Propose a fair, reasonable yet simple salary and benefit structure, based on common non-profit industry standards, that is easily understandable and can be communicated to staff.
- Fair: must be based on a description of the work to be performed
- Equitable: must adhere to Labour Code, and must ensure all applicable deductions, mandatory benefits, etc are factored in
- Affordable: must ensure salaries and benefits do not adversely affect the running of the organization
- Simple: Given the size of the organization, we must balance the ability to recruit quality staff, while implementing a benefit package that is reasonable.
Types of employees
- Have great responsibility in decisions around the business of the National organization.
- With the exception of the Executive Director/President, normally, responsible for a particular aspect of the organization (fundraising, Public Relations, Communications, IT, etc)
- Is accountable for performance and results
- Is employed with the organization based on a particular expertise, such as communications/media relations, finance, policy, etc)
- Responsible for day-to-day activities that keep the organization operating smoothly
- Activities include (but not limited to): answering phones, preparing mail-outs, setting up logistics for various events, setting up meetings, answering emails, following up with the public.
Note: CJPME’s current employee complement currently shares many of the above tasks. With a small staff, it is understandable that many of the tasks outlined above are performed by all types of employees. CJPME also counts on its volunteer base to perform certain professional and administrative tasks, usually at a local (geographical) level.
Basic Salary Structure
CJPME has established a four-level salary scale. This model is based on the average salaries found in the Charity Village 2021 Salary Survey Report, and is supported by other studies as well. It also considers the size of the organization, as well as the type of work performed. The model is simple, straightforward, and is frequently revisited, as CJPME’s annual revenues and/or employee base grow. At 5 employees, CJPME is to be considered “very small,” and therefore, its salaries are considered competitive. Within the scale, there is for allowance for growth and “cost-of-living” increases, as well as “entry-level” salaries. For a better understanding of how the levels were established, please see Appendix A.
Level 1 – President: $70K-90K
Level 2 – “Vice President” or other executive level: $50K-75K
Level 3 – Program Lead or Coordinator: $30K-50K
Level 4 – Support Staff: $20K-40K
This represents the hourly equivalent to base compensation. This rate can be used to calculate benchmark compensation for part-time positions. Where annual values were provided, hourly rates were calculated using the standard hours upon which the annual rate is based over a 52-week year (assuming 10 statutory holidays). The hourly rate does not include any bonus or incentive pay (from Charity Village definition). Should CJPME need to hire contract staff, it should use the below as a guide in determining what it will pay, based on the type of work to be performed (level definitions in Appendix A). There is no rate at level 1, as it is assumed work at that level will not be contracted.
Level 2 hourly rate - $25-$35 per hour
Level 3 hourly rate – minimum way to $25 per hour
Level 4 hourly rate – minimum wage to $20 per hour
Performance-based incentive plan
CJPME does not currently have a performance-based incentive plan. CJPME believes, however, that the work of its entire staff should be assessed against measurable objectives. This will enable CJPME to consider moving towards some form of pay for performance, as it grows its revenues and employee complement. This may not be employed for all employees, but might be considered at the executive level (levels 1 and 2)
As a not-for-profit organization, CJPME counts on its staff to achieve its objectives within the regular hours of work. It also counts on many volunteers for specific activities. It is common for paid staff to also contribute volunteer hours to the organization.
As a policy, CJPME does not pay overtime. Should an employee feel he or she has accumulated significant time completing tasks that have been assigned to him or her as part of his or her objectives, beyond what would be considered regular working hours, the employee’s supervisor should feel free to award the employee some time off. As CJPME continues to raise revenues and expand its employee complement, it may review this policy.
Cost-of-living increases and raises
Employees should have goals and objectives set on a yearly basis, and discussions should be had regularly to ensure these are progressing or have been met. This should be kept simple, but it should also be clear what the employee is being compensated for, and what the employee does on his/her own time as a volunteer.
Through the 2010s, CJPME provided a minimum 2% yearly pay increase for its staff. This was in line with the not-for-profit industry average (high-end).
In 2022, with the changing economic situation and the reality of inflation, annual pay increase benchmarks will be revisited on an annual basis. The President is responsible for balancing this increase with the financial health of the organization. Typically, the President will discuss this with the Board of Directors, before proceeding to implement the cost-of-living increase. These pay increases is tied to the employee’s anniversary with CJPME.
Raises beyond of the standard cost-of-living increase are decided on a case-by-case basis. Increases in such cases should be based on an agreed performance-based incentive plan.
