Merit Increases for Non-Bargaining Employees
Revised Policy Effective July 1, 2003

As explained in a May 22 letter from Dr. Miller and Mr. Peterson, due to the financial problems affecting all of Johns Hopkins Medicine,* we must take steps to curb a serious budget deficit. Rather than resort to significant layoffs or reductions in salaries or benefits - the means used by most businesses to recover from hard times - we are taking actions related to merit increases.

Effective July 1, 2003, the following policy will be implemented regarding merit increases for non-bargaining employees of The Johns Hopkins Hospital and Johns Hopkins Health System Corporation:

• For all non-bargaining unit employees, including managers and executives, the effective date for merit increases will be delayed by three months.
  
  
• Anniversary dates will not be changed at this time. Performance appraisals and notification of increases will still be due on a 12-month basis, regardless of the new date that an increase is granted.
  
  
• Promotions and market adjustments will still be made as needed.

We appreciate your understanding as we work our way through a difficult period.

*While each entity will have slightly different plans, this policy affects all non-bargaining employees and faculty at all Johns Hopkins Medicine affiliates, including The Johns Hopkins University School of Medicine.