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(f) Application The Director of Personnel is responsible for applica- tion of the Compensation and Salary Adjustment section as it relates to the three parts of this Pay Plan: 1. REGULATIONS FOR ADMINISTRATION 2. CLASSES OF POSITIONS ASSIGNED TO PAY GRADES 3. PAY SCHEDULE This responsibility includes clarification and resolu- tion of any problem or question not specifically covered by the Classification and Pay Plan. SECTION 5. Allcwances The rate of pay set forth in this schedule shall be deemed to include the full compensation of the employee; however, the value of any allowances made to the employee by the City shall also be considered a part of total compensation. SECTION 6. New Employees Ali new employees are probationary for one year and shall receive compensation according to the classification in which they are placed. No employee may remain in a proba- tionary status for more than one year. Upon completion of one year of service, and the required Performance Evalua- tions, the employee will be removed from probationary status or terminated. No employee shall be hired at a rate above the "A" step of the classification or placed in a transitional step without the written approval of the City Manager or his designee. SECTION 7. Promotions When an employee is promoted To a classification one grade higher than the present classification, the employee will receive an increase equivalent to one steF. If the promo- tion is two or more grades above the former classification, the employee will receive an increase equivalent to two steps. The City Manager may authorize variations in the application of this section; however, in no case will an emFtoyee's base salary be less than the minimum nor more than the maximum for the grade to which promoted. SECTION 8. Demotions Employees who are demoted to a lower grade shall receive compensation according to the grade and step ~n which the)' -4-