Compensation

Manager Compensation Resources

This page provides managers with guidance, tools, and definitions to help ensure compensation actions are fair, competitive, and compliant with UT System policies. 

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Understanding Compensation at UT System

UT System compensation practices are designed to:

  • Maintain competitiveness with peer institutions and relevant labor markets
  • Attract, develop, and retain highly qualified talent
  • Reward performance and ensure equitable, consistent pay decisions
  • Support transparency and compliance with laws and System requirements

These principles shape the decisions around pay actions and salary structures. See Philosophy and Guiding Principles for additional information.


Types of Pay Actions

Promotion

A promotion occurs when:

  • An employee is competitively selected as the most qualified candidate for a vacant position or
  • The employee has mastered all elements of their current job and now qualifies for a higher-level role

Notes:

  • Requires prior approval from the Chancellor or designee
  • Must follow OHR recruitment policies

Reclassification 

A reclassification is used when:

  • Job duties and responsibilities have substantively changed, or
  • The current classification no longer reflects actual work performed

Key Points:

  • May result in a higher, lower, or same pay grade
  • Not based on performance, tenure, or workload volume

In‑Range Adjustment

This adjustment is applied when:

  • An employee’s salary is significantly below market value
  • Salary compression or inversion needs to be addressed

Important:

  • Not intended to reward performance