5.2. ERMUSR 06-10-2008 - Laserfiche WebLink

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Method Used for Pay Line Calculation in the Statistical Analysis The following explanation is a general description of how predicted pay is calculated but does not include all details of the formula in Minnesota Rules Chapter 3920. Basis of the Statistical Analysis A. The definition in the Local Government Pay Equity Act for equitable compensation relationship says "...compensation for female- dominated classes is not consistently below the compensation for male-dominated classes of comparable value..." B. The formula for the statistical analysis is based on three concepts found in the above definition: comparable value, male compensation and consistently below. Except for classes in the lower and upper ] 0% of the point range, comparable value is defined by drawing a 20% window around the job class being analyzed. Each window extends ] 0% of the range of points on each side of the class. In the example, there is a range of 200 points from lowest to highest, so 10% would be 20 points. Each window must have at least three male classes (two of which have different points) and must include at least 20% of all male classes in the jurisdc tion. If this criteria is not met, the window will expand at 5% increments on either side until the required number of male classes are included. The drawing below shows one window for one class. ...........................Q...... ~.................. a. + T ~-~o~. lo'b ~ ---~ - 2rN .-~ --...... t ..---•-•-~--------- •-~-~---... I ~ I ~, ~ l class being analyzed N~ --........ -1 O I I 1 ~ I 1500 ~ 00 120 140 160 180 200 220 240 260 280 300 Points * Male Jobs o Fem Jobs 1. Defining "Comparable Value" Guide to Understanding Pay Equity Compliance and Computer Reports - 10/01 Page 14