Purpose

To provide agency instructions for processing the April 2017 SCF CSEA LLS payment for newly eligible employees

Affected Employees

Employees in Bargaining Unit 97 in the University Construction Fund with an increment code of 2007 or 2012 who meet the eligibility criteria

Background

Due to the expiration of the previous contract (2011-2016), Longevity Lump Sum payments were not paid in April 2017 to SCF CSEA employees who became eligible for a five (5) year payment for the first time after March 31, 2016. SCF CSEA employees who became eligible for a ten (10) year payment for the first time after March 31, 2016 continued to receive the five (5) year amount.

The State University Construction Fund’s Board Resolution 2017-12 authorizing the 2016-2021 Memorandum of Agreement between the State University Construction Fund and CSEA provides for these employees to be eligible to receive the April 2017 Longevity Lump Sum (LLS) payment. Employees of SCF receive this payment in April only.

Effective Date(s)

Payment is effective 04/01/2017 and may be submitted beginning in Administration Pay Period 16L. Payments will be processed in a separate check dated 11/29/2017. There is no direct deposit for this payment.

Eligibility Criteria

Employees in NS position (Grade 600) which are equated to grade (Grades 001-031) are eligible for the April 2017 SCF CSEA LLS payment provided the employee:

• Is Active, on a Leave With Pay, or on an Unpaid Military Stipend Leave in a BU97 position on the appropriate payment eligibility date (3/31/2017 ); and
• Has a Pay Basis Code of ANN or BIW (only if the employee is on a Paid Military Stipend Leave) on the appropriate payment eligibility date (3/31/2017 ); and
• Has five (5) or more years or ten (10) or more years of continuous service* at a base annual salary equal to or greater than the Job Rate of the employee’s grade (based on the 04/01/16 Salary Schedule) as of the appropriate payment eligibility date (03/31/17); and
• Did not receive an “Unsatisfactory” evaluation on their last rating date. Employees who were not rated or not reported as “Unsatisfactory” in PayServ during the period will receive the payment.

*Continuous service, as used in determining eligibility for the LLS payment, is paid service (including part-time annual salaried service, Paid Military Leave and Sick Leave at Half Pay), or time on Workers’ Compensation Leave or Unpaid Military Leave.

Please refer to Payroll Bulletin No. 32 for further information and guidance on determining eligibility for the April 2017 SCF CSEA LLS payment for employees in the following scenarios:

• Employees who may become eligible for the April 2017 SCF CSEA LLS payment upon processing of the April 2017 SCF CSEA Performance Advance which resulted in Job Rate:
  • Lateral position change from a Non-SCF CSEA position where the employee’s salary was equal to or greater than job rate to a SCF position with a higher job rate
• Employees who may become eligible for the April 2017 SCF CSEA LLS payment during 2017-2018:
  • Leave of Absence/Preferred List on 03/31/2017
  • Demotions after 03/31/2017

Control-D Report and Agency Actions Prior to Processing

The following report dated 08/31/2017 is available for agency use:

NPAY756 CSEA Longevity Eligibility Listing

This report is a preliminary listing of employees who appear eligible for the five (5) year or ten (10) year LLS payment as of March 31, 2017.

The agency should review this listing carefully, paying particular attention to the following:

• Employees who appear on the listing but are ineligible due to an “Unsatisfactory” evaluation on their last rating date
• The “LAST LLS Date’ and ‘PMT AMT’ fields, if applicable
  • For employees who appear to be eligible to receive the April 2017 SCF CSEA LLS payment who were reported with a prior LLS payment with an effective date greater than 04/01/2016, to determine if the payment represents an April 2017 payment
  • If it is determined the cycle of the prior payment reported and the employee’s payment cycle in effect on the payment eligibility date 03/31/2017 is not consistent, the agency must review the employee’s increment code and, if necessary, contact OSC using the Payroll Earnings mailbox to request assistance in determining the appropriate action.

Corrections to the preliminary listing should be submitted on the Correction Sheet. (The form may be duplicated if additional copies are needed.) This form must be used to:

• Add employees who do not appear on the listing, such as:
  • Eligible employees in NS positions where the equated grade does not appear on the Position Data page; The agency must submit documentation of the salary equation with the Correction Sheet.
  • Eligible employees who are in composite positions (identified by Increment Code 2222)
• Delete employees who should not appear on the listing, such as:
  • Employees with an “Unsatisfactory” evaluation during the period stated above; In addition, in order to prevent the payment, the agency must submit a Data Chg on the Job Action Requests page using the employee’s last rating date as the effective date, the Reason code USP (Unsat Perf), and an increment code of 7777 in the Incr. Code field.
• Identify employees appearing on the listing who have incorrect information appearing in PayServ, affecting their eligibility for the SCF CSEA LLS payment. In addition, the agency must submit the appropriate transaction to correct the information.
• Corrections should be submitted as soon as possible. Please fax corrections to (518) 474-2601 and email the Payroll Earnings mailbox including the Department ID and ‘LLS Correction Sheet’ in the Subject line to inform OSC that a correction has been faxed.

