Current salary policy for South Dakota state employees

Added December 5th, 2014 by

Salary Increase HistoryGovernor Daugaard announced in his FY16 budget he plans to propose changes in the state employee compensation plan.

“As a result of the market analysis developed by the Total Compensation Work Group, the Governor is recommending moving all permanent employees under his control that are not currently in career bands from the Performance and Compensation Equity (PACE) system established in FY1990 into a new market-based General Pay Structure.”

We will have to wait until session to see the details – but now is a good time for a refresher on the current policy that could be scrapped.


Statewide salary increases

In 20 of the past 24 years all state employees have received annual salary increases ranging from 2% to 4%, averaging 2.51% for the 24 year period.  The FY16 increase proposal is 2%.

State employee salary schedules are adjusted upward to reflect this increase ensuring ongoing competitiveness of the system.  See Salary Increase History from SD State Government Work Force Fact Sheet Fall 2013 for historical increases.


Movement toward job worth provides a % salary increase to bring employee pay to job worth within 7 years.  See Bureau of Human Resources Illustration of PACE – Moving Through the Range.

Career Band Employees

Since FY13, additional raises ranging from 0-7% have been available for high demand employee categories—Accounting, nursing, engineering, environmental science and Information technology (8.5% of employees).

Targeted Compensation Adjustments

The FY15 budget included a $0.50 per hour adjustment for hard-to-fill vocational jobs.


Be Sociable, Share!

Leave a Reply