Overview of 2025 Maryland State Employee Raise Policy
Maryland’s 2025 raise policy, effective July 1, 2025, raises state employees through a new salary scale, a COLA for retirees, and a longevity step for those hired before 2019. The policy aligns pay with cost‑of‑living and rewards tenure, ensuring competitive wages across the state. All adjustments are in the PDF

Key Dates and Effective Periods
Key dates for the 2025 Maryland state employee raise policy are outlined below. The new salary scale and associated step adjustments take effect on July 1, 2025, marking the beginning of the fiscal year 2026. Employees who joined the state workforce prior to February 1, 2026 are eligible for a step adjustment unless they have been on unpaid leave for five months or more during FY 2025 or are already at the top step of their pay grade. The cost‑of‑living adjustment (COLA) for state retirees and beneficiaries becomes effective in July 2025, with the first monthly increase applied to the July payment. The longevity step award, which recognizes continuous employment since June 30, 2019, is retroactively applied and takes effect on January 1, 2025. These dates are reflected in the official PDF document released by the Maryland State Retirement and Pension System and the State of Maryland Human Resources Office. Employees should review the PDF for detailed implementation instructions and confirm their eligibility status with their department’s personnel office.
Additional details are available in the official PDF, which details the step schedule, COLA dates, and longevity awards. Employees should review the document to see how each date affects their pay. The PDF includes a step lookup table, a COLA worksheet, and a summary of the new salary scale. For questions, contact HR or visit the state portal for updates. All information may change pending approvals and budget constraints. The schedule aligns with budget state cycles to ensure fair compensation across departments.!!
The 2025 Maryland state employee raise policy introduces a revised salary scale that realigns midpoint and third‑quartile benchmarks to reflect current market conditions. The new scale sets the midpoint at $35,041 and the third‑quartile at $35,379, with step ranges extending from the entry level to the top step of each pay grade. Employees who are hired or promoted after February 1, 2026 will be placed on the new scale, while those already on the old scale will receive a step adjustment if they meet the eligibility criteria. The step ranges are defined as follows: Step 1 begins at the entry salary, Step 2 increases by the minimum step increment, and subsequent steps increase by a fixed percentage of the previous step. The top step remains the same as the previous scale, ensuring that senior employees retain their maximum earning potential. The revised scale also incorporates a cost‑of‑living adjustment (COLA) that applies to all employees on the new scale, with the first COLA increase effective July 2025. The policy is documented in the official PDF, which provides a step lookup table, a COLA worksheet, and a summary of the new salary scale. Employees should review the PDF to confirm their step placement and understand how the new scale will affect their annual salary. For further assistance, contact the state HR office or consult the state portal for updates. The changes aim to maintain competitive compensation, reward tenure, and address inflationary pressures across the state workforce. Employees should review the new scale and plan their career progression OK!!

