The term "Y-rate" refers to an employer paying an employee above the maximum of the salary range assigned to the position's class. Although this term is no longer used in the civil service rules the practice is allowed under certain circumstances. WAC 357-28-040 which applies to all non-represented classified employees states the following:

WAC 357-28-040

Can an employee's base salary be set above the maximum of the salary range?

An employee's base salary may be set above the maximum of the salary range assigned to the position's class when allowed under any provisions of Title 357 WAC or when approved by the director.

For represented employees, Y-rating is addressed in various articles in the collective bargaining agreements.

Causes

Reasons why an employer may/must consider allowing an employee's salary to be Y-rated:

• When a position is reallocated to a class with a lower salary range and the employee chooses to remain in the reallocated position, a Y-rate is discretionary for non-represented employees. (WAC 357-28-120) In this scenario, a Y-rate is required for represented employees when an employee's salary at the time of reallocation exceeds the maximum for the new salary range.
• When an employee occupying a position is reallocated due to a director's action to a class with the same or lower salary range. (WAC 357-28-130)
• When an employee's exempt position is converted to classified, a Y-rate is required if the employee's salary at the time of conversion exceeds the maximum of the new salary range. (WAC 357-28-165)
• When a WMS employee is moved to a position that has a lower salary standard and/or lower evaluation points, a y-rate is discretionary. (WAC 357-58-115 and 357-58-120)

Considerations

When consulting with managers who are planning changes to work assignments that may result in reallocations, consider the following:

• Will restructuring work result in a position being reallocated to a lower class? If so, have you considered other options for meeting your business needs?
• If the result is a Y-rate, have you considered the impact of the Y-rate on the employee and workgroup?  For example:
  • The Y-rate does not follow the employee if they move to a different position. How will this affect their future employment opportunities?
  • Other employees in the workgroup performing similar work for different pay may feel it is inequitable.
• If the legislature approves a salary increase, employees whose base salaries are set above the maximum of a salary range will not received an increase unless the appropriations act specifically states that the employees whose base salaries are set above the maximum of a salary range will receive the increase; or the top of the adjusted range exceeds the employee's current salary. (WAC 357-28-042)