Many new Hooksett employees, faced recently with higher insurance costs, are underpaid compared to similar municipal employees in Southern New Hampshire, said Hooksett Town Administrator David Jodoin.

On Wednesday, Dec. 20, the council voted to increase the pay scale in three town departments, despite objections from some councilors that a “step” based pay system overcompensates some workers with limited skills.

“A guy picking up trash – that shouldn’t be looked at as a career,” said Councilor Jason Hyde, who alone voted against updating the wage scale for the highway, parks and recreation, and recycling and transfer station departments.

Hyde said the step system, which ups pay annually based on cost of living and performance, may ultimately overpay employees who keep the same job for years.

“You can’t endlessly step people for 4 percent a year just because they’re here,” he said.

Councilor Mike Jolin, who ultimately supported the pay change, also questioned whether a step system coddles some employees.

“If you were here 20 years, and you’re still a laborer, you shouldn’t be making $17.73,” he said.

Hyde repeatedly said the step system doesn’t match the way things work in the “real world.”

“This whole step thing is just silliness,” he said. “It’s dumb, frankly.”

Jodoin said all municipalities in New Hampshire use such clearly delineated pay scales. Upon the town council’s request, Jodoin has been researching average pay scales for about 10 similarly sized towns with similar tax bases and tax rates. The goal, he said is to update the wage scale in Hooksett, which hasn’t changed in the last five to seven years.

Jodoin researched specific job functions in the four towns of Milford, Goffstown, Lebanon and Exeter, and said employees – from top to bottom – with like job duties in the Hooksett departments enter at lower average pay.

“The analysis clearly shows that our pay is low for starting employees,” he said.

With the recent hike in insurance costs to be paid by town employees, said Jodoin, "Right now, several employees are going to get hit very, very hard.”

Highway department head Dale Hemeon, who said he’s been down four or five employees for months, lobbied for the proposed update.

“You go to any construction company and the starting wage is $15 an hour,” he told Hyde. “That’s the ‘real world.’”

Highway foreman Doug Urquhart, who’s been screening potential employees, said a mechanic recently came in for an interview and left after only verifying the position’s pay and the fact that Hooksett employees pay 20 percent of their insurance costs.

“He said ‘Have a good day’ and he walked out the door,” said Urquhart. “He was laughing.” Several councilors justified their support for updating the pay scale.

“We can’t have jobs unmanned,” said Councilor Pat Rueppel. “(Taxpayers) don’t want to spend the money, and we don’t want to spend the money, but they want services.”

Councilor Stuart Werksman said higher pay could keep training costs down if employees are constantly leaving to find betterpaying employers.

Said Councilor David Ross, “We need these people, and I’d rather have them than illegal aliens.”

Assessing Department head Sandy Piper questioned when the pay scale might be updated for the town’s other departments. She said a qualified assistant in her department has considered bolting since having to pay $63 more a week in insurance costs.

“I have to beg you to do this as soon as possible, because (other department employees) are in the same boat these guys are (in),” she said, referring to some highway and parks employees.

Piper also disagreed with a notion put forth by Hyde and Councilor Mike Jolin that the annual step system may overpay some longtime employees.

“Longevity should count for something,” she said.

Hyde, who said he often deals with pay scales in the private sector, said his concern was to “make sure the right people are getting just the right amount.”

Jodoin said he hoped to provide the council with more data on other department employes by the council’s Wednesday, Jan. 10, meeting.