Levels 1 and 2 – 3 weeks plus statutory holidays plus week between Christmas and New Year’s Day
Levels 3 and 4 – 2 weeks plus statutory holidays plus week between Christmas and New Year’s Day
Currently, CJPME covers employee expenses such as gas/mileage, travel and accommodations.
Health: Currently, CJPME does not offer any benefits for Health. Appendix B offers examples that CJPME can consider down the road.
CJPME does not currently offer any retirement benefits.
Education and training
CJPME believes in the development of its employees. As such, it sets aside 1.5% of its budget to this end, for staff to attend conferences, training or workshops related to the work of CJPME, or that would benefit the organization for the employee to enhance his or her competencies in a particular area. Many of CJPME’s events and activities are educational in nature, and therefore, employees already benefit by attending these. However, it is important that CJPME supports its employees in this regard, both for the organization, and for the employee’s career development.
The President will determine how this budget is allocated, and will do so in an equitable manner, based primarily on the organization’s business needs. CJPME will also take advantage of learning opportunities that are cost-efficient where possible (i.e. participating in conferences as exhibitors and receiving free or subsidized entry as participants).
Appendix A: Level Descriptions (as per Charity Village definitions)
Level 1: Chief Executive
Common Job Titles: Executive Director, CEO, and President. This position is typically held by the most senior staff person in the organization. It is usually held by one individual who is broadly responsible for overseeing the entire operation of the organization. This position usually reports to a board of directors.
Level 2: Senior Executives
Common Job Titles: Senior Vice President, Vice President, Chief Operating Officer, Chief Financial Officer, Chief Media Officer, and Manager of Operations. This position is usually held by one individual who fills a “second-tier” role in the organization. The role typically involves supporting the Chief Executive in most areas. This person should be able to step into the position of Chief Executive, either permanently or temporarily, should that person need to be replaced. This position usually reports directly to the Chief Executive; however, in some cases there may be some level of reporting relationship from this position to the board of directors.
Level 3: Senior Management
Common Job Titles: Functional Vice President (e.g., VP Marketing, VP Finance, etc.), Senior Manager, Director Employees in this area are usually responsible for overseeing a specific area within the organization and ensuring strategic goals within this area are met. The area can either be functional (marketing, fundraising, government relations, etc.) or divisional (disaster relief, education, youth services, etc.). These individuals report to the senior executive and/or directly to the Chief Executive. Depending on factors such as the size of the organization and the complexity of their role, they may or may not have employees reporting to them.
Level 4: Management/Supervisory Staff
Common Job Titles: Manager, Team Leader, Senior Media Analyst, Supervisor Individuals in this type of position may be responsible for a specific area within an organizational function or division. For example, they may be responsible for major gifts within the fundraising arm of the organization, social media within the marketing department, or first aid training within the disaster relief division. These individuals typically report to a senior manager. In cases where senior managers do not exist, they would report directly to the senior executive or Chief Executive. Depending on the size of the organization and complexity of their role, they may or may not have individuals reporting to them.
Level 5: Functional & Program Staff
Common Job Titles: Coordinator, Media Analyst, Program Administrator or other front-line service delivery positions. Individuals in these positions typically report to a supervisor or manager and do not usually have employees reporting to them. These are the positions that often carry out the real “work” of the organization, either in a functional capacity (e.g. accountant, social media coordinator, fundraiser) or are front-line employees who carry out the programs and services offered by the organization (e.g., counsellors, relief workers, instructors, or other front-line service delivery staff).
Level 6: Support Staff
Common Job Titles: Receptionist, Administrative Assistant, DataEntry, Warehouse Worker, Driver, Caretaker. Employees at this level likely report to a supervisor or manager. Individuals in this category do not usually have employees reporting to them. They provide support to ensure the smooth operation of the organization and its service delivery.
Appendix B: Health Benefits Defined
For the purpose of this report, health benefits have been categorized into four tiers, as follows:
- Core benefits: These are benefits that are provided to virtually all employees in the organizations that offer benefits. They include dental plans, prescription drug plans, extended health care/major medical insurance, benefit coverage for family & dependents, life insurance/accidental death & dismemberment insurance, and alternative care (e.g., chiropractic care, massage therapy, naturopathic care, and acupuncture).
- Secondary benefits: While not offered to all, these benefits are provided by a majority of organizations. They include vision care, accident insurance for work-related travel, and employee assistance programs.
- Tertiary benefits: Roughly half of the organizations surveyed by Charity Village provide tertiary benefits that include short and long-term disability insurance. It should be noted that disability premiums are often paid by the employee because there are tax implications when they are paid by the employer.
- Niche benefits: These are benefits that are offered only by a handful of organizations. For the purpose of the Charity Village study, the only benefit that falls in this category is survivor income.