ANOTHER PROBLEM SOLVED: Questions about the aggregate pay system

When a Local 14 (Richardson) employee had questions about how the aggregate pay system worked for the New Year, staff rep Donna Driediger assisted.

Driediger advised that when an employer has an aggregate pay system, the percentage increase that is listed in the contract does not necessarily mean that is what the individual employee will receive.

“Aggregate pay systems mean the total company payroll will be increased by a defined percentage. Employees are only able to concretely rely on the guaranteed minimum if they meet the goals set out for them in the performance review. These guaranteed minimums are NOT the aggregate salary increase,” Driediger said. “This means that some employees who are solid performers who meet their goals will only receive the minimum while others may get a five percent wage increase. Essentially, the company is able to pay a minimum to some and then take the extra and disperse it however they choose.”

Aggregate pay systems are designed to keep employer control and to divide employees by having them compete with their fellow co-workers for their wages.

GSU believes all solid performers who meet their goals should be treated equally.

GSU staff representatives work with you to find answers to your questions, recommend what course of action is best to follow, and find the solutions that work for you. Contacting GSU does not mean you are obligated to file a grievance. We are here to assist you in any way that we can, but we will not contact your employer, file a grievance or act on your behalf without consultation, direction and approval from you.