Bill Overview
Title: To amend the Tennessee Valley Authority Act of 1933 to require that the compensation plan for Tennessee Valley Authority employees be based on an annual survey of prevailing compensation for similar private industry positions in the United States and Canada, and for other purposes.
Description: This bill specifies that a survey used to develop a compensation plan for employees of the Tennessee Valley Authority (which provides low-cost electricity in seven southeastern states) must collect information from private industry in the United States and Canada. Under current law, the survey must collect information about prevailing compensation for relevant roles in private industry; publicly owned electric utilities; and federal, state, and local governments.
Sponsors: Rep. Cohen, Steve [D-TN-9]
Target Audience
Population: TVA employees
Estimated Size: 10000
- The Tennessee Valley Authority (TVA) employs individuals in various roles related to power generation and administration, which are the primary roles affected by compensation plans.
- The TVA operates in seven southeastern states, meaning its employees are primarily from this region.
- Changes to employee compensation plans can impact employee job satisfaction, retention, and recruitment.
- Affects the financial planning and wellbeing of TVA employees depending on new salary comparisons.
- The TVA is publicly owned and serves a large population by providing low-cost electricity.
Reasoning
- Given the restricted budget, we need to prioritize interviewing people who are most likely to be affected by changes in compensation plans, particularly employees of the Tennessee Valley Authority (TVA).
- The time frame (10 years) allows us to consider long-term effects on wellbeing, which may take time to manifest depending on changes in compensation.
- Since TVA operates in seven southeastern states, we should include diverse perspectives from these regions to get a comprehensive view.
- The number of TVA employees is approximately 10,000, making interviews rare but manageable in representing different roles.
- We must also consider those who might not be impacted (e.g., people not employed by TVA or those who work in unrelated industries) to provide a control baseline for wellbeing scores.
Simulated Interviews
Electrical Engineer (Alabama)
Age: 45 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 3/20
Statement of Opinion:
- I've seen many compensation surveys, and ensuring private industry data inclusion seems fair.
- Could lead to better alignment with industry standards, supporting retention and satisfaction.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 9 | 7 |
| Year 10 | 9 | 8 |
| Year 20 | 8 | 7 |
Project Manager (Tennessee)
Age: 32 | Gender: male
Wellbeing Before Policy: 6
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- I hope this policy will ensure competitive compensation and make TVA a more attractive employer.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 8 | 6 |
| Year 5 | 9 | 6 |
| Year 10 | 9 | 7 |
| Year 20 | 9 | 6 |
Senior Technician (Kentucky)
Age: 39 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 5.0 years
Commonness: 7/20
Statement of Opinion:
- I don't think this policy will change much for someone in my position.
- My focus is job security and technical advancement rather than compensation comparisons.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Human Resources Director (North Carolina)
Age: 53 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 2/20
Statement of Opinion:
- Updating our compensation data sources could strengthen our recruitment efforts.
- The policy seems beneficial for transparency.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 9 | 7 |
| Year 10 | 8 | 7 |
| Year 20 | 7 | 7 |
Finance Analyst (Mississippi)
Age: 28 | Gender: other
Wellbeing Before Policy: 6
Duration of Impact: 5.0 years
Commonness: 6/20
Statement of Opinion:
- Aligning compensation with private data may alter our budgets but could improve employee satisfaction.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 8 | 6 |
| Year 10 | 7 | 6 |
| Year 20 | 6 | 6 |
Power Plant Supervisor (Virginia)
Age: 47 | Gender: male
Wellbeing Before Policy: 8
Duration of Impact: 10.0 years
Commonness: 5/20
Statement of Opinion:
- As long as my team's compensation remains stable, I'm not worried about the policy.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Environmental Specialist (Georgia)
Age: 50 | Gender: female
Wellbeing Before Policy: 7
Duration of Impact: 10.0 years
Commonness: 4/20
Statement of Opinion:
- I'm optimistic that policy-driven compensation changes will alleviate some team stresses.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 7 |
| Year 2 | 8 | 7 |
| Year 3 | 8 | 7 |
| Year 5 | 8 | 7 |
| Year 10 | 9 | 7 |
| Year 20 | 8 | 7 |
Administrative Assistant (South Carolina)
Age: 40 | Gender: male
Wellbeing Before Policy: 5
Duration of Impact: 10.0 years
Commonness: 3/20
Statement of Opinion:
- This policy could catch up our pay with private sectors, but it's important to see actions materialize.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 6 | 5 |
| Year 2 | 6 | 5 |
| Year 3 | 7 | 6 |
| Year 5 | 7 | 6 |
| Year 10 | 8 | 6 |
| Year 20 | 8 | 5 |
Retired TVA Employee (Alabama)
Age: 60 | Gender: female
Wellbeing Before Policy: 8
Duration of Impact: 0.0 years
Commonness: 8/20
Statement of Opinion:
- Compensation changes might affect the community I still care about, even in retirement.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 8 | 8 |
| Year 2 | 8 | 8 |
| Year 3 | 8 | 8 |
| Year 5 | 8 | 8 |
| Year 10 | 8 | 8 |
| Year 20 | 8 | 8 |
Public Utility Consultant (Florida)
Age: 35 | Gender: female
Wellbeing Before Policy: 6
Duration of Impact: 2.0 years
Commonness: 3/20
Statement of Opinion:
- I'm hopeful this updates data sets that are often outdated in the utility sector.
Wellbeing Over Time (With vs Without Policy)
| Year | With Policy | Without Policy |
|---|---|---|
| Year 1 | 7 | 6 |
| Year 2 | 7 | 6 |
| Year 3 | 7 | 6 |
| Year 5 | 6 | 6 |
| Year 10 | 6 | 6 |
| Year 20 | 6 | 6 |
Cost Estimates
Year 1: $5000000 (Low: $3000000, High: $7000000)
Year 2: $5300000 (Low: $3200000, High: $7300000)
Year 3: $5600000 (Low: $3400000, High: $7600000)
Year 5: $6000000 (Low: $3600000, High: $8000000)
Year 10: $6500000 (Low: $3000000, High: $8500000)
Year 100: $10000000 (Low: $5000000, High: $15000000)
Key Considerations
- The TVA is a major public entity, and changes in compensation can set precedence for other similar organizations.
- Comparing salaries with Canadian private industries can add complexity due to exchange rate differences and varied economic conditions.
- Political and public reception might influence how swiftly or widely these changes are adopted across TVA.”