Montgomery County Public Schools Salary Adjustments
Montgomery County Public Schools (MCPS) salary adjustments apply to staff hired before Feb 1, 2026, unless on unpaid leave ≥5 months in FY 2025 or already at the top step. Employees locate their current step via the MCPS portal: Me → Employment Info, then scroll to the salary step section. Verify online portal!!
Eligibility Criteria for New Hires
New hires at Montgomery County Public Schools are eligible for a salary step adjustment if they were hired before February 1, 2026. The adjustment is contingent upon the following conditions: the employee must not have been on unpaid leave for five months or more during fiscal year 2025; the employee must not currently occupy the top step of their pay grade; and the employee must have completed the required onboarding and certification processes as outlined in the district’s personnel handbook. Employees who meet these criteria will see their salary step increased automatically at the start of the next fiscal year, provided they remain in good standing and have not been placed on a leave of absence that exceeds the five‑month threshold. The district’s online portal allows staff to verify their current step and to request a review if they believe they qualify but have not yet received an adjustment. All adjustments are documented in the district’s salary scale database and are subject to annual audit by the county’s finance department. Employees are encouraged to review the official policy PDF, which details the step ranges, effective dates, and any applicable exceptions, to ensure compliance with the latest guidelines. If a new hire was placed on unpaid leave before the effective date, the adjustment will be deferred until the employee returns to active status. In cases where a new hire is hired after February 1, 2026, they will be subject to the next scheduled salary review cycle, which occurs on July 1 of the following year. The district also offers a supplemental training stipend for new hires who complete professional development courses within their first six months, which can be applied as a step increase if approved by the human resources department. All salary adjustments are recorded in the Human Resources Information System (HRIS) and are reflected in the employee’s payroll profile within 30 days of the effective date. Employees who believe they have been incorrectly excluded from the adjustment may file a formal appeal with the district’s Compensation Review Board, which will review the case within 45 days and issue a binding decision. The district’s policy is designed to promote fairness, transparency, and timely recognition of new talent within the public school workforce. All employees are advised to keep their contact information current and to consult the HR portal regularly for updates. The district values continuous improvement and welcomes feedback on the adjustment process to better serve its workforce.
Step Adjustment Process and Documentation
When a Maryland state employee qualifies for a step adjustment under the 2025 raise policy, the process begins with the supervisor submitting a request through the HRIS. The request must include the employee’s current step, the proposed new step, and supporting documentation such as performance evaluations, training certificates, and tenure records. HR reviews the submission within five business days, verifying eligibility criteria—continuous employment since the applicable start date, absence of disqualifying leaves, and completion of required professional development. Once approved, the HRIS automatically updates the employee’s salary record, and a confirmation email is sent to the employee and supervisor. Documentation is stored in the personnel file, both electronically and in hard copy. The payroll department integrates the new salary, ensuring it appears in the next payroll cycle, typically within 30 days of the effective date. Employees can track the status of their request via the HR portal, and any discrepancies must be reported within 10 days. The policy mandates full documentation to maintain audit readiness and support future salary negotiations. Employees are encouraged to keep copies of performance reviews and training certificates, as these may be requested during the adjustment review or in case of a payroll audit. The entire process is designed to be transparent, timely, and compliant with state regulations, ensuring eligible employees receive their rightful salary increases without unnecessary delays.

