hour days and one six hour day each week of the fiscal year, would receive 75% of eight hours (i.e., six hours) of paid holiday leave during a week with one holiday.

5.4.2.1.2   Flex-Year appointments. Those employees whose appointment dates do not cover the entire fiscal year will have the percent-time of their work hours for the work week in which the holiday falls applied to the holiday hours as long as the holiday falls within the employee's appointment dates. For example, an 80% appointment within which an employee works full-time (eight hours a day) from August 11 – May 28 would have the percentage of their work hours for the week in which the holiday falls (100%) applied to the holiday hours (eight hours).

5.4.2.2    A holiday is counted as a day worked for the purpose of computing overtime pay (see USY V.F.7.3.1).

5.5   Non-Exempt Pay During Curtailed Operations.

Curtailed Operations may be declared and authorized by the Campus Chief Executive Officer (or their designee) in the event of an emergency or extreme weather conditions. In such situations, status non-exempt employees may be directed to perform assignments, come in late, leave early, or not come in at all as applicable to the period of Curtailed Operations and shifts specified. Curtailed Operations may be a partial closure of the institution or a full closure. A period of Curtailed Operations of seven (7) calendar days or less is considered short duration. Under Emergency Response, Curtailed Operations may be declared for a longer period of time (see USY V.D.14).

5.5.1   Essential Personnel. Each institution may designate and maintain a list of employees who are necessary for operations through weather or other emergency conditions. Such employees will continue to be required to receive supervisory approval for weather/emergency related absences.

5.5.2   Monetary Payment for Curtailed Operations of Short Duration.

5.5.2.1   If a status non-exempt employee does not report to work due to weather conditions and curtailed operations is declared, the employee shall charge their Personal Time or Earned Time for any work hours not covered by the Curtailed Operations.

5.5.2.2   Status non-exempt employees are entitled to pay for the day if all of the following conditions exist:

No more than two hours of their shift occur after the end of Curtailed Operations.

The employee has not previously requested the use of accrued time for the scheduled hours.

5.5.2.3   Status non-exempt employees not directed to leave early or come in late will receive their regular pay for the regularly scheduled hours worked plus equal compensatory time (see USY V.F.7.3.1.3) off later.

5.5.2.4   In certain operations requiring continuous 24-hour service, status non-exempt employees may be authorized payment instead of equal compensatory time (see USY V.F.7.3.1.3) off.

5.5.3   Absences Not Covered by Curtailed Operations Pay. In cases of marginal weather conditions when operations are not formally curtailed, employees who do not report to work at a specified time or choose to leave work early will be required to contact their supervisor and use Personal Time, Earned Time or leave without pay.

6.   Pay Policies.

6.1   Definition. Employees who are exempt, as determined by the provisions of the Fair Labor Standards Act, are paid by salary. Exempt employees are expected to work those hours which are necessary to effectively accomplish the objectives of the position. When excessive hours are consistently required of an employee in the regular job, the supervisor and employee should mutually discuss a resolution around the needs and responsibilities of the job and appropriate administrative options using Human Resources as a resource.

6.2   Holiday Pay. Employees who are exempt from the provisions of the Fair Labor Standards Act are eligible to receive holiday pay if the holiday falls within their appointment dates. Compensation for holiday pay is based on their usual daily salary. If the employee is in a position requiring that they work on a designated holiday, arrangements should be made with the supervisor to take a day off with pay at a mutually agreeable time.

6.3   Curtailed Operations may be declared and authorized by the Campus Chief Executive Officer (or their designee) in the event of an emergency or extreme weather conditions. In such situations, status exempt employees may be directed to telework, perform assignments, come in late, or leave early, as applicable to the period of Curtailed Operations. Curtailed Operations may be a partial closure of the institution or a full closure. A period of Curtailed Operations of seven (7) calendar days or less is considered short duration. Under Emergency Response, Curtailed Operations may be declared for a longer period of time (see USY V.D.14).

6.3.1   Essential Personnel. Each institution may designate and maintain a list of employees who are necessary for operations through weather or other emergency conditions. Such personnel will continue to be required to receive supervisory approval for weather/emergency related absences.

6.3.2   Monetary Payment for Curtailed Operations of Short Duration. If an employee does not report to work due to weather conditions and Curtailed Operations is declared, the employee shall charge their Personal Time for any day or half-day not covered by the Curtailed Operations if the employee has not previously requested the use of Sick Leave or Personal Time for the scheduled time.

7.   Additional Pay.

7.1   Definition. Additional pay is extra compensation that is paid to a status employee above salary paid as regular budgeted earnings. Employee benefit contributions are not made on additional pay, except FICA, performance bonuses, and above range maximum bonuses. There are three categories of additional pay which may be either inside or outside the regular appointment period: Hourly-based for Services, Salary-based for Services, and Additional Pay for Recognition (described in USY V.F.7.3, 7.4, and 7.5). Appointments which may involve additional pay are also referenced in USY V.C.6. Some additional pay applies to adjunct employees. In those situations, the applicability is referenced under the specific type of additional pay.

7.2   Conditions for Review and Approval of Additional Pay.

7.2.1   All categories of hourly-based additional pay for services (USY V.F.7.3) require prior approval by the status position supervisor as well as those approvals noted in the particular policy section below. Institutional policy may dictate additional procedures as well as specify that some on-going payments, such as shift differential, need not be approved at each event or each pay period.

