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Policy Number: 2.6007
Title: Exemplary Performance Bonus
Effective: 03/01/2010
Senate Proposal: No
Responsible University Officer: Vice President for Administration
Responsible Office: Human Resources

Policy Statement  |  Reason  |  Requirements  |  Related Information  |  Exclusions
Contacts  |  Definitions  |  Responsibilities  |  Procedures  |  Forms & Instructions  |  Appendices  |  History

Policy Statement

An exemplary performance bonus is a monetary recognition awarded to eligible employees for performance substantially beyond the expectations of the position.


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Policy Requirements

Exemplary performance bonus requests require:

Bonus payments are taxable at the time of payment.

Bonus payments can not be made from sponsored funds.

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Reason for Policy

Established to provide an incentive for and means of rewarding exemplary performance of faculty and staff. The bonus policy supports the University's Strategic Plan, Goal 1: 1.1, which states the University will "provide competitive compensation, recognize and reward successful faculty and staff."

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Related Policy Information

Monetary recognition is not added to institutional base salary (IBS).

Exemplary performance may include a team effort.

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Exclusions

Represented employees, fixed term, and temporary employees are not eligible to receive exemplary performance bonuses.

The exemplary performance bonus is not to be used as recognition of either lifetime achievement or years of service.

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Contacts

Office/Unit Name Telephone Number
Human Resources 487-2280
http://www.admin.mtu.edu/hro/
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Definitions

Eligible Employee - Regular full- and/or part-time non-represented employees.

Exemplary performance:
Faculty: substantially above and beyond documented expectations of faculty's position such as:

Staff: overall performance is rated at the "proficient" level or better; and one or more of the following is true:

Institutional Base Salary (IBS) - Annual compensation paid by the University for an employee's appointment, whether that individual's time is spent on research, instruction, administration or service. IBS does not include additional, bonus, or faculty summer compensation. IBS also excludes any income that an individual is permitted to earn outside of duties for the University.

Intra-university Consulting - Consulting which occurs between two separate and distinct departments within the University. For purposes of this policy, research centers which are functioning units within a school or college are not separate and distinct departments.

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Responsibilities

Department Chair/Director, Dean and Vice President(s) (as applicable) - Reviews the request and signs the Bonus Request Form indicating approval.

Eligible Employee's Primary Department - Completes the Bonus Request Form, ensures appropriate approvals (of at least two signatures) on the request form, and ensures written justification is included with the form.

Human Resources - Receives the completed form and reviews for accuracy and appropriate signatures, obtains provost/vice president signatures as applicable, and processes request for payment.

Supervisor of Eligible Employee - Provides documentation of the employee's performance as being of at least "proficient" level and the exemplary performance initiating the bonus request.

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Procedures

In support of this policy, the following procedures are included:

Procedure
2.6007.1 Exemplary Performance Bonus Request
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Forms and Instructions

In support of this policy, the following forms/instructions are included:

Forms
Bonus Request Form
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Appendices

Other Awards Available at Michigan Tech:
Fred Williams Innovative Teaching Award
Distinguished Teaching Award: nsseely@mtu.edu
Clair M. Donovan Award: The Blue Key Office, 106 Memorial Union Building.
Faculty Distinguished Research Award
Faculty Distinguished Service Award
Michigan Tech Research Award
Making a Difference Award
Faculty Handbook
Account Code Listings Report
OMB Circular A-21
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History

08/10/2009 Reviewed by Executive Team.
Adopted: 02/23/2010 Approved by VP for Administration.
Revised: 06/22/2010 Removed the word "Hourly" from the Exclusions.
05/08/2012 To reflect current University titles and practice, MTU is now Michigan Tech and the email address for questions is now hbwebmaster.
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Policy Statement  |  Requirements  |  Reason  |  Related Information  |  Exclusions
Contacts  |  Definitions  |  Responsibilities  |  Procedures  |  Forms & Instructions  |  Appendices  |  History