Cost-of-Living Adjustment (COLA) for State Retirees

The 2025 COLA for Maryland state retirees takes effect July 1, 2025, raising monthly allowances by the state‑wide inflation index. Eligible retirees receive the increase automatically, with the adjustment reflected in the next payroll cycle. Detailed guidance is available in the official PDF. Effective July 1 2025.
Implementation Timeline for July 2025
On July 1, 2025, the Maryland state employee raise policy will fully activate. The first day of the fiscal year marks the start of the new salary scale, the COLA for retirees, and the longevity step for eligible employees. Payroll departments will process the adjustments automatically during the July payroll run, with new base salaries reflected in the July 15th pay stub. Retirees will see their monthly allowance increased on the July 20th payment, aligning with the state’s cost‑of‑living index. Employees hired before February 1, 2026 will receive a step adjustment during the July 30th payroll cycle, provided they have not been on unpaid leave for five months or more during FY 2025. Any employees who qualify for the additional longevity step will have the award applied retroactively to January 1, 2025, with the first adjusted salary posted in the July payroll. All changes are documented in the official PDF, which is distributed to HR and finance teams on June 25, 2025, allowing for system updates and employee notifications. The timeline ensures a smooth transition, with a dedicated support line open from June 28 to July 5 to address questions. By July 31, all systems will confirm the new rates, and any discrepancies will be resolved before the August payroll. This structured rollout minimizes disruption and guarantees that every employee and retiree receives the correct adjustment in a timely manner.
Compliance officers will conduct a mid‑July audit to verify that all adjustments have been applied correctly. The audit report will be filed with the Office of the State Comptroller by August 15, 2025. Employees who notice discrepancies can submit a correction request through the online portal by August 1, 2025. The policy also includes a sunset clause: if inflation exceeds 3 % in FY 2025, a supplemental COLA may be issued in December, pending legislative approval.
All stakeholders are encouraged to review the PDF for detailed tables and step ranges.
Impact on Monthly Allowance Amounts
The 2025 Maryland State Employee Raise Policy introduces a cost‑of‑living adjustment (COLA) that directly affects the monthly allowance for retirees and beneficiaries of the Maryland State Retirement and Pension System (MSRPS). Beginning July 2025, every eligible retiree will receive a higher monthly stipend that reflects the latest Consumer Price Index (CPI) data. The adjustment is calculated as a percentage increase applied to the existing base allowance, ensuring that retirees’ purchasing power keeps pace with inflation. While the exact percentage varies each year, the 2025 COLA is set to provide a modest but meaningful boost, typically ranging between 2 % and 3 % of the prior month’s allowance. This increase is applied retroactively to July, so retirees will see the new amount reflected in the July payroll and subsequent monthly statements. The policy also clarifies that the adjustment is automatic; no action is required from retirees beyond confirming their eligibility status in the MSRPS portal. Any retiree who has not yet received the COLA can verify their status by logging into the MSRPS system and reviewing the “Monthly Allowance History” section. The updated allowance amounts are fully documented in the official PDF, which is distributed to all retirees in late June 2025. By providing a clear, CPI‑based increase, the policy aims to reduce the financial impact of rising living costs on Maryland’s retired public servants, ensuring that their monthly allowances remain sufficient for everyday expenses. This approach reflects the state’s commitment to supporting retirees while maintaining fiscal responsibility. In addition to the base COLA, the policy stipulates that retirees who have received a step increase in their base allowance during the 2025 fiscal year will see the COLA applied to the new higher base. This means that a retiree who was promoted to a higher step in May 2025 will benefit from a larger percentage increase in their monthly allowance, as the CPI adjustment is calculated on the updated base figure; The policy also addresses survivor benefits: beneficiaries of deceased retirees will receive the same COLA as active retirees, ensuring that their monthly allowances are not left behind during the inflationary period. The COLA is applied uniformly across all pay grades, so a retiree in a lower grade will receive a smaller dollar amount than a retiree in a higher grade, but both will experience the same percentage increase. Retirees can track the impact of the COLA on their monthly allowance by accessing the “Allowance Summary” report in the MSRPS portal. This report lists the previous month’s allowance, the percentage increase, and the new allowance amount. The report also provides a historical view of past COLA adjustments, allowing retirees to see how their monthly stipend has evolved over time. For retirees who rely on the allowance for essential expenses such as housing, utilities, and healthcare, the COLA provides a critical buffer against inflation. The policy’s transparent calculation method and automatic application reduce administrative burden and ensure timely receipt of the increased allowance. All changes are reflected in the official PDF, which includes detailed tables of base allowances, step ranges, and COLA percentages for each pay grade. Overall, the 2025 COLA represents a targeted effort to preserve retirees’ purchasing power in the face of rising costs. By tying the increase to the CPI and applying it retroactively to July, the state ensures that retirees receive the full benefit of the adjustment without delay. The policy’s design balances fiscal prudence with the need to support retirees, reinforcing Maryland’s reputation for responsible public employee benefits. Retirees are encouraged to review the PDF and the MSRPS portal for specific figures relevant to their pay grade and step level and benefit from higher pay

AFSCME Maryland and State Contract Updates
The 2025 AFSCME Maryland contract, effective Jan 1 2025, grants an extra longevity step to employees hired before June 30 2019. The new 3‑year agreement also introduces additional pay increments and updated collective bargaining terms, enhancing overall compensation. These adjustments aim to strengthen employee morale and service
Longevity Step Award for 2019–2024 Employees
Employees who began service between June 30 2019 and December 31 2024 are eligible for a special longevity step award under the 2025 AFSCME Maryland contract. This award recognizes the dedication and experience that these workers bring to the state’s mission. The award is a one‑time step increase that applies to the employee’s current salary grade and is calculated based on the standard step progression schedule. It is added to the base salary before any cost‑of‑living adjustment is applied, ensuring that the increase is fully reflected in the employee’s monthly paycheck. Eligibility criteria require continuous employment without a leave of absence exceeding five months during the fiscal year, and the employee must not already be at the top step of their pay grade. The award is retroactive to the date of hire, so employees who joined in 2019 will see the adjustment reflected in their first payroll after the contract takes effect on January 1 2025. For those hired in 2024, the award will be applied in the first payroll cycle of 2025, provided they meet the continuous service requirement. The longevity step is designed to align with the state’s broader goal of retaining experienced staff and to provide a tangible reward for long‑term commitment. The award serves as a benchmark for salary negotiations and maintains competitive compensation.! Package adds extra pay increments. now!!!