7.2.2   All categories of salary-based additional pay for services (USY V.F.7.4) shall be subject to an approval process determined by institutional policy which shall include the following:

7.2.2.1   At a minimum, the supervisor shall be made aware of all such additional payments, and policy may require prior approval.

7.2.2.2   Categories of pay inside the appointment period, described in USY V.F.7.4.2 and USY V.F.7.4.4, shall require prior approval by the supervisor and at least one of the following offices: the Office of the President, the appropriate Vice President, or Human Resources, or their designees as determined by institutional policy or procedure. Institutional policy may also require additional approvals, such as those by the Office of Sponsored Research.

7.2.2.3   Categories of pay outside the appointment period, described in USY V.F.7.4.1 and USY V.F.7.4.3, will have approval processes described by institutional policy. A single approval may be sufficient.

7.2.3   Categories of additional pay for recognition (USY V.F.7.5) shall have approval processes determined by institutional policy. That approval process must include at least one central institutional administrative office. Institutional policy may also require additional approvals such as those by the Office of Sponsored Research.

7.2.3.1   Exception. Longevity (USY V.F.7.5.8) shall require only a review of the calendar years of service by Human Resources.

7.2.4   Other conditions. Any approvals for additional pay for services within the appointment period described in USY V.F.7.4.2 and/or USY V.F.7.4.4 must include documentation that the payment is for services performed outside the duties and responsibilities of the employee's classification. In the case of Executive Officers, Academic Administrators, Librarians, Exempt Employees, Extension Educators and Non-Exempt Employees, the absence from the regular job duties shall be accounted for through the use of documented Vacation/Earned Time or other such appropriate arrangements made and documented with the supervisor in advance. Furthermore, any additional pay for other services requires advance approval of the institution's Chief Executive Officer; or, in the case of CEO's, the Executive Committee of the BOT.

7.3   Hourly-based Additional Pay for Services for adjunct appointments. In addition to approvals noted in the sections below, all categories of non-exempt additional pay for services require prior approval by the supervisor as noted above in USY V.F.7.2.

7.3.1   Overtime Pay. Time worked, by status and adjunct employees, in excess of 40 hours in any week is paid at one and one-half times the regular rate of pay (USY V.F.7.3.1.1). The hours worked in all jobs must be paid by the hour and combined for calculation of overtime. The only exception is when the additional job is teaching a credit course. For employees who work a 7.5 hour day or a 37.5 hour work week, the first 2.5 hours per week are paid at their base hourly rate. For status employees, a paid holiday leave day is counted as a day worked for the purpose of computing overtime pay.

7.3.1.1   Regular Rate of Pay. Determination of regular rate of pay for the purpose of complying with FLSA requires that certain types of salary increments be included with the base rate when computing the regular rate of hourly pay for overtime purposes. These increments are shift differential, weekend differential, longevity and stand-by pay, as applicable.

7.3.1.2   Pay for Scheduled Work on a Holiday. Status employees who, prior to the holiday, are scheduled to work on an authorized holiday are paid at one and one-half times the base rate for all hours worked (see USY V.A.4.9.2) in addition to their paid holiday leave.

7.3.1.2.1   Pay for Call-in on Holidays. Status employess who were not scheduled to work on an authorized holiday, but who do so at the request of their supervisor, are compensated at double the base pay rate for the hours worked with a guaranteed minimum of three hours. This compensation shall be in addition to any holiday leave pay they would have received without working.

7.3.1.3   Compensatory Time. If permitted by institutional policy, compensation for overtime for status employees may be in the form of compensatory time off in lieu of a monetary payment. Such compensatory time will be at one and one-half hour for each hour of overtime worked in excess of 40 hours in one week. For employees who work a 7.5 hour day or a 37.5 hour work week, compensatory time off for the first half hour of extra work per day, or the first 2.5 hours per week will be at an hour-for-hour rate. Compensatory time may only be applied to status appointments and may not be applied if the overtime is a result of an employee having both a status and adjunct appointment.

7.3.1.3.1   Agreement. Compensatory time must be the result of a mutual agreement between the employee and supervisor prior to the performance of the work without any coercion or pressure by the supervisor.

7.3.1.3.2   Accumulation. In general, employees may accumulate up to 240 hours of compensatory time with the exception of those engaged in public safety work who may accumulate 480 hours as applicable. Since compensatory time may not be carried from one fiscal year to another, employees should be permitted to take accumulated compensatory time off within a reasonable period of time after the overtime is worked.

7.3.1.3.3   Monetary Payment. Compensatory time will be paid off in cash prior to or on June 30 of each year. If an employee terminates or transfers to another department, cash payment will be made for accumulated compensatory time based either on the average regular rate of pay over the last three years or the final regular rate of pay, whichever is higher.

7.3.1.3.4   Records. Unless otherwise specified by the institution, the supervisor is responsible for maintaining records. Records of compensatory time must be maintained and preserved to include:

  • Number of compensatory hours earned each work week by each employee
  • Number of compensatory hours used each work week by each employee
  • Number of hours of compensatory time paid in cash
  • For law enforcement personnel, an indication of the work week period for each employee

7.3.2   Stand-by Pay. Compensation paid to those status and adjunct employees who are specifically required in writing by their supervisors to restrict their travel and consumption of alcoholic beverages during non-working hours. The purpose of such restrictions is for the institution to be able to provide an immediate and safe response to any emergency situations. Such payment is limited to operations that are designated as essential services by the institution.

