Compensation and Development Guidelines
Last revised: May 1, 2021
Policies on benefits, training and leave
Policies on pay and performance issues
Grievance resolution process
Living Wage
We are proud to be part of the Living Wage movement. It’s an important step toward alleviating poverty and income inequality.
We have always believed in business as a force for good; recently became a B Corp to prove it, and to measure how well we live out our values. Fair pay has always been important to us. We have been graded on how our pay stacked up to the living wage, as well as the wage gap between our “executive” and “non-executive” employees, and we had to prove it with documentation. Among all of the areas of our business that we measured in the assessment, our second highest score was in the compensation, benefits, & training section.
We are in a competitive market for the talent we need to do our best work, and salary (including hourly wage) is a huge factor. We have engaged in research to ensure our salaries are competitive across all job descriptions. Where that research suggested we pay certain positions within our organization below a living wage, we instead made decisions that aligned with our values as a B Corp. We honour that every person contributes to the overall success of the team.
As a Living Wage employer — and a Living Wage city — we send a message to the people that we have here today, and to the kind of talent that companies like [Company] want to attract: that progress and people matter here.
The methodology used to guide the research for a Living Wage in London, Ontario was based on the Canadian Living Wage Framework; the calculations themselves were made using the Canadian Centre for Policy Alternatives’ (CCPA) 2014 Living Wage Calculator. A wide range of factors that impact the costs facing wage earners and their families, were considered for the calculation, including:
housing and utilities;
nutritious food;
clothing and footwear;
transportation;
child care and school-associated fees;
leisure time, including sports fees, entertainment and outings;
health, dental and vision care;
and, other personal costs.
Once they reviewed the data, researchers were able to determine that the Living Wage for London, Ontario is $16.20 per hour.
Profit Sharing
Profit sharing is available to employees who are full- or part-time employees for the fiscal year in question (ending December 31) and remain full- or part-time employees at the time of the the profit sharing calculation.
The calculation is as follows:
Employee salary for fiscal year/Total salaries for fiscal year = Employee bonus for fiscal year/Total bonus for fiscal year
Total profit sharing allotment is based off of 20% of operational profit for fiscal year
A bonus is taxed at the marginal tax rate. When profit sharing information is available, the bonus value shared with the employee the gross amount (i.e., the net will be less after tax).
The profit sharing amount will be recorded and paid out before the July 1st pay in the fiscal year following the fiscal year for which profit sharing is provided.
Professional Development
rTraction's Professional Development guidelines covers available expense amount, days available and the general process for requesting this benefit.
Requesting PD Time Off
All requests for time off must follow the standard procedure outlined in rTraction's Time Off Process.
In order to help with this process please fill out the PD Request form, which will outline all pertinent details about the event, course or activity you wish to attend, and include a brief summary of the benefit to both you and/or rTraction.
Once the request has been submitted, you will be notified within a reasonable time if the request has been approved. Once the approval has been accepted, rTraction will help with any organization as required.
Expenses
All expenses must be logged on an official rTraction Expense Report. Only expenses with a receipt will be reimbursed and all expenses must be approved by your supervisor.
Expense Guidelines
Alcohol/Entertainment expenses are generally NOT allowable.
The only expenses that will be allowed in this case are those incurred with a Client/Vendor participating.
Meals are capped according to federal guidelines for the fiscal year in which the PD Expense is incurred.
In each budget year, rTraction will determine the maximum allowance for PD Expenses which includes the event, lodging and meals.
Any amount over the allowance will be the responsibility of the employee unless additional expense is approved.
Outcomes
Upon return to work, all participants of the event, course, or activity will be requested to submit a detailed report on any takeaways from their experience. The report must be constructed to be a learning tool. We encourage employees to share what they learned from the PD experience in the form of lunch and learn or other collaborative team building event.
Phone Allowance
rTraction offers options for employees who wish to have access to the phone allowance benefit. As a default, the phone allowance is available to employees whose roles require:
Direct interaction with customers and vendors, potentially outside of business hours.
Work away from the office, such that communication on the road may be a necessity.
The phone allowance may also be negotiated by employees who wish to benefit if desired. For those who benefit from the phone allowance, that benefit is included in the total compensation breakdown and assumes that:
The employee is available within reasonable time guidelines should their expertise or support be required by colleagues, clients, or vendors, including:
Urgent client issues
Timeline-driven colleague requests
Workplace emergencies, such as health and safety or office security incidents
The employee uses any phones that are supplied by the company according to rTraction's Work Equipment Use policy.
If the above expectations are not representative of an employee’s relationship with work-life balance, the phone allowance program is not mandatory.
Options for the phone allowance are as follows:
Company Plan: rTraction currently holds a contract for multiple phones and monthly plans. Administration of this plan is such that changing the number of devices and members can generate additional costs, so rTraction will conduct an annual review of availability (and decisions regarding any changes to numbers).
Billing Allowance: Recognizing that some employees may switch to their own personal plan, they can be reimbursed for up to $70/month in cell phone expenses.
Approved by:
__________________________ ____________
[Signing Officer] Date
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