An advisory board is recommending $76 million in salary and benefit increases for North Dakota state government workers over two years, a proposal that Gov. John Hoeven says may need to be reworked.

The State Employees Compensation Commission's proposal would provide money for 4 percent pay rises in 2009 and 2010. The percentage increase would not apply across the board, but each worker would get a minimum $75 monthly raise.

In addition, the recommendation asks Hoeven to raise the brackets within North Dakota's government system that are used to set employee pay.

North Dakota's state personnel system has 20 pay grades for employees who have civil service protection, each with a minimum and maximum salary. The recommended 8.1 percent increase would be used to raise salaries within those pay grades, not to give each worker an 8.1 percent rise.

Hoeven said Tuesday the proposed 4 percent pay increases could be sweetened and coupled with an "equity pool" of money. The equity pool would be earmarked for giving higher raises for government jobs that are paid much less than comparable private employment, Hoeven said.

The 8.1 percent increase for raising state pay brackets "sounds a little high," the governor said. "In terms of the 4 percent each year, we'll do that. I think we can do more than that."

Gary Feist, who is president of the North Dakota Public Employees Association, said the commission's recommendation was a welcome effort to make pay for state government jobs more competitive with the private sector.

Feist said an equity pool may be a better method of directing increased salary dollars to jobs where they are most needed.

"The commission's report is probably better than I expected," Feist said. "But I'm not sure it is probably in the best form that it could be. Maybe there's a different way of presenting it … so it is more understandable what employees are actually going to get."

The advisory commission also wants the Legislature to continue providing fully paid family health insurance coverage for workers, a benefit now worth an average of $658 monthly. North Dakota government employees do not have to chip in a share of their monthly health insurance premiums.

The commission, which is made up of state officials and legislators, makes pay recommendations for the governor to consider in writing his budget recommendations. The Legislature controls the details of the final state employee pay package.

Last year, lawmakers approved money for a 4 percent pay raise for workers in July 2007 and July 2008. North Dakota's budget year begins July 1.

Feist said strong pay increases for state employees are essential to help North Dakota government compete for labor in a tight market.

"The turnover seems to be increasing. It's not just in those specialized fields," he said. "It is now happening in all job titles, where people are finding different jobs outside of public service, moving into the private sector, because of the growing economy and the different jobs that are now available within the state."