7.3.2.1   Monetary Payment. Stand-by compensation is paid on a per hour basis of $2.25 per hour effective September 5, 2020.

7.3.2.2   Guidelines. The receipt of stand-by compensation is not contingent upon being asked to come in to work since the employee is being compensated for the inconvenience factor. However, if requested to come in while on stand-by, the employee shall be paid their base hourly rate for the time actually worked plus overtime when appropriate with a guaranteed minimum of two hours. If the work is performed via teleworking from home, the hours worked are paid and overtime applied as appropriate, but the two-hour minimum is not applicable. In both instances, stand-by compensation is included.

7.3.3   Callback Pay. Compensation paid to a status or adjunct employee who is called back to work after having completed scheduled work hours and at a time which precedes the start of the next regular working day. This pay compensates an employee for the inconvenience of leaving their residence to return to work and returning to their residence after completion of the required tasks.

7.3.3.1   Monetary Payment. Compensation for callback to work is one and one-half times the base pay rate for the hours worked with a guaranteed minimum of three hours pay. If the work is performed via teleworking from home, the hours worked are paid at one and one-half times the base pay rate, but the three-hour minimum is not applicable.

7.3.3.1.1   Exception. If an employee is called back to begin work before their normal shift time and continues working into their regular shift, compensation for such work is not considered to be callback pay, and normal overtime policies will apply.

7.3.4   Shift Differential. A shift differential is paid to compensate status nonexempt employees for working second, third, or weekend hours. The shift payment rate for the entire shift is determined by the beginning time of the shift. Job classifications eligible for shift differential are determined by HR Compensation.

7.3.4.1   Second Shift: Begins between the hours of 2:00 p.m. and 7:59 p.m. Employees will receive $0.60 per hour in addition to their base rate.

7.3.4.2   Third Shift: Begins between the hours of 8:00 p.m. and 3:59 a.m. Employees will receive $0.70 per hour in addition to their base rate.

7.3.4.3   Weekend Shift: Begins Saturday at 12:00 a.m. through Sunday at 11:59 p.m. Employees will receive $0.50 per hour in addition to their base rate. Employees will receive $1.10 per hour for Weekend Second Shift or $1.20 per hour for Weekend Third Shift.

7.3.4.4   Adjunct and student employees are not eligible for shift differential pay.

7.3.5   Pay for Adjunct Hourly Appointments. The pay rate is determined by the type of adjunct appointment (see USY V.C.6). It is expected that the hours worked in the adjunct appointment will be outside the status employee's normal work hours/day. If the work occurs during the employee's regular work day, the employee may, only with the concurrence of the supervisor, perform the adjunct work during the regular work day and either use Earned Time/Vacation Leave or make up the hours through a documented agreement with the supervisor.

7.3.6   Pay in Lieu of Holiday Leave. When a designated holiday falls on a full-time status employee's regularly scheduled day off, they may take the same number of holiday hours off with pay during the same or following week; or, if approved by the supervisor, collect the value of the holiday at the employee's regular rate as additional compensation (for percent-time staff see USY V.F.5.2.2.1). Such payment is not counted as time worked for FLSA overtime purposes.

7.3.6.1   When status employees, such as dining or other service employees, are temporarily laid off because of an academic break period containing a designated holiday, such as Thanksgiving or Christmas, and are recalled immediately following the break, they may collect holiday pay only if they worked or were on approved paid absence on the last scheduled work day before and first scheduled work day after the break.

7.4   Salary-based Additional Pay for Services -- by Event, Project, or Course. All categories of exempt additional pay for services shall be subject to an approval process as outlined in USY V.F.7.2 (See also USY V.D.7.1-10).

7.4.1   Faculty Non-appointment Period Supplemental Payments. Compensation paid for teaching or services for an event or project which occurs outside the faculty member's base appointment period.

7.4.1.1   Faculty Supplemental Pay. Pay for work on a sponsored project, administrative stipend (summer only), or other activities that are performed outside the faculty member's academic year appointment dates. Time and pay limitations are determined by system/institutional policy and, where applicable, CBAs and/or sponsor regulations for sponsored projects (see UNH V.F.7.3.6).

7.4.1.2   Summer Pay. Applicable only to academic year faculty, summer pay is for USNH administered summer period activities, including teaching, effort on internally and externally sponsored projects, and administrative work. Time and pay limitations are determined by system/institutional policy and, where applicable, CBAs and/or sponsor regulations for sponsored projects (see UNH V.F.7.3.5).

7.4.2   Faculty Supplemental Pay during the Appointment Period. Compensation for teaching or providing services for an event or project that is not included in the regularly assigned workload of the faculty member. This includes teaching overload courses in the faculty member's academic division, teaching for Continuing Education, institutes and all other USNH institutions, or work on sponsored projects, which occur during the faculty member's academic or fiscal year appointment period. Time and pay limitations are determined by system/institutional policy and, where applicable, CBAs and/or sponsor regulations for sponsored projects (see UNH V.F.7.3.6).

7.4.2.1   Faculty Administrative Stipend. Pay for administrative services performed, such as acting appointments, department/program chair, center/program director, and special projects assigned as overload. Time and pay limitations are determined by system/institutional policy and, where applicable, CBAs and/or sponsor regulations for sponsored projects (see UNH V.F.7.3.2).

7.4.3   Payment for Work Outside the Normal Appointment Period. Compensation made for services rendered to USNH which are not included in the duties and responsibilities as outlined in the employee's classification and which are performed outside the employee's normal work period (e.g. outside daily work period, weekends, or outside the flex appointment).

