The University of Maine's seven-campus system led a labor-management committee in redefining a job classification and evaluation system for all hourly positions to achieve internal pay equity. The comprehensive change in compensation polity in a unionized environment was possible only by obtaining wide-scale union involvement. (MSE)

Reviews the process by which California State University implemented a new systemwide classification and compensation structure for information-technology professionals in 1996, and describes the compensation structure, union negotiations, and lessons learned. The new plan features more flexibility, room for growth in job classifications and…

The approach chosen to award pay for performance is not as important as the need to assess the organization's commitment to merit, the quality of the relationship with employees, and the ability to do a fair job. With careful implementation, merit pay systems can be mutually rewarding. (MSE)