PowerPoint Presentation - UBC Insiders by yurtgc548


									AMS Executive Compensation
•   Background
•   Why an increase was adopted
•   Why this increase
•   Why a Performance Accountability Restriction
•   Conclusion

 • Council looked at pay changes just prior to
   council turnover
All other student government employees received
large increases (minimum wage and cascading
 • Motion on Exec pay was deferred – people felt it
   was being rushed – sent to LPC for more study
 • Code has been suspended to allow executives
   not to be left behind
      Why an Increase is Needed

• Executives were lowest paid in over 12 years
  (adjusting for inflation and hours)
• Executives previously made $12.02/hr – less
  than tier 3 employees (tentatively including all
  service coordinators)
• Executives have highest level of responsibility in
  the entire organization
  Why an Increase is Badly Needed
 • Executives cannot live off student loans
 • Low Income Cutoff is $22,229
(executives are currently only slightly above the
poverty line)
 • Low income statistics are for any cities above
   500,000 people and assume the same cost of
   o   This doesn’t fully account for Vancouver’s higher cost
       of living
    How much is recommended?
• Increase salary from $25,000 to $27,500
• LPC found that $32,500 was the proper amount
  for Executive compensation
• However, LPC noted a lack accountability
  mechanisms for executives, and decided to
  make part of this salary accountability-based
• LPC recommended $5,000 Performance
  Accountability Restriction (PAR)
• PAR can be awarded in part or in full
            Why This Amount
• Averaging salaries from somewhat comparable
  student unions with full time executives
   Though the AMS is the most complex student society
   in Canada, we opted for a conservative estimate.
• Compensate for the high cost of living in
  Vancouver (cost of living adjustment)
• Yielded a recommended salary of $32,418
• LPC rounded this to $32,500
Comparable Student Unions
      and Salaries
Census Metropolitan Area
    Average Rents
            Historical Comparison
• Real wages, 2011 dollars (adjusting for hours
  and inflation)
  o   1999: $32,090 ($15.31/hr)
  o   2004: $32,160 ($15.29/hr)
  o   2009: $26,285.96 ($12.47/hr)

• Present day: $25,000 ($12.02/hr)
• Lowest in 12 years
     AMS: Lacking Accountability
• Methods to enforce accountability have been
  sorely lacking
• Need for these methods demonstrated
  repeatedly, especially in recent executives
• No other effective tool exists to keep execs in
• Will make council the boss of executives not just
  in theory, but in practice
          August 31 Conclusion
• With equitable pay a conservative estimate
  should raise compensation to $32,500
• Restrictions to this pay allow council to keep the
  executive’s feet to the fire
• The only way to include the PAR is to give a
  general pay raise so that salaries are not
  effectively cut
• AMS has history as an illegally regressive
  employer – and a history of no executive
• Let's stop both legacies
       Subsequent Developments

• Poor communication and listening to students by
• Concerns have been raised
• Attention being taken away from other crucial
• Some changes have been made
• More student input needed

To top