State of California M E M O R A N D U M REFERENCE CODE: 98-052 DATE: October 13, 1998 TO: Personnel Officers Employee Relations Officers FROM: Department of Personnel Administration Classification and Compensation Division SUBJECT: Career Executive Assignment Red Circle Salary Rates CONTACT: Joe Broderick, Assistant Program Manager (916) 324-9397, CALNET 454-9397 FAX: (916) 327-1886 OFFICE VISION: DPA(JABRODER) INTERNET: JOEBRODERICK@DPA.CA.GOV The Department of Personnel Administration's (DPA) policy regarding red circle salary rates for Career Executive Assignments (CEA) has made a distinction between CEAs who have been at the level from which terminated for one year or more and those who have been at the level from which terminated for less than one year. The wording of this policy was changed when DPA established the new CEA band as one class with a grid of flat rates from "level" to "salary rate" from which termination occurs. Several departments have pointed out inequities that will occur from application of this policy. For example, it would preclude the inclusion of the 3 percent salary increase that is retroactive to July 1, 1998, in the determination of red circle rates for any CEAs terminated prior to June 30, 1999. DPA, therefore, is rescinding this policy and red circle salary rates for all CEAs should be determined by using the salary rates received at time of termination less 5 percent regardless of how long the CEAs have served at these termination salary rates. On Page 440.2 of the DPA Classification and Pay Guide, strike out Subsection 2.3 and write next to it, "Authorized by PML 98-052." The next revision to the guide will include this revision. Please contact the DPA Personnel Management Technician assigned to your department, if you have questions about this memorandum or other CEA red circle rate issues. Mike Vargas Program Manager