Productivity Board.
The Productivity Board (Board), also referred to as the Employee Involvement and Recognition Board, administers the Statewide Employee Suggestion Program and adopts rules allowing for agency-specific suggestion programs. Rules governing the statewide program establish a payment award schedule that includes criteria for determining the amounts of any financial or other awards. Administrative costs of the Board are appropriated by the Legislature from the personnel service fund.
Members of the Board include the Secretary of State (Secretary), who acts as the chair, the Director of the Office of Financial Management (OFM), the Director of the Department of Enterprise Services, one person appointed by the Secretary to represent higher education employees, two persons appointed by the Secretary to represent state agencies and their employees, and three individuals experienced in administering incentive programs. These latter three individuals are appointed, one each, by the Lieutenant Governor, the Secretary, and the Speaker of the House of Representatives. The Secretary's appointee must be a representative of an employee organization certified as an exclusive representative of at least one bargaining unit of classified employees.
Operations of the Board have been suspended by the Legislature in its operating budget in each biennium since 2011.
Statewide Employee Suggestion Program.
The Employee Suggestion Program allows the Board, or the Board's designee, to make cash awards for suggestions generating net savings to the state. A cash award may not exceed $10,000. Awards are made from the agency's appropriation.
Employee Teamwork Incentive Program.
The Employee Teamwork Incentive Program applications are submitted to the Board from organizational units of agency employees, other than in the judicial or legislative branches, with the approval of the heads of the agency or agencies within which the team is located. Proposals are selected by the Board under this program if they lower costs or increase revenues, without decreasing the level of services that are rendered, and include performance indicators that lend themselves to a judgement of success or failure. An agency head may recommend an award amount, but the Board makes the final determination whether an award will be made. Awards are based upon the payment award scale adopted by the Board.
Recognition Awards.
A state agency may give recognition awards to its employees for outstanding achievements or public service, safety performance, longevity, or service as an employee suggestion evaluator. A recognition award may not exceed $200 in value and may consist of cash or items such as as pen and desk sets, plaques, pins, framed certificates, clocks, and calculators. Recognition award costs are paid by the agency presenting the awards. The OFM is required to report annually to the Governor and the Legislature on the award of performance-based incentives and bonuses. The most recent report, submitted in December 2020, indicated that $167,268 was awarded in cash recognition awards to employees.
Language suspending the operations of the Productivity Board (Board) is deleted. The Board is now staffed by the OFM. The chair position is transferred from the Secretary to the Director of the OFM. The three Board appointees selected by the Secretary are now selected by the Governor. All appointments must be made by July 31, 2021.
The board must prepare a topical list of all the productivity awards granted. The list must be sent to the Legislature and all state government agencies that may be able to adapt them to their procedures.
The award amounts for the Statewide Employee Suggestion Program are limited to 10 percent of the actual net savings or revenue generated, if less than the current limit of $10,000. The award amounts for the Employee Teamwork Incentive Program are limited to 25 percent of the actual net savings or revenue generated to be shared by the team in a manner approved by the agency head, not to exceed $10,000 per team member.