Compensation Changes

Changes to an employee's compensation are typically given inside the regular budget cycle on 09/01 via the regular merit process. However, there are several additional ways that an employee’s compensation may be changed. Changes to an employee's job that entails changing the employee's title and salary are another common form of compensation change. Below are some additional opportunities in which an employee may be given a change in compensation without changing the employee's actual job. 


  • All compensation changes must be submitted through the appropriate administrative channels for approval prior to the request being entered into Workday. Human Resources can not make compensation changes solei at the request of an employee. Employees wishing to inquire about potential compensation changes should consult with their immediate supervisor.  
  • Supervisors must work with their designated Human Resources Hub to obtain all necessary approvals. Classification and Compensation can not approve compensation changes until all necessary approvals have been obtained.  
  • The change associated with the increase may be effective no earlier than the beginning of the pay period in which it is approved by all administrative parties.  Retroactive pay increases are not allowed. Article III, Section 53 of the Texas Constitution prohibits the payment of retroactive increases to State employees.  
  • The Human Resources Hub professional will submit the request and will inform the supervisor once it has been approved.   

Need to change an employee's compensation? Reach out to your Human Resources Hub support to get started! 

Counter Offers

A counteroffer is the response given to an offer, meaning the original offer was rejected and replaced with another one. Counteroffers should be used only when an employee possesses unique knowledge, skills and abilities, that cannot easily be replaced and are approved on a case-by-case basis. For details, refer to the 31.01.01.M7.01 Salary Increases not Awarded Through the Budget Cycle SAP.

Equity Increases/Other Salary Adjustments

An equity survey is a survey performed by Classification and Compensation to address salary discrepancies between two or more employees within the same job profile within the same supervisory org/sub org. Classification and Compensation will conduct a pay compression review which will consist of the following:       

  • Job content (to ensure that employees are, in fact, doing similar work)      
  • Time in current position      
  • The initial position hiring rates of all employees being reviewed.   
  • Merit history    
  • Other compensation changes during the period of review.     

During this survey, Classification and Compensation will not look at all employees in this title across campus. They will look at employees in that career path under the supervisory organization for compression concerns.

If an equity issue has been identified, Classification and Compensation will notify the Human Resources Hub professional and supervisor so a memo can be routed. For details, refer to the 31.01.01.M7.01 Salary Increases not Awarded Through the Budget Cycle SAP.

An other salary adjustment is an increase to the employees base pay due to an external pressure in high demand areas and other forces which may be beyond the control of the university departments. In rare cases, other salary adjustments may be proposed for significant expansion of work, supervisory span of control or reorganizations, when a classification/job title change is not otherwise appropriate. For details, refer to the 31.01.01.M7  Employee Compensation Administration Rule.


Hiring Salary Adjustments

A hiring salary adjustment is an increase that may be given within six (6) months after the end of six (6) months service for newly hired, internally promoted, or reclassified employees who have specific skills and experience above the minimum qualifications required for their position. For details, refer to the 31.01.01.M7.04 Hiring Salary Adjustments SAP.   

This increase is not based on performance, but rather specific skills and experience that an employee possess that are traditionally not present in other employees classified in the same title, nor known of at the time of hiring. A hiring salary adjustment must be given within one year of the employee being hired, internally promoted or reclassified, but may not be given before six months has elapsed since the date of their latest job change.  

Job-Related Skill Enhancement Pay

A job-related skill enhancement pay increase is an increase that may be given within six (6) months to recognize and reward staff employees who take the initiative through their own efforts to increase their job worth and significantly enhance their value to their organization by obtaining a degree, certificate, license, or other evidence of completion of a prescribed program. For details, refer to the 31.01.01.M7.05 Job-Related Skill Enhancement Pay SAP.   

This type of increase is not an entitlement and may only be given once during a twelve (12) month period.

Merit Salary Increases

A merit salary increase is granted to an individual in recognition of meritorious job performance, as recorded in a formal and documented performance appraisal process (See System Regulation 33.99.03, Performance Evaluations for Nonfaculty Employees). The annual performance evaluation is required and a factor along with other criteria established by each member for any decision concerning the award of a merit increase.  Merit increases are governed by System Regulation 31.01.08, Merit Salary Increases. For details, refer to the 31.01.08.M1 Merit Salary Increases Rule. 

  • Outside Budget Cycle - occurs when the merit increase is effective outside of the annual merit cycle, 09/01.   
  • Regular Budget Cycle - occurs when the merit increase is effective on the annual merit cycle, 09/01.   

This may be granted as either a merit raise that is added to the employee’s base salary, or as a one-time merit payment that is not added to the employee’s base salary.

Temporary Salary Increase

A temporary salary increase is an increase that on occasion, may be given to employees who take on a temporary assignment for positions vital to an organization that must be filled on a temporary basis involving additional workload or responsibility. For details, refer to the 31.01.01.M7.06 Temporary Salary Increases SAP.   

This may require an employee to be placed in an acting or interim status or require the employee to assume significant additional responsibilities for an extended period of time. Once the assignment is complete, the salary will be reduced by a like amount.