To advance our “How AU Works” strategic priority, AU’s budget for July 2023-June 2024 (“FY24”) makes the next phase of compensation enhancements centered on investing in AU’s people, including measures that address external conditions and continue to recognize staff performance. 

Full-time staff represented by a union will receive salary increases in accordance with the terms of their collective bargaining agreement.

The information below is for staff who are not in a union. Several key investments will be made in FY24 that will support our workforce. These investments include:

• Provide a 3.5 percent compensation pool, from which across the board and performance increases will be provided, below.
• An across the board Increase: Effective July 1, 2023, eligible full-time faculty and staff will receive a 2.5 percent across the board increase to their base salary.
• Performance-based Compensation Increases: Effective in September and following the performance review process this summer, eligible full-time staff and faculty may receive annual compensation increases. Departments and units will be allocated a 1 percent performance compensation pool to distribute to reward strong performance. 
• Minimum Wage Increases: Effective July 1, 2023, the pay rates of eligible part-time staff will increase to reflect the DC minimum wage increase to $17.00 per hour. Eligible full-time staff will receive an increase to reflect increases in the pay band minimums if their pay falls below the new pay band zone one minimums. Full-time staff members earning less than $40,000 will be raised to this new minimum salary.

• Equity Increases:  In 2024, implement the second round of equity adjustments for full-time staff who earn less than $100,000 and have completed 5-9 years of service (1 percent adjustment), 10-14 years of service (2 percent), and 15 or more years of service (3 percent).   

What is an Across the Board Increase?

The across-the-board increase is a 2.5 percent increase that is intended to support our workforce during unique economic times. This is our second year of providing across-the-board increases. This will be provided to eligible full-time and part-time employees and is separate from a performance-based increase pool. The across the board increase will be applied to wages after increases to either the new DC minimum wage or the new pay band minimums.

Who is Eligible for the Across the Board Increase?

This across-the-board adjustment is available to:

• Full- and non-temporary part-time employees
• To be eligible, an employee must have been hired, promoted, or received a pay increase prior to May 1, 2023.
• Faculty and staff whose positions are funded through external sources may receive the increase to the extent permissible under the funding source.
• Faculty who hold 9-month term appointments and have been reappointed for Fall 2023 will receive the across the board increase effective September 1, 2023.

How do I know if I get a pay band increase?

AU’s staff compensation structure is designed to ensure similar compensation for similar positions across the university. Each full-time position is assigned to one of the pay band levels based on several factors, including the benchmarked market rate for the role, if available, or the relative value of the position to other similar jobs at the university. Staff whose annualized pay falls below the new band minimum for their position’s assigned band will receive an adjustment to the new band minimum. View a copy of the pay band structure that becomes effective July 1, 2023.

Please contact your unit-level HR representative or hrpayrollhelp@american.edu if you have questions about your current pay band.

When will employees see the across the board and minimum wage increases in their paychecks?

Eligible bi-weekly paid staff will see these increases in their July 21, 2023 paycheck. Eligible monthly-paid staff will see these increases in their July 31, 2023 paycheck.

Employees will receive a new wage statement for each adjustment they receive and will be asked to confirm each statement per DC Wage Theft Prevention Regulations.

How will the performance-based salary increase work?

In September, eligible full-time faculty and staff may receive an increase based on their performance during the last academic year’s performance cycle. The Performance-Based Increase pool approved by the Board of Trustees is separate from the across the board described above. By creating separate pools, units are able to focus the performance-based pool on its intended purpose to better reward performance this past year and incentivize ongoing strong performance.

Departments and units will be allocated a 1 percent performance compensation pool to distribute based upon the results of faculty reviews and the PMP. This is not a 1 percent across the board increase; rather, supervisors will allocate compensation increases based on individual performance and progress towards goals. Performance-based increases will appear in the September 15 bi-weekly paycheck or the September 29 monthly paycheck.

To be eligible, full-time staff have to have been hired, promoted, or received a pay increase prior to May 1, 2023, excluding the across the board increase, and have completed their performance evaluation process by the deadline. Faculty and staff whose positions are funded through external sources may receive the increase to the extent permissible under the funding source.

Please contact hrpayrollhelp@american.edu if you have any questions.