Agency Actions

The Agency must enter the following information into the Additional Pay page to pay an eligible employee who has not received the April 2017 SCF CSEA LLS payment. Transactions should be submitted immediately.

• Increment Code of 2012 on the Payment Eligibility Date (03/31/2017): The agency must submit transactions for eligible employees who meet the eligibility criteria. The effective date of the SCF CSEA LLS payment amount should be 04/01/2017, as appropriate. The payment amount is $1,250 or a prorated amount, as described below:
  • Employees who were on a Voluntary Reduction in Work Schedule (VRWS) on the payment eligibility date (03/31/2017) receive the full LLS payment amount based on the employee’s increment code. The agency must verify that the Full/Part field on the Job Data/Job Information page is ‘Voluntary’.
  • Employees who were on a Leave With Pay with an Action/Reason code of Paid Leave of Absence/SKL (Sick Lv) on the payment eligibility date (03/31/2017) receive an amount based on the employee’s increment code and percentage. The full LLS payment amount based on the employee’s increment code is multiplied by the employee’s Empl Work Percent on the Job Data/Job Information page prior to the leave.
  • All other employees (including employees on a Leave With Pay, Paid Military Stipend Leave and Unpaid Military Stipend Leave) receive an amount based on the employee’s increment code and percentage in effect on the payment eligibility date (03/31/2017). The full LLS payment amount based on the employee’s increment code is multiplied by the employee’s Empl Work Percent on the Job Data/Job Information page in effect on the payment eligibility date.
• Increment Code of 2007 on the Payment Eligibility Date (03/31/2017): If an April 2017 SCF CSEA LLS row already exists on the employee’s Additional Pay page and the amount in the Annual Additional Earnings field is less than or equal to $1,250, the agency must submit transaction for the eligible employees. The effective date of the LLS payment should be 04/01/2017 and a payment amount of $1,250.
• Increment Code 2222 on the Payment Eligibility Date (03/31/2017): The agency must submit transactions for eligible employees who are in a composite position on the applicable payment eligibility date. The effective date of the LLS payment should be 04/01/2017, as appropriate. The LLS payment amount should be calculated as explained earlier in this section and based on the increment code of the employee’s qualifying position (noted in General Comments) and the percentage attributed to such position on the payment eligibility date. Information regarding the composite position must be included on the General Comments page.
• Lateral Position Change: The agency must submit transactions for eligible employees with a salary equal to or greater than the Job Rate in a non-SCF CSEA position, who had a lateral position change to a SCF CSEA position with a higher Job Rate, and whose salary upon application of the April 2017 SCF CSEA Performance Advance is equal to the Job Rate in the SCF CSEA position as explained above. The effective date of the LLS payment should be 04/01/2017, as appropriate. The LLS payment amount should be calculated as explained above and based on the employee’s adjusted increment code indicating job rate credit.
• Leave of Absence on 03/31/17: The agency must submit transactions for employees who are otherwise eligible on the applicable the payment eligibility date (03/31/2017) to receive the payment but whose Payroll Status is Leave of Absence (except those on Unpaid Military Stipend Leave) and who return from such leave between 04/01/2017 and 03/31/2018 as explained above. Transactions should be submitted in the pay period the return from leave is processed or in Administration Pay Period 16L if the employee has already returned; the effective date of the LLS payment should be the same as the return from leave effective date. The LLS payment amount should be calculated as explained above.

Note: The employee’s increment code may need to be adjusted as a result of the leave of absence in effect on the payment eligibility date (03/31/2017 ) and could impact the employee’s April 2017 SCF CSEA LLS eligibility.

• Preferred List on the Payment Eligibility Date (03/31/2017): The agency must submit transactions for employees who are otherwise eligible on the payment eligibility date (03/31/2017) to receive the payment but who are on a preferred list and who are appointed to an eligible position between 04/01/2017 and 03/31/2018 as explained above. Transactions should be submitted in the pay period the appointment is processed or in Administration Pay Period if the employee has already been appointed; the effective date of the LLS payment should be the same as the appointment effective date. The LLS payment amount should be calculated as explained above and based on the percentage associated with the eligible position.

Note: The employee’s increment code may need to be adjusted as a result of time off the payroll and could impact the employee’s April 2017 SCF CSEA LLS eligibility.

• Demotions after the Payment Eligibility Date (03/31/2017): The agency must submit transactions for employees who are ineligible for the payment on 03/31/2017 but become eligible on or before 03/31/2017 due to a demotion as explained above. Transactions should be submitted after the employee completes six (6) full pay periods in the lower grade; the effective date of the LLS payment should be the same as the effective date of the demotion. The LLS payment amount should be calculated as explained above and based on information on the date of the demotion. The reason the demotion occurred must be included on the General Comments page.