7.4.4   Payment for Work Inside the Appointment Period. Compensation made for services rendered to USNH which are not included in the duties and responsibilities as outlined in the employee's classification, and which are performed inside the employee's normal work period.

7.5   Additional Pay -- Recognition, Recruitment, Other. These categories of additional pay shall have approval processes as described in USY V.F.7.2.

7.5.1   Bonus. Compensation awarded to status and adjunct employees to recognize contribution, extraordinary effort, attainment of skills at the end of an introductory period, or for assuming for a period of time extra duties which are not included in the duties and responsibilities as outlined in the employee's classification.

7.5.2   Transition Payment. Compensation paid a faculty or exempt employee as part of a recruiting effort intended to provide payment for items such as relocation costs that may not be eligible for direct reimbursement under IRS and/or USNH guidelines. (Information regarding the transition payment form can be found on the USNH Financial Services website.)

7.5.3   Acting Appointment Stipend. Compensation paid to an employee who assumes some higher level responsibilities of a vacant position for a period of time, typically a period of six months or less, while retaining the benefits and a significant portion of the duties and responsibilities of their status position. (See also "bonus" (USY V.F.7.5.1) and "interim appointment" (USY V.F.8.6)).

7.5.4   Temporary Upgrade. A temporary upgrade is for a period of six months or less and may occur when an employee is temporarily assigned duties and responsibilities that clearly exceed the established duties and responsibilities of the classification of their status position. Such action may include a change in title and/or the need for additional compensation. The payment of compensation may be made during the period of the temporary assignment or may be in the form of a bonus at the end of such service.

7.5.5   Temporary Increase in Percent Time. A temporary increase in percent time is for a period of six months or less and occurs when an employee is temporarily assigned an ongoing increase in hours/days of work. Compensation for the extra time worked, based on the employee’s regular hourly/annual rate, will be provided during the period of the temporary increase in percent-time.

7.5.6   Honorarium. An honorarium is an award that may be provided to a status or adjunct faculty employee by USNH as a token of its appreciation and is often associated with the employee serving as a distinguished or keynote speaker for a special lecture, symposium, or workshop. Honoraria are compensated by a one-time, non-negotiable cash payment to a recipient and are unrelated to the employee's base rate of pay. (Please see Procedure 08-008, Awards, Gifts, and Prizes, for specifics regarding payments and taxes.)

7.5.6.1   Honorariums for Non-resident Aliens. Due to strict federal regulations related to non-resident aliens, any honorarium to a non-resident alien must be pre-approved by Human Resources or its designee.

7.5.7   Award. An award is defined as a one-time payment to an employee awarded by the institution in recognition of special achievement. (Please see Procedure 08-008, Awards, Gifts, and Prizes, for specifics regarding payments and taxes. For non-cash awards, see USY V.F.10.4.4).

7.5.8   Longevity Pay -- Applicable only to status Non-Exempt employees with current status employment start dates prior to July 1, 2011. It is an extra pay increment awarded to status Non-Exempt employees each pay period to recognize length of service to USNH. To conform to FLSA regulations, longevity payments are included in the regular rate for the purpose of computing overtime.

7.5.8.1   Increments. Longevity increments for Non-Exempt employees are as follows:

  • On completion of 10 years service--2%
  • On completion of 15 years service--4%
  • On completion of 20 years service--6%
  • On completion of 25 years service--8%
  • On completion of 30 years service--10%

7.5.8.2   Determination of Length of Service. For longevity purposes, a year of service will be equal to a calendar year of status employment, i.e. 12 consecutive months from date of hire equals one calendar year. If an employee held a status flex-year appointment of 75% for 10 years, the total years of service for longevity purposes would be 10 years.

7.5.8.3   Calculation of Longevity Increment. The longevity increment, awarded each pay period, is calculated by multiplying the base pay for that pay period by the longevity percentage.

7.5.8.4   Beginning Accrual. Length of employment will start from the first day of status employment of at least 75% time.

7.5.8.5   Effective Date. Longevity increments shall be effective on the employee's anniversary date of status employment.

7.5.9   Payment of Accrued Earned Time and Vacation Leave. Any Earned Time and Vacation Leave paid at retirement, termination, or paid as a result of a status change, such as from exempt to non-exempt, or a policy exception, is considered additional pay. (See USY V.A.4.8 & USY V.A.4.9.9 for Earned Time and USY V.A.4.10.6 & USY V.A.4.10.8 for exempt staff.)

8.   Initial Salary Policy.

8.1   Starting Salary.

8.1.1   Authority. The BOT delegates to the campus CEOs the authority to establish starting salaries for exempt/non-exempt employees. The responsibility for approving salaries that fall within the guidelines in USY V.F.8.1.2. is delegated to Human Resources after consultation with appropriate deans or directors.

8.1.2   Exempt/Non-Exempt Employees (Exempt category includes Extension Educators)

8.1.2.1   The starting salary of a new employee having only the minimum qualifications for the classification will normally not exceed the range minimum.

8.1.2.2    With documentation showing qualifications far in excess of the minimum, the CEO, or their designee, may authorize hiring hourly rates for Non-Exempt employees above the first quartile.

8.1.2.3   If a new employee has academic preparation and/or directly related experience in excess of the minimum acceptable qualifications for the job, a guideline of five percent for each applicable year of education, training or directly related experience may be added to the minimum. In no instance shall an employee be hired above the job range maximum, see USY V.F.3.1.2.

