Mr. George lyl.
McNiel Opinion No. M-706
State Auditor
Sam Houston State Office Bldg. Re: Legality of Legislative
Austin, Texas Audit Committee authoriza-
tion for agency heads to
reclassify downward at
time of conversion to
new salary schedule pro-
vided in General Appro-
priation Acts without a
Dear Sir: change in rate of pay.
Your letter of September 11, 1970. asked for answers
to the following questions:
"(1) The legality of the authorization by the
Legislative Audit Committee for the heads of agencies
and departments to make reclassifications downward
at the time of conversion to new salary schedules
established'in General Appropriation Acts without
a change in the employee's rate of pay; and
"(2) The legality of the authorization by the
Legislative Audit Committee for the Classification
Officer to direct, in conformity with Audit committee
policy, that individual reclassifications to a lower
salary group may be made without a change in the em-
ployee's rate of pay."
Your letter further states that there exists a con-
flict of opinion of whether a reclassification downward should
be treated as a demotion in accordance with Article V, House Bill
2, 2nd Called Session, 61st Legislature, governing "demotions"
or whether a reclassification downward is accomplished by the
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’
Mr. George W. McNiel, page 2 (M-706)
4th paragraph of the act. Paragraph 4 of the act reads as
follows:
“An employee whose classification position
is reallocated by this Act to a lower salary group
shall receive the annual rate which he would have
received had the position not been reallocated, not
to exceed the step 7 rate of the lower salary group."
Section l(3) reads as follows:
"DEMOTIONS. Demotion means a chancrein dutv
assisnment of an employee from a position in one
classification to a position in another classifi-
cation in a lower salary group. An employee who is
demoted shall have his salary ,reducedat least to a
rate one increment below the rate he received before
demotion." (Emphasis added.)
Article 6252-11, the Position Classification Act of
1961, reads, in part, as follows:
“Sec. 4. Commencing with the effective date
of this Act,all regular full-time salaried employ-
ments with the exceptions and deferments specified
hereinabwe shall be made only in conformity with
the classes of work described in such Position
Classification Plan, and under the titles authorized
by such Plan. The State Auditor shall examine or
cause to be.examined in periodic post-audits of ex-
penditures of State departments and agencies, and
by such methods as he deems appropriate and adequate,
whether employments have been made in accordance
with the prwisions of this Act, and shall report
the facts as found to the GWernOr, the Comptroller,
and the Legislative Audit Committee."
Section 6 of the Act reads, in part, as follows:
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Mr. George W. McRiel, page 3 (M-706)
"When exceptions to or violations of the
position Classification Plan or of prescribed
salary ranges are revealed by personnel audits, the
Classification Officer shall notify the agency head
in writing and specify the points of nonconformity or
violation. The executive head of such agency shall
then have reasonable opportunity to resolve the ex-
ception or end the violation by reassigning the em-
ployee to another position title or class consistent
with the work actually performed, by changing the
employee's title or salary rate to conform to the
prescribed Classification Plan and salarv ranse, or
by obtaining a 'new class description of work.and:. :~
salarv ranqe to correct the exception or violation."
(Emphasis added.)
We answer both of your questions by saying that the
reclassification downward, whether at the time of conversion
to the tiew salary schedule or by individual reclassification
during a fiscal year where there is no change in the employee's
duty assignment, may be made without a change in the employee’s
rate of pay, not to exceed step 7 rate of the lower salary group.
The Act specifically sets reclassifications apart from
demotions in Section le(1) which reads in part as follows:
8,
. . . Reclassification shall not be inter-
preted to mean a change in the emulovee's duty
assiqnment. but only shall mean the proper defini-
tion of duties and classifications of the position
based upon duties actually performed by the employee;
hence, a position shall be reclassified for the
sole purpose of complvinq with the requirements of
the Classification Act." (Emphasis added.)
The act further provides for a reduction in salary in
the event a classification audit determines that a position is
classified higher than is warranted by actual duty assignments,
(Section le(2) of the Act) according to the "... policies and
procedures as the Legislative Audit Committee may prescribe."
-3416-
Mr. George W. Mdbliel,page 4 (M-706)
Under the prwisions of Article V, House Bill 2, Acts
of the'second Called Session, 61st Legislature, job reclassifi-
cations downward wfthout change in duty assignments, may be
made either at the time of conversion to new salary schedules
or by individual reclassifications during a fiscal year without
a reduction in the employee's rate of pay, not to exceed step 7
of the lower salary group.
SUMMARY
State employees under the classification system
may be reclassified downward, without change in duty
assignment, without a mandatory reduction in rate of
pay, not to exceed step 7 rate of the lower salary
g-w.
Attor y General of Texas
Prepared by Melvin E. Corley
Assistant Attorney General
APPROVED:
OPINION COMMITTEE
Kerns Taylor, Chairman
W. E. Allen, Co-Chairman
J. C. Davis
John Reeves
Roger Tyler
Houghton Brownlee
MKADB P. GRIFFIN
Staff Legal Assistant
ALFRBDWALKER
Executive Assistant
NOLAWBITB
Fir*+ .P.7I.c.Ce."C