To Correct an Increment Code

If the payment amount was incorrect because the Increment Code was incorrect, the agency must, in addition to submitting the LLS payment, submit a Job Action Request using the Action/Reason code of DTA/CIC (Data Change/Correct Increment Code). The appropriate increment code must be entered in the Increment Code field.

Overtime Calculation Information

The LLS payment is included in the calculation of overtime compensation (refer to the Online Payroll Manual accessed from the PayServ Bulletin Board – Payroll Manual > Earnings Manual > Payments\Withholdings > Overtime Compensation). April 2017 SCF CSEA LLS payment will be included in the calculation of overtime earned from the OT Eff Date through the End Date on the employee’s Additional Pay page for Earnings Code LLS.

If an employee is appointed to an ineligible position (including a position which results in a salary below the Job Rate of the grade of the new position) after the effective date of the April 2017 SCF CSEA LLS payment, the payment cannot be included in the compensation calculation of any overtime earned after the date of the appointment.

Therefore, if an eligible employee was appointed to an ineligible position prior to or in Pay Period 16L, OSC will update the End Date of those transactions processed automatically to reflect the last date the employee was in an eligible position. If the appointment is made after Pay Period 16L, the agency is responsible for inserting a row on the Additional pay page at the Effective Date level of Earnings Code LLS and entering the following information.

The transaction should be submitted in the same pay period in which the position change is processed.

Retroactive Adjustment

OSC will automatically calculate retroactive adjustments for overtime earned on or after the OT Eff Date associated with the April 2017 SCF CSEA LLS payment and paid prior to the automatic processing of the SCF CSEA LLS payment.

Agency Actions – Retroactive Processing

Time Entry earnings codes that are submitted with an amount will not be adjusted automatically. Therefore, beginning in Pay Period 16L, the agency must report the adjustment amount for earnings codes such as Extra Time Override (EXO) and Regular Salary Override (RGO).

Correcting an Automatic Retroactive Adjustment

When certain conditions exist in an employee’s record, the automatic retroactive adjustment may be incorrect. Therefore, the agency is responsible for identifying employees who meet the following conditions and, if necessary, submitting the necessary adjustment.

• If an employee has a check returned or exchanged on an AC-230 for dates on or after the effective date of the payment, the payroll system does not consider the AC-230 when calculating the automatic retroactive adjustment.
• If earnings were previously reported using Earnings Code RGS and a date range that exceeded the number of days reported, the system will calculate the adjustment of earnings based on the number of workdays within the range.
• Adjustments for earnings that are calculated automatically, such as OT for Annuals (OTA), will be calculated incorrectly if the dates previously reported as a single entry on the Time Entry page overlap the effective date of the payment. The system will calculate an adjustment for all earnings reported in a single entry based on the salary in effect on the Earnings End Date.
• For employees who had a change reported on the Job Data page, since the effective date of the payment and the action resulted in an overpayment of earnings, the automatic negative retroactive adjustment may not have been processed because the overpayment was either not recoverable or was recovered using an overpayment earnings code or an AC-230. In this case, the negative retroactive adjustment may be re-generated when the payment is processed. OSC will turn off (not process) the automatic negative adjustment for these employees since in most cases these overpayments were either not recoverable or recovered using another method.

If an overpayment of earnings is identified after the automatic payment is processed but before the paycheck is received by the employee, the employee must be notified of the overpayment and the adjustment that will be reported in a subsequent pay period.

Submitting an Adjustment

To process a retroactive adjustment or correct an automatic retroactive adjustment, the agency must submit the following information on the Time Entry page or the Time Entry Interface (NPAY502) using the Earnings Code AJR.

Military Stipend Leave

OSC will recalculate the military stipend amount for employees who were placed on a Paid or Unpaid Military Stipend Leave on or after the effective date of the payment as the result of new military orders.

• If the employee received a stipend, OSC will insert a row on the employee’s Job Data page effective the date the employee is entitled to the increase using the Action/Reason code of Pay Rate Change/MSC (Military Stipend Change) and will increase the employee’s biweekly stipend amount. In addition, updates will be made to all subsequent rows requiring an increased biweekly stipend amount.
• If the employee did not receive a stipend but becomes eligible for a stipend as a result of the payment, OSC will insert the following in PayServ.
  • A row on the employee’s Job Data page effective the date the employee is entitled to a stipend using the Action/Reason code of Paid Leave of Absence/MLS (Mil Stip) and the new biweekly stipend amount
  • A row on the employee’s Job Data page for each affected subsequent row using the Action/Reason code of Pay Rate Change/MSC (Military Stipend Change) and the new biweekly stipend amount
  • A row on the Time Entry page using the Earnings Code MSP (Military Stipend Payment) to pay the stipend for each pay period the employee is eligible
  • Any additional adjustment that is required due to the increased biweekly stipend amount that will not be calculated automatically will be reported by OSC