8.1.3   Faculty.

8.1.3.1   Authority. The BOT delegates to the campus CEO the authority to establish starting salaries for all new faculty members. The responsibility for determining the starting salary is delegated to either the campus Human Resources Officer and/or the Chief Academic Officer after consultation with appropriate deans, department chairs or directors. Such consultation will include appropriate market data. Where applicable, such consultation will conform to CBAs.

8.1.4   Executive Officers. For Chief Executive Officers (CEOs), the Chief Academic Officers (CAOs), and the highest ranking financial or administrative officer at each of the institutions, see BOT V.F.2; for all other Executive Officers, see USY V.F.11.

8.2   Promotion.

8.2.1   Authority. Human Resources is delegated the responsibility for determining salaries for promotions based on the guidelines set forth in USY V.F.8.2.3 through USY V.F.8.2.7.

8.2.2   Definition. A promotion is an assignment to a vacant position with a higher salary range. An employee has the right to pursue and be considered for employment opportunities throughout USNH without prejudice to their current responsibilities. Promotions will be made on the basis of individual merit and qualifications.

8.2.3   Starting Salary. The starting salary and placement within the new range for an employee will be based on the individual's own qualifications and the guidelines and philosophy for starting salary as outlined in USY V.F.8.1, not on the individual's placement in the former range.

8.2.4   Eligibility for Promotion. Employees on an initial introductory period are not normally eligible for promotion until the end of the introductory period.

8.2.5   Service Credit. Employees who are promoted to a different position, either within the same institution or to another, will suffer no loss of service credit or benefits.

8.2.6   Non-Exempt to Exempt. In cases of promotion from non-exempt to exempt employment the following guidelines should be considered in determining the appropriate salary.

8.2.6.1   If on a 37.5-hour week, the employee's current salary should be converted to a 40-hour weekly equivalent.

8.2.6.2   Since exempt employees do not receive longevity, the longevity increment, if applicable, should be added to the new salary base.

8.2.6.3   After these computations have been made, final placement within the new salary range should be made in accordance with salary guidelines shown in USY V.F.8.2.3.

8.3   Transfer.

8.3.1   Authority. Human Resources is delegated the responsibility of approving all transfers before commitments are made and for determining salaries based on the guidelines set forth in USY V.F.8.3.3.

8.3.2   Definition. A transfer is the voluntary acceptance of another position within USNH, or a reclassification, to a classification in a lower or the same pay range, and will normally effect no change in service date or benefits for the employee.

8.3.3   Transfer salary. At the time of transfer, Human Resources, in conjunction with the hiring department, will determine the employee's salary at the time of transfer, based on the employee's qualifications and the guidelines and philosophy for starting salary (USY V.F.8.1) as well as the philosophy described in compensation for equity (USY V.F.9.4). This salary will be communicated in writing to the employee at the time of transfer.

8.3.3.1    If the transfer results in no change or a higher salary or rate of pay, the new/continuing salary or rate of pay increase can be immediate.

8.3.3.2    If the transfer is involuntary and results in a lower salary, there will be a transition period of not less than three months during which the hourly or salary rate of the employee will be maintained at their current rate. The transition period is inclusive of any notice period in cases where the employee is a successful candidate in a search.

8.3.4   Eligibility for transfer. Employees in an introductory period are not normally eligible for transfer until the end of the introductory period.

8.3.5   Non-Exempt to Exempt. In cases of a transfer from Non-Exempt to Exempt employment, the following guidelines should be considered in determining the appropriate salary.

8.3.5.1   If on a 37.5-hour week, the employee's current salary should be converted to a 40-hour weekly equivalent.

8.3.5.2   Since exempt employees do not receive longevity, the longevity increment, if applicable, should be added to the new salary base.

8.3.5.3   After these computations have been made, final placement within the new salary range should be made in accordance with salary guidelines in USY V.F.8.3.3.

8.4   Reclassification.

8.4.1   Authority. The Administrative Board has delegated the responsibility for classification to each institution's Human Resources Office.

8.4.2   Definition. A reclassification is the reassignment of a position to another generic classification which is based on changes in the duties and responsibilities of the job since its last review. If a position is reclassified, it may be assigned to either the same, a higher or lower range within the salary schedule.

8.4.2.1   Approval. The supervisor through the department head makes requests for approval of exempt classification reviews to the appropriate administrator as per institutional procedure.

8.4.2.2   Appeals. Classification determinations by the institution's Classification Committee may be appealed either in writing or through a personal appearance by the supervisor at one of the Committee meetings. Such appeals must contain additional information that was not included for the initial review.

8.4.3   Reclassification Pay Changes. A position reclassification may result in an increase, decrease or maintenance of earning potential. The employee's placement and salary level within the new range will be determined by Human Resources.

8.4.3.1   Non-exempt to exempt. In cases of reclassification from a non-exempt to exempt position, the appropriate salary adjustment is determined as follows:

8.4.3.1.1   If on a 37.5-hour week, the employee's current salary should be converted to a 40-hour weekly equivalent.

8.4.3.1.2   Since exempt employees do not receive longevity, the longevity increment, if applicable, should be added to the new salary base.

8.4.3.1.3   After these computations have been made, final placement within the new salary range should be made in accordance with USY V.F.8.4.3.

8.4.3.2   Maintenance of Former Salary. At the time of reclassification, the former salary level may be retained when the new classification assignment is to a pay range that is either lower or the same or the former salary is at the median of the new classification.

