More than 3,800 employees at City Hall, from janitors to executives, will be affected by the long-awaited overhaul of the city’s pay plan that Mayor Levar M. Stoney is expected to introduce Monday, Jan. 7, to Richmond City Council.

The overhaul, begun two years ago during the tenure of former Mayor Dwight C. Jones, is aimed at creating minimum and maximum pay ranges for virtually every city position.

The proposal would replace the current pay plan that has been in place since 1993.

The changes would be retroactive to Saturday, Jan. 5, if the overhaul wins council approval.

The changes would incorporate the 1 percent pay raise for full-time city employees with at least one year of service, other than police and firefighters, that was approved by City Council in the 2018-19 budget plan passed last May and that is effective Friday, Jan. 4.

The recommendations in the proposed ordinance are based on the work of Arthur J. Gallagher & Co., a consulting firm hired to conduct a citywide job classification and pay study, according a statement accompanying the proposal.

How much change it will usher in is uncertain. According to the statement accompanying the proposal, installation of the changes is expected to cost about $592,000.

That includes the cost of moving all employees to at least the minimum level of their pay range and increasing the city’s “living wage” for its lowest paid full-time employees from $11.66 an hour to $12.07 an hour, a 3.5 percent hike that was authorized by the council in the budget approved last May.

The cost also includes $85,000 to increase the differential for shift work after 5 p.m. from 50 cents an hour to $1 an hour.

Among other changes, the new plan would give department heads the authority to provide up to 5 percent annual increases to classified employees, as long as the increase doesn’t put an employee over the top salary allowed in a pay grade.

As a check, such raises would also need approval from the director of human resources. Larger raises would require the approval of the city’s chief administrative officer, according to the plan.

A 5 percent raise could be authorized for classified employees only if they are rated above “meets standards” in their performance review, the proposal states.

Unclassified employees, who largely fill the management ranks, can receive 10 percent raises regardless of their performance review, the proposal notes.

The proposal also would allow the CAO to provide pay hikes up to 15 percent to retain key employees. Currently, the CAO can provide raises of up to º10 percent to retain key employees.

Also, the proposal would allow the CAO to create temporary positions for up to six months. Currently, the CAO must eliminate temporary positions after 60 days.