Equity Adjustment

It is the UC Davis practice to award salary increases through regular budget or merit cycles. 

The goal of Equity Adjustments is to provide guidance on critical and/or unusual pay administration issues. With all requests for salary increases, compelling reasoning is necessary to justify an increase in salary.

General Information

Reasons for salary equity adjustments outside of the normal salary programs may include issues such as external pressure in high demand areas, internal salary compression, and/or retention considerations. In these instances, equity increases may be approved to remedy a salary inequity. Equity adjustments are not granted to reward performance. Justification must accompany requests for equity adjustments, including specific outside salary offers in cases of retention, or a specific analysis of salary relationships in cases of correcting salary inequities.

The following are guidelines to help facilitate the process for reviewing and approving equity increases. The application of equity increases may be appropriate in the following instances:

  • Retention of mission critical staff. This includes individuals with special skills or experience that are uniquely critical to the program or completion of high priority projects.

  • Restructuring within a department that results in an incumbent taking on additional staff and/or responsibilities that do not warrant an upward reclassification, but may result in an increased level of responsibility or direct reports that receive higher pay. Direct reports receiving more pay should not automatically be considered an inequity. For example, a Programmer may demand a higher pay level due to market considerations based on technical skills. If the supervising manager does not possess the technical skills, an inequity in salary may not exist.

  • When the outcome of the collective bargaining process results in increases for staff causing compaction problems with supervisors/managers.

  • New hires being appointed at a higher salary rate than existing employees in the same classification within a particular unit, department, or division. Individuals' knowledge, length of service, performance, and experience should all be taken into consideration when ascertaining the appropriateness of an equity adjustment.

  • To correct an unacceptable internal salary inequity/compression which may have occurred in the rate of pay for work in positions which are of comparable value to the organizational unit and which require equivalent knowledge, skills, abilities, effort, and responsibility, absent differences caused by such factors as performance, market, or length of service.

  • When the difference is not explainable by differences in qualifications, type or length of experience, the work itself, the value to the organization, performance/productivity, and/or market.


To speak with a Compensation Analyst regarding an equity adjustment, please call (530) - 752-5311 at Davis Campus or (916) - 734 - 5009 at Davis Health