Board Makes Changes to Executive Compensation Packages
Among several changes, the board modified and reduced the level of vacation time for executive staff.
The full board of trustees adopted these changes at its Dec. 6 meeting. Trustee Daughney submitted these comments as chair of the committee:
In summary, we eliminated the accrual of termination pay going forward. Whatever has been earned will remain, but there will no longer be any future accruals. We have eliminated cash payment for vacation days not used. Similar to policies in the private sector, vacation days not used will have limited carryover and if not utilized, will be forfeited. We have also modified and reduced the level of vacation time.
As background, the Committee met several times and had numerous discussions on this topic. It was the view of the Committee members that these changes are necessary for several reasons. In no order of importance, we believe that what may have been the historical reasons for certain perks or benefits no longer exist given the current rate of pay and salary and other benefits. We further believe that these changes represent areas of compensation in the public sector that we, as employers, need to try to change throughout the public sector.
We also believe that our executive staff has a role and function similar to those in the private sector of senior management, and by recommending these changes we believe we are adopting changes that are reflective of benefits in the private sector.
The Committee members want to stress that we are, of course, listening to the taxpayers of our village who have voiced loudly that public sector compensation must be addressed and modified when appropriate. I believe the board as a whole is also listening, and this is reflected by the unanimous vote in favor of the changes.
Submitted by trustee Brian Daughney on behalf of the Committee on Executive Compensation and Succession