Employee Salary Increment Policy

EMPLOYEE SALARY INCREMENT POLICY

Personal Information

Position Information

Start Date of Employment:

Employment History (most recent first)

Education

Graduation Date:

References (Professional)

Policy Overview — Purpose, Scope, and Effective Date

Purpose: Establish uniform procedures and governance for all salary increments, including merit increases, promotions, market adjustments and cost-of-living adjustments. The policy sets eligibility, calculation methodology, approval authority and documentation requirements.

Scope: This policy applies to all employees of the Company, including full-time, part-time and temporary employees where explicitly addressed in section eligibility. Contractors and contingent workers are excluded unless otherwise specified by written agreement.

Effective Date:

Definitions

Merit Increase: A salary adjustment awarded based on documented individual performance relative to established objectives and competencies.

Promotion Increase: A salary adjustment granted when an employee is advanced to a role with substantially greater responsibilities or higher grade.

Market Adjustment: A corrective increase to align pay with prevailing external market compensation levels for comparable roles.

Eligibility Criteria

Employees eligible for salary increments must meet the following minimum criteria unless an approved exception exists: completed probationary period, active employment status at the time of increase effective date, satisfactory performance rating and minimum continuous service requirement.

Completed Probation: Eligible if probation completed

Minimum Continuous Service (months):

Increment Types and Ranges

Annual Merit Increase Range: Minimum % — Maximum %

Promotion Increase Typical Range: %

Cost-of-Living Adjustment (COLA): % (as approved by executive leadership)

Market Adjustments: Determined following compensation analysis; documented justification required and approved by Finance and HR.

Performance Rating Matrix and Calculation

Performance ratings correspond to percentage bands that drive merit increases. Enter the rating scale and associated percentage allocations below.

Approval Authority, Budgeting and Timing

All increases require documented approval consistent with the matrix below. The increment must be charged to an approved budget line prior to effective date.

Documentation, Payroll Processing and Tax Treatment

HR must retain supporting documentation for each increment for audit purposes. Payroll will implement approved increases on the approved effective date and all payments are subject to statutory tax withholding and benefits contribution adjustments.

Appeals, Exceptions and Confidentiality

Employees may request review of an increment decision within 30 days of notification. Appeals must be submitted in writing to HR. Exceptions to this policy require written justification and approval by the named authority. Compensation details are confidential and must not be disclosed except on a need-to-know basis or as required by law.

Non-Discrimination

Salary increments will be administered without regard to race, color, religion, sex, sexual orientation, gender identity, national origin, age, disability, genetic information, veteran status or any other protected characteristic. Decisions must be based on documented criteria as set forth in this policy.

Recordkeeping and Review

HR shall maintain increment approvals, performance evaluations and supporting documents for seven years or as otherwise required by law. This policy will be reviewed at least every months to ensure continued alignment with business needs and market conditions.

Authorization to Contact and Background Checks

By signing below, the Company confirms it may contact prior employers listed above and, where permitted by law and job role requirements, may obtain background checks as part of compensation-related verifications. The employee acknowledges and consents to these verifications for the purpose of confirming eligibility for salary adjustments.

Applicant/Employee Consent: I authorize the Company to contact previous employers and to obtain background checks as permitted by applicable law.

Applicant Certification

I certify that all information provided in this form is true and complete to the best of my knowledge. I understand that false statements or omissions may result in disciplinary action, including denial of increments or termination. I acknowledge receipt of and agree to comply with the Employee Salary Increment Policy as described above.

Certification Acknowledgement: I certify the above.

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