Ken Ruth asks questions of Gary Russell re: Compensation for STRS associates

Dear Ken,

The average salary for the higher-level non-investment staff after the adjustments is $88,369. For investment staff, the average salary is $117,907. There were 155 associates out of a staff of 614 whose salary was adjusted to meet the market. I also need to clarify the statement in my previous e-mail regarding the market position for staff. My reference to the 62.5th percentile is relative to the non-investment staff. The benchmark for the investment staff is for their total compensation to be at the 25th percentile of the private market.

Sincerely,
Gary Russell
Director, Member Services

______

From Ken Ruth, June 14, 2006
To: ContactUs

Subject: Re: ASSOCIATE COMPENSATION

Thank you but

"What IS the average salary and benefits being paid to employees in total compensation for investment and higher level non-investment positions ?"

______

Dear Ken,

The Retirement Board set a standard of midway between the 50th and 75th percentile as what they felt was competitive in Columbus, Ohio. Adjustments were then made for some staff to bring their annual compensation to the 62.5th percentile for comparable positions in this market. So in other words, for a particular position, approximately 38% of the job market for that position pays more than STRS Ohio and 62% of the market pays less.

I hope this helps,

Gary Russell
Director, Member Services
STRS Ohio

______

From: Ken Ruth, Monday, June 12, 2006
To: ContactUs

Subject: ASSOCIATE COMPENSATION

We keep hearing that "The study showed that the total compensation for investment and higher level non-investment positions was not competitive, falling below market rates for similar positions." pg. 5 , June 2006, vol. 32, no 4.

Perhaps a better explanation would help our understanding.

What is the average salary and benefits being paid to employees in these positions by STRS ?

What is competitive for Columbus, Ohio?