University of Minnesota
Office of Human Resources

Job Classification & Compensation

The mission of the Compensation Division is to cultivate equitable and competitive classification and compensation practices, in partnership with the University community to attract, motivate, and retain talented employees.

The Compensation Division consults with academic and departmental units to determine the University’s compensation needs and provides training and expertise in the following areas:

  • Classification Systems: Develop and manage classification systems, including job family studies, and the classification of new or reclassification of existing positions.
  • Reward and Recognition Programs: Design and review reward programs (incentive, merit and bonus programs) and provide technical advice on recognition programs.
  • Labor Market Information: Research, maintain, and report on internal and external market data.
  • Policy & Guidance on Pay Practices: Develop, maintain, and provide guidance on compensation policies regarding federal, state, and local laws and regulations as well as university policies as they relate to pay; these policies include equity laws, and the Fair Labor Standards Act (FLSA), which regulates overtime pay. Research, design, and implement wage and salary plans and other pay delivery programs, including appropriate salary adjustments for Civil Service employees.

The University's compensation philosophy is outlined in its Compensation Policies. The following principles are used to guide the University’s compensation and recognition systems:

  • Achieve and maintain a compensation structure that, relative to institutional peers and other appropriate labor markets, is competitive and serves to attract and retain a high performance workforce.
  • Reward exceptional performance and employee contributions through compensation and other forms of recognition.
  • Consider work responsibilities, market, internal equity, experience and expertise, performance and other criteria in setting initial salary and subsequent salary adjustments.
  • Adhere to compensation and recognition practices that are fair and equitable in design, application and delivery.