8.4.3.3   Limitations. In all reclassifications, the employee may not be paid less than the minimum or more than the maximum of the new pay range.

8.4.3.3.1   Exceptions. In circumstances where the current salary or hourly rate is above the maximum of the new pay range, the salary or hourly rate will be maintained until such time as the pay range increases to encompass the salary/hourly rate, or maintained for a period of one year from the date of the reclassification.

8.5   Demotion.

8.5.1   Authority. Human Resources is delegated the responsibility: (a) of approving all demotions before commitments are made, and (b) for determining salaries and transition period based on the guidelines set forth in USY V.F.8.5.3.

8.5.2   Definition. A demotion is the involuntary change of an employee to a lower pay range and may occur as a result of: (1) the assignment of an employee to a position in a classification with a lower pay range than the employee's former position; or (2) a reclassification when the position is assigned a classification in a lower pay range than the previous classification. Demotion is not recommended for any individual who has not yet completed the initial introductory period (see USY V.C.8.2.3).

8.5.3   Salary. At the time of the demotion, an employee's salary may be maintained, or it may be reduced following a transition period (see USY V.F.8.5.4). Human Resources will be involved in determining the employee's salary. This salary will be communicated in writing to the employee at the time of the transition.

8.5.3.1   If the employee's hourly or salary rate at the time of demotion exceeds the new pay range, the new range maximum will normally be assigned. However, Human Resources may authorize a salary over the range maximum when warranted by such considerations as the employee's length of service and institutional desirability of the transition.

8.5.4   Transition period salary. If the hourly or salary rate of the employee will be reduced as a result of the demotion, their current rate will be maintained for a transition period of not less than three months, and normally not more than one year. The length of time of the transition period is determined by the hiring department in consultation with Human Resources and will consider such factors as equity, the employee's length of service, and the institutional desirability of the transition.

8.6   Interim Appointment.

8.6.1   Authority. Interim appointments are made at the initiation of the institution and each institution's Human Resources Office is delegated the responsibility for employment actions involving interim appointments.

8.6.2   Definition. Interim appointments are applicable to status positions which are vacant or created to fill a need for a specific appointment period. An interim appointment may be filled by an internal employee or an external hire. If the appointment is internal, the employee appointed does not retain a significant proportion of their permanent status position's duties/responsibilities.

8.6.3   Length of appointment is normally for six months or more.

8.6.4   The hourly rate/salary for the appointment will be determined by the position's supervisor in consultation with Human Resources. At the termination of the interim appointment, the internal employee will return to their permanent status position and compensation with any salary increases added that might have occurred during the period of the interim appointment.

9.   Other Types of Salary Adjustments.

9.1   Across-the-Board Increase.

9.1.1   Definition. An Across-the-Board increase is an annualized, fixed percentage amount that is applied to all pay ranges and to salaries of all employees except those listed as exceptions in compensation guidelines. All Across-the-Board increases are dependent upon the availability of funds allocated for that purpose. As referenced in the compensation guidelines, Across-the-Board increases are withheld in certain circumstances including cases of poor performance as determined by the supervisor in consultation with Human Resources.

9.2   General Increase

9.2.1   Definition. A General Increase is a percentage or an annualized amount (the amount may differ by occupational type) which is applied to all employees' salaries except those listed as exceptions in compensation guidelines or those excluded by provisions of CBAs. However, application of a General Increase shall not result in an employee's salary exceeding its assigned pay range maximum. All General Increases are dependent upon the availability of funds allocated for that purpose. As referenced in the compensation guidelines, General Increases are withheld in certain circumstances including cases of poor performance as determined by the supervisor in consultation with Human Resources.

9.3   Market Equity Range Change. When salary survey data indicates that the range assignment of a particular classification is no longer competitive, Human Resources, in conjunction with the USNH Chief Human Resources Officer may move the classification and employees in it to a higher salary range.

9.3.1   Exempt Positions. Exempt classifications may be applicable or relevant to other positions at more than one institution. Each institution must agree to the range change prior to approval.

9.3.2   Non-Exempt Positions. Since non-exempt range changes are based primarily on local survey data, range changes for non-exempt classifications require the approval of the singular institution in that particular location, with the concurrence of USNH Human Resources.

9.3.3   Monetary Considerations.

9.3.3.1   The range may be moved with or without an accompanying salary adjustment to employees in the classification; however, those employees whose salary falls below the new range minimum must be adjusted to the minimum.

9.3.3.2   If a salary adjustment is given to an exempt classification, the percentage need not be the same for each institution, but normally should be equal for all in the same classification within the institution.

9.3.3.3   The amount of the salary increase is not to exceed 10% and is dependent on such factors as the severity of recruitment problems, actual incumbent salaries and consideration of seniority in the classification.

9.3.3.4   The monetary source for all market equity range change increases is dependent on the availability of funds.

9.4   Equity Adjustment.

9.4.1   Authority. The CEO has the authority to award equity adjustments in any amount to exempt and non-exempt employees. Such increases are dependent on the availability of funds.

9.4.2   Definition. An equity adjustment is a salary increase that may be granted to an employee when a responsible administrator in conjunction with Human Resources, recognizes an inconsistency in an employee's compensation that should be corrected when either of the following conditions exists:

9.4.2.1   An internal equity adjustment may be appropriate when salary inconsistencies are found due to differences in the compensation paid to employees in the same classification with equal years of service within the classification which cannot be explained by differences in education, training, and/or job performance.