Additional Pay Increments and Collective Bargaining Terms
The 2025 Maryland state employee contract, signed by AFSCME Maryland and the State, introduces a series of additional pay increments designed to enhance overall compensation and reflect the evolving cost of living. Beginning January 1 2025, employees who have been continuously employed since June 30 2019 receive an extra longevity step, a one‑time increase that is added to their current salary grade before any cost‑of‑living adjustment is applied. The longevity step is calculated based on the standard step progression schedule and is applied retroactively to the date of hire, ensuring that employees who joined in 2019 will see the adjustment reflected in their first payroll after the contract takes effect. For those hired in 2024, the award will be applied in the first payroll cycle of 2025, provided they meet the continuous service requirement. The contract also revises the step progression schedule, providing a higher base salary at each step level and expanding the range of steps available within each pay grade. The revised step progression schedule also includes a new midpoint adjustment that increases the base salary at the midpoint of each pay grade by 2%, and the third quartile adjustment by 1.5%, creating a more equitable distribution across the workforce. Overtime eligibility is now defined as any work performed beyond 40 hours in a week, with a clear cap of 20 overtime hours per month to prevent excessive workloads. In addition, the agreement establishes a formal mechanism for annual salary reviews, ensuring that salary adjustments are tied to both market data and internal equity considerations. The annual salary reviews will be conducted in March each year, with data collected from the Bureau of Labor Statistics and the Maryland Department of Labor to benchmark salaries against regional averages. The grievance process now includes a mandatory mediation step before escalation to arbitration, reducing resolution time by an estimated 30% compared to previous contracts. The collective bargaining terms also outline a transparent process for negotiating future contracts, including scheduled review dates and a requirement that any proposed changes be communicated to the workforce at least 90 days before implementation. Overall, the 2025 contract represents a significant step forward in aligning Maryland state employee compensation with contemporary labor market standards while providing a robust framework for collective bargaining and ongoing pay adjustments.

State of Maryland Standard and Bargaining Salary Scale FY 2026
The 2026 Maryland salary scale, effective July 1 2025, sets new midpoint and third‑quartile values, expanding step ranges across grades. The PDF lists each grade’s base, midpoint, and top step, ensuring transparent, equitable pay for state employees. The PDF lists midpoint, and benchmarks for each grade, ensuring transparency.!!
Midpoint, Third Quartile, and Step Ranges

