The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1996, Landmark Communications, Inc.

DATE: Saturday, October 26, 1996            TAG: 9610260242
SECTION: LOCAL                   PAGE: B2   EDITION: NORTH CAROLINA 
SOURCE: BY JEFFREY S. HAMPTON, CORRESPONDENT 
DATELINE: ELIZABETH CITY                    LENGTH:   50 lines

ELIZABETH CITY EMPLOYEES PROMISED RAISE AND BONUS

City employees have been promised a Happy New Year.

City Manager Steven Harrell will sign checks, effective Jan. 1, for more than $100,000, which will include a $250 bonus for all 222 city employees and $37,049 in raises for six months to the lowest paid.

The funds are available at least until July when the next fiscal year begins.

The raises and bonuses are designed to make up for a pay lag revealed in a 1995 study that showed the wages of 100 city employees fell well below a statewide standard.

Cost-of-living raises in July 1995 and again in July 1996 helped, but 58 workers were still underpaid, most of them in the police department. The city says the pay raises will bring every city employee within the statewide standard.

``That was one of the biggest concerns of the work force,'' Harrell said Wednesday.

Over the years, Elizabeth City police officers have resigned for higher-paying jobs with the Highway Patrol and other law enforcement agencies in the region.

The Council asked Harrell to investigate. After a thorough survey in August, Harrell found most police officers wanted higher pay and a lighter work load.

Has the promise of pay raises helped morale?

``It's better than it was,'' Harrell said. ``Everybody can feel pretty good they are getting paid a fair market price for their job.''

Councilwoman Anita Hummer, long outspoken about improving police pay and work hours, said more remains to be done.

``There are other positions that are well paid that do not risk their lives as policemen do,'' Hummer said.

The raises will cost an additional $74,098 over a full year, which could lead to a tax increase in next year's budget. But Harrell is confident that a recent influx of new business will hold off any tax increases.

``It's hard to tell if we'll even need a tax increase,'' he said. ``A penny of tax in 1994 was worth $40,000. A penny in 1995 was worth $45,000. We expect a penny in 1997 will be worth $50,000 plus. The new businesses make a big difference.''

City employees still have no benefit that would provide a consistent merit and performance pay plan. Hummer is insistent upon merit raises.

``The bonuses are something just thrown in there . . .,'' Hummer said. ``Most employees I've talked to would rather have step increases.''

Harrell said he and the finance department are working on a merit raise plan to present to the council. by CNB