9.4.2.2   An external or market equity adjustment may be appropriate when salary inconsistencies are found because salary survey data indicates that the mean or median salary for a like position in the outside market is considerably higher than the compensation paid to an employee within USNH.

9.5   Merit Increase.

9.5.1   Definition. Merit increases are pay increases that may be awarded each fiscal year to employees for excellence in work performance based on an annual review by the employing department. All merit increases are dependent upon the availability of funds allocated for that purpose.

9.5.2   Limitations. No meritorious performance increases may be awarded which cause employees' salaries to exceed their salary range maximums.

9.6   Administrative Adjustment.

9.6.1   Authority. The BOT authorizes each institution's CEO, in conjunction with the Chief Human Resources Officer, to award administrative adjustments when certain conditions exist.

9.6.2   Definition. An administrative adjustment is a salary increase that may be granted by the USNH Chief Human Resources Officer, upon the recommendation of the institution's Chief Human Resources Officer, when such an adjustment is necessary:

  • to compensate for an administrative error,
  • to conform to other provisions of the compensation program, or
  • because it has been otherwise demonstrated to be in the best interest of USNH.

9.7   Discretionary Increase.

9.7.1   Authority. The BOT delegates each institution's Chief Executive Officer the authority to award discretionary increases. Such increases are dependent on the availability of funds.

9.7.2   Definition. A discretionary increase is a salary adjustment to be awarded only in exceptional cases during the fiscal year, (separate from annual merit increase considerations), in which the annual salary rate of an employee may be increased by an amount up to 5%.

9.7.3   Exception. Such adjustments may also be in the form of a bonus, which does not affect the continuing salary.

9.8   Delay of Increases.

9.8.1   Absences. In cases of leaves of absence by an employee, salary adjustment increases will be delayed and may be granted upon return to active service.

9.8.2   Probation. If an employee is placed on an extended initial or a post-initial probation, the effective date of all increases during that time period will be delayed until they successfully complete such probation.

9.8.3   Retroactive Payments. The only times retroactive payments are allowed in delay of increase cases is when an employee is on temporary military leave or when a grievance is resolved in favor of the employee.

9.8.4   Exceptions. Delay of increases does not apply to the following:

Professional Development Leaves (full or half-pay)
Leaves covered by Earned Time or Vacation/Sick Leave Programs

10.   Pay Distribution. USNH encourages all employees to participate in the electronic direct deposit program for their payroll payments. USNH considers this the standard method of pay and, unless directed otherwise by the employee, will request information necessary to establish direct deposit at the time of employment. Human Resources will be responsible for determining how information about payroll options will be communicated to employees. For those employees not able to take advantage of direct deposit, the USNH standard method of pay distribution, a paper payroll check will be generated and mailed to the employee's designated institutional or home address on the appropriate Friday. Checks will normally not be distributed to employees earlier than the official payment date for that particular pay period.

10.1   Pay Year/Periods. The pay year is either fiscal (July 1 through June 30) or academic (specific dates, provided annually by each campus which encompass the beginning and ending dates of the academic year). USNH pays employees on a bi-weekly basis.

10.1.1   Employees receive their pay the week after their pay period ending date and are paid for work performed through the pay period end date including any additional pay such as shift, overtime, etc.

10.2   Compensation Schedules. Employees shall normally be compensated during the payroll periods inclusive of their appointment beginning and ending dates.

10.2.1   Hourly employees are paid through a positive pay process, which means that payment is the direct result of the entry of hours worked into the payroll system.

10.2.2   Effective August 27, 2020, continuing status exempt staff who are either a flex year (percent time) employee or are employed on an academic year basis that have already elected to "spread/defer" their pay and receive their regular budgeted salary over 26 pay cycles may continue to do so. There shall be an annual process which allows such employees to change their compensation schedule; such changes must be made before the pay year begins. Once elected, that schedule cannot be altered by any circumstance, except leave without pay. In the case of leave without pay, there is no option to distribute or "spread" pay. The option to defer pay is not available to status exempt staff who are newly hired or are not currently electing this option.

10.3   Pay Advances. Except as provided below, in no instance shall an employee receive advanced compensation before the requisite amount of service has been rendered.

10.3.1   Exceptions. In exceptional situations, it is possible to pay a portion of a continuing employee's salary not to exceed the anticipated net pay before the requisite service has been rendered if the circumstances are known in advance and approved in writing by the appropriate supervisor, institutional official and USNH official.

10.4   Pay Deductions

10.4.1   Authority. Various types of payroll deductions and withholdings may occur during the pay year. The payroll office shall be responsible for interpretations and applications of required deductions. Federal and State statutes require the payment of certain taxes and these shall occur each pay period as appropriate.

10.4.2   Tuition Taxability. USNH is required by federal law to add the value of waived tuition to the employee's paycheck for federal taxation purposes if the employee, spouse, or dependent child is enrolled in a graduate program and is considered by the enrolling institution to be a matriculating graduate student.

10.4.3   Fellowship payments provided to "degree-candidates" are exempt from tax withholding only to the extent they are used for tuition and related instructional expenses, fees, books, supplies, and equipment. Amounts used for room, board, or other living expenses are subject to income tax. Non-degree candidates receive no income tax exemption. USNH is not responsible for reporting the compensation to recipients via either the Form 1099 or the Form W2; the recipient is responsible for reporting the income to IRS when filing the annual tax return. USNH is also not responsible for withholding any taxes from these payments if said payments are taxable; the recipient is responsible for making tax deposits directly to IRS. Payments made to non-resident aliens are reportable to IRS by USNH via Form 10425 and generally taxes must be withheld when the payment is made.