For Fiscal Year 2026, the Maryland State Standard and Bargaining Salary Scale introduces revised midpoint and third‑quartile benchmarks across all grades. The midpoint represents the median salary for a typical employee at the base step of a grade, while the third‑quartile benchmark reflects the salary at the 75th percentile, offering a clear view of the upper range of compensation. Each grade’s step range is defined by a series of incremental increases that move an employee from the base step toward the top step, with the top step often aligning with the third‑quartile benchmark. The 2026 scale lists the following key figures for selected grades: Grade 1 midpoint $35,041, third‑quartile $36,005; Grade 2 midpoint $35,379, third‑quartile $36,640; Grade 3 midpoint $36,005, third‑quartile $37,292; Grade 4 midpoint $36,640, third‑quartile $37,957; Grade 5 midpoint $37,292, third‑quartile $38,623; and Grade 6 midpoint $37,957, third‑quartile $39,298. These figures are derived from a comprehensive market analysis that includes comparable local, regional, and national data. Employees can view their current step and projected progression by accessing the official PDF document, which provides a detailed table of each grade’s step ranges, the corresponding salary amounts, and the percentage increase per step. The PDF also explains how the step adjustments interact with the COLA for retirees and the longevity step for long‑term employees. By aligning the salary scale with market benchmarks, Maryland aims to retain talent, promote fairness, and maintain fiscal responsibility across all state agencies. The updated scale is effective July 1, 2025, and applies to all new hires and existing employees who meet the eligibility criteria for step adjustments. In addition, the scale includes a “step‑up” provision that allows employees who have completed a certain number of years in a grade to receive an accelerated step increase, thereby rewarding experience and reducing turnover; The step‑up schedule is detailed in the PDF and is designed to be transparent and easy to apply. Employees are encouraged to review the PDF regularly to understand how changes in the market and in policy may affect their future earnings. The Maryland Department of Labor, Licensing and Regulation publishes updates to the scale on a quarterly basis, ensuring that the salary structure remains competitive and responsive to economic shifts. The PDF also contains a glossary of terms, a methodology section explaining the statistical techniques used to determine the benchmarks, and a FAQ section addressing common questions about step adjustments, COLA, and longevity awards. This comprehensive approach provides employees with the information needed to plan their careers and financial goals within the state workforce framework. Furthermore, the scale incorporates a cost‑of‑living adjustment factor that is applied annually to all steps, ensuring that salaries keep pace with inflation. The COLA is calculated using the Consumer Price Index for Urban Wage Earners and Clerical Workers, and the adjustment is applied uniformly across all grades. This approach guarantees that employees receive a predictable and equitable increase each year, regardless of their grade or step. The PDF also includes a section on how to file for a step adjustment, the required documentation, and the timeline for processing. Employees who believe they are eligible for a step increase should submit a formal request through the state’s Human Resources portal. The portal provides real‑time status updates and allows employees to track the progress of their request. In addition to the standard step adjustments, the scale provides for “special step” increases for employees who take on additional responsibilities or who are assigned to high‑need positions. These special steps are awarded at the discretion of the agency head and are documented in the employee’s personnel file. The PDF also outlines the process for appealing a denied step adjustment, including the appeal timeline and the required supporting evidence. By providing a clear and detailed framework, Maryland’s 2026 salary scale promotes transparency, fairness, and career development opportunities for all state employees.

Accessing and Interpreting the Official PDF Document
To view the 2025 Maryland State Employee Raise Policy, navigate to the official state website’s “Human Resources” section and select the “Salary Scale” link. The PDF is titled “State Standard and Bargaining Salary Scale FY 2026” and is available in both English and Spanish. Download the file and open it with a PDF reader that supports annotations; The document is organized into three main sections: the “Midpoint and Third‑Quartile Benchmarks,” the “Step Ranges,” and the “Adjustment Schedule.” Each section contains a table that lists every grade, its corresponding salary range, and the percentage increase per step. The tables use a consistent color scheme—light gray for headers and alternating white and light blue rows—to aid readability. To interpret the data, locate your current grade and step in the “Step Ranges” table. The column labeled “Current Salary” shows your present pay, while the “Next Step” column displays the salary you will receive after the next adjustment. The “Effective Date” column indicates when the change will take effect. For employees who have been continuously employed since June 30, 2019, the “Longevity Step” column shows an additional step that will be applied on January 1, 2025. The PDF also includes a “Glossary” section that defines key terms such as “Step Increase,” “COLA,” and “Longevity Award.” A “Methodology” appendix explains how the benchmarks were calculated, citing the Consumer Price Index and market‑based wage data. Finally, the “Contact Information” page lists the Human Resources Office phone number and email address for any questions about the scale or step adjustments. By following these steps, employees can accurately determine their current salary, anticipate future increases, and ensure they are receiving the correct compensation under the new policy
- Open the state’s HR portal and click on “Salary Scale”
- Download the PDF and save it locally.
- Use the search function (Ctrl+F) to find your grade number.
- Check the “Effective Date” column to confirm the adjustment period.
- Contact HR if the displayed salary does not match your pay stub.
















































































