Variable Salary Increases a. Effective 1st July 2014, Distribution will have an annual salary review process where a component of the salary increase is variable and linked to employee behaviours and performance during the financial year. The first year of variable salary increases will relate to performance during the financial year 1st July 2013 – 30th June 2014.
b. Distribution will reward an employee with a variable salary increase according to whether they meet the prescribed Distribution Behaviours and whether an employee achieves the goals in the annual Performance Plan.
c. To participate in the annual salary review process, an employee must firstly achieve an average score of ‘3’ for the Distribution Behaviours. (see clause 14.6.1)
d. The variable salary increases are directly linked to an employee’s performance.
e. Performance objectives will be detailed in an employee’s Performance Plan at the beginning of each financial year and a formal review will occur at or about six (6) months thereafter. Informal discussions will however occur throughout the year. The final review will occur once the financial year has come to a close.
f. To reduce subjectivity in the salary review process, Distribution will undergo a ‘Moderation Process’ (see clause 14.6.4).
g. If an employee believes they are being treated unfairly or their scores are inaccurate, they have a right to appeal in accordance with the Dispute Resolution process of this Agreement (see clause 25).
h. Employees who have been working for less than 3 months at the time of the annual salary review process will not be eligible for a variable salary increase effective 1st July of the respective year as they would not have completed at least 2 Stages of the Performance Plan cycle. Instead, they will be eligible for reassessment as per clause 14.6.3.