10.4.4   Prizes, gifts, and awards provided to employees by USNH must be paid through the USNH Payroll system and are taxable and reportable to the IRS. (See Procedure 08-008, Awards, Gifts, and Prizes, for specifics regarding payments and taxes.)

10.4.5   Non-cash fringe benefits provided to employees are taxable income and must be reported to IRS on the employee's Form W2. (See Procedure 08-008, Awards, Gifts, and Prizes, for specifics regarding payments and taxes.)

10.4.6   Court Mandated Withholdings. Required withholdings such as those mandated by a probation court, levies or garnishment of wages, etc. shall occur by court order and as specified by the terms of that order.

10.4.7   Overpayment. Payroll deductions for overpayments resulting from administrative error are governed by standards in NH RSA 275:48. An employee may write a check for the overpayment or agree to payroll deductions to recover the overpayment. Repayments made by payroll deductions require a voluntary, written repayment agreement from the employee and may not exceed 20% of the employee's gross pay for a pay period. The agreement must include: (1) the dates the deductions will begin and end, (2) the amount of the deduction as agreed upon by the employee and employer, and (3) an agreement as to whether the employer can take the remaining balance from the last check in cases of termination or retirement. The payroll deductions will begin one pay period after the date of the written agreement.

Due to the limitations in the amount that can be withheld on a per pay period basis, USNH’s requested, preferred method for collection of overpayments is full repayment via a single personal or cashier’s check. If full repayment cannot be made in one lump sum, a repayment plan may be established and can be requested by the employee through the USNH Payroll Office.

If repayment via payroll deduction is requested by the employee, USNH Payroll will review the repayment options and timeline with the employee. It is the responsibility of the campus Human Resources to update USNH Payroll Office of any change in the status of any employees with an existing overpayment collection agreement. This includes termination (voluntary or involuntary), leaves of absence, changes in compensation rate or the addition of secondary positions.

If any overpayment is not recovered in full through check or withholdings, USNH will pursue repayment through campus collection processes or the Court system.

10.4.8   Benefit deductions will occur as authorized by the employee's enrollment in the fringe benefit program and as defined by the plan year.

10.4.9   Optional Benefit and Activity Deductions. Additional payroll deductions for optional benefits and/or institutional-related programs (parking, cultural arts campaign, etc.) shall occur as designated by the specific program and/or employee's written authorization. In general, the amount of the deduction should be in whole dollar units.

10.4.10   Professional Organizations. Dues deductions for professional organizations are governed by the Administrative Board or by labor contract agreement, and are currently defined by contract or else during a four-pay cycle during October and November each year. No new deductions may be added without formal approval.

10.4.11   Written Consent Deduction -- Workers' Compensation. An employee who is collecting wages from Workers' Compensation will not have certain payroll withholdings or payroll deductions occur until and unless they have provided written consent to do so.

10.4.12   Termination and Tuition Benefit. An employee who terminates during a semester in which the educational benefit is being used shall be eligible for a pro-rated portion of the benefit. The employee will be expected to pay for the pro-rated course value granted to self, spouse, or dependent child for the remaining portion of the semester.

10.5   Pay Effective Dates. The effective date for all increases/decreases shall normally be the calendar day on which the personnel transaction occurs as defined by policy or as specifically authorized by compensation guidelines.

10.6   Deceased Employee. Upon the death of an employee, the payment of wages for service rendered shall be made based on provisions of relevant federal and/or state statute(s). In addition, a sum equal to the number of days of accrued annual leave (Vacation or Earned Time) will be paid, using the same provisions as prescribed by termination of employment.

10.7   Honorarium Pay. Honorariums, when paid to employees, are processed through the payroll system and not as an accounts payable transaction. (See Procedure 08-008, Awards, Gifts, and Prizes, for specifics regarding payments and taxes.)

11.   Total Compensation for Executive Officers.

11.1   BOT policy, BOT V.F.2.4, delegates to the Administrative Board the authority to adopt a policy on total compensation for Executive Officers (EOs) other than the Chief Academic Officers (CAOs), and the highest ranking financial or administrative officer at each of the institutions. For those positions see BOT V.F.2.4. The authority to set compensation in accord with the Administrative Board's policy is delegated to each Chief Executive Officer, subject to compliance with the process set forth in subsections BOT V.F.2.5 through BOT V.F.2.8.

11.2   Each USNH institution shall develop a policy on total compensation for EOs that reflects the needs of that institution and submit it to the Administrative Board for information only. The institutional policy shall conform to the requirements of the Board's policy cited in the preceding section as well as this policy.

11.3   Institutional EO compensation policies should reflect financial prudence as well as marketplace realities. One of the main goals of a compensation policy should be to attract, reward and retain an effective senior leadership team.

11.4   Institutional EO compensation policies should also reflect USNH's Total Rewards philosophy, with some portion of an EO's total compensation "pay at risk"-- construed as merit-based pay and/or bonus pay. This reflects a second main goal of an EO's compensation policy: to provide incentives for very high levels of performance.

11.5   It is responsibility of the institution's CEO to apply the institution’s policy. A CEO's decision under the approved policy will be shared with members of the Administrative Board for information only.