How have state workers fared under performance pay? Good question.

August 13, 2010
Back to TopCommentsE-mailPrintBookmark and Share

State workers could be accused of dreaming about this while the economy is still stuck in the mud, but when tax dollars begin refilling the coffers, public employees might start getting raises again.

Their pay was frozen last year and this year as revenue shriveled. In the three prior years, they had shifted to Gov. Mitch Daniels’ performance pay system, and it’s probably safe to assume Daniels would stick with at least some portion of the system if raises were to be handed out during his final two years in office.

Discerning how employees actually fared under the performance system compared to the old days of across-the-board raises is a heavy lift. Virtually nothing about the years when they received performance pay is apples-to-apples, says Dwight Dorsey, who oversees the information system for the state’s human resources department. Layoffs and other turnover are the main complications.

Here’s what is known:

In 2007, the first full year under the new system, the state handed out a total of $35.6 million in raises and bonuses tied to good work. That included $34.6 million added to baseline wages by exceeding agency expectations, nearly $1 million in bonuses handed out in on-the-spot recognition of outstanding performance, and $49,000 in Public Service Achievement Awards for measurable accomplishments.

Just over 25,000 employees received raises and 1,800 received none.

In 2008, the total was $31.4 million to 26,797 employees in about the same proportions as the previous year. Just over 700 received no raise.

How do you feel about performance pay for state workers? Has it improved service? Should it be extended by Daniels’ successor?


  • Another idea
    What would be more interesting, would be to find out if the top employees have been leaving because pay has remained the same, whereas insurance costs have gone up 1000%. So, we got a pay cut for the same work, for the past 3 years. Wonder who is leaving, and what kind of workers are left behind?
  • Reward the good employees
    To get no raise for 2009 or 2010, is robbery for those good employees who would have otherwise received raises. Ever heard of inflation? and health care costs? The good people are actually making less and who knows if they will get raises in 2011. What's worse is that even if you get a "promotion" into a higher paid position at the state, you either take the job with no pay increase or lose out on advancing your career. It's a horrible decision either way. And trust me, we do not want all the good people to leave employment there. I can't even fathom how things would operate then.
    What Mitch is trying to do for Indiana is great, but when he's hurting so many of the people that work for him to do it, that's not great. Of course the raises should be performance-based. There are slackers at every company, why would anyone want to pay them more? But you've got to reward the good people.
  • State workers are suffering what most private sector employees are facing. no pay raises, cuts in pay and increases in health insurance.

    Of course the alternative for public employees is to give them payraises and increase taxes which hurts them and private sector employees or layoffs. Take the lack of pay raises for now and when life gets better, the raises will come. Having a job is better than the alternative right now.
  • Its Hot Outside at State Office Building
    It worked as well as the Smoking Ban on State Property.

  • Pay for Performance?
    Think of it this way.

    Mitch Roob created a huge mess at FSSA and he got a pay raise and promotion to head IEDC.

    He gets paid more than Michael S. (â??Mickeyâ??) Maurer and Nathan Feltman combined with fewer results.

    Channel 13: Where are the jobs?

  • Pay for Performance
    This would work better if all supervisors were fair when doing appraisals. Some feel they need to be fair to everyone so everyone gets the same evaluation and raise. We are also having more money pulled out of our pocket with the insurance and cost of living increases.
  • Treated badly
    I've heard that state employees are treated badly and it isn't just the raises or lack of them. One department I know of the employees can't even speak to one another while they are working. And if they slip and do talk they can be pulled aside and written up or fired. I can't remember being treated like this on any of my past positions. I think the last time was in school. Can you imagine going into work and not being able to talk??? Also this department has been made to obey the new dress code and no one but the employees get into this department. It is closed to the public. So what's the big deal if they wear blue jeans, a tee shirt and tennis shoes. Pure tyranny!!!

Post a comment to this blog

We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
You are legally responsible for what you post and your anonymity is not guaranteed.
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in IBJ editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
  1. Here are a few candidates for this new group, "ripped from the headlines." First up, that bizzaro State Senator Brent Waltz; secondly, the unethical Todd Huston, and his contractual arrangements scheme; Finally, but not least of all, the dishonorable Eric Turner. What sayeth you Greg Zoeller?

  2. Good day. I can't hide this great testimony that take place in my life I will love everyone to know it and be partaker that is why I always place it on answer, I am Mrs,Natalie Cuttaia by name, I live in Texas, United State Of America, I want to thank (Mr.Bruce Brandon) for his kindness upon my family life. I never knew that there is still nice lender like this on internet and earth here. Just some Months Back, I was in search for a loan of $100,000,00 as I was running out of money for feeding and rent. I was scammed $6,800 Dollars and I decided not to involve my self in such business again but a Friend of my introduced me to a loan firm due to my appearance and doings. And I told him that I am not interested of any loan deal anymore but he told me that there is still a nice lender who he will recommend me to, and I made a trial and I am most grateful lucky am I today, I was given a loan amount of $100,000.00usd, by this great Company (Bruce Brandon Loan Company) managed by (Mr.Bruce Brandon) If you are in need of a genuine or legit loan or financial assistance and you can be reliable and trusted of capable of paying back at the due time of the funds I will advice you to, contact him via: ( ) And you will be free from scams in the internet. All thanks to Mr.Bruce Brandon You are the one who remove me and my family out of poverty. The reason why i am doing this is that, i promise Mr.Bruce Brandon that if i truly got my loan, i will advertize his company and bring customers to his company. Contact him via ( )for the Loan you have been looking for..

  3. Hello, We are firm Organization formed to help people in needs of helps,such as financial help. So if you are going through financial difficulty or you are in any financial mess,and you need funds to start up your own business,or you need loan to settle your debt or pay off your bills,start a nice business, or you are finding it hard to obtain capital loan from local banks,contact us today via email So do not let these opportunity pass you by because Jesus is the same yesterday, today and forever more. Please these is for serious minded and God fearing People. Your Name: Loan Amount: Loan Duration: Valid Cell Phone Number: Thanks for your understanding to your contact as we Await Regards Management

  4. The question is, where could they build a new stadium? It seems in the past year, all the prime spots have been spoken for with potential projects. Maybe in the industrial wasteland area a block past Lucas Oil? I think it needs to be close to the core, if a new stadium is built.

  5. Aldi is generally a great shopping experience. Still, I'm sure YOU wouldn't want to shop there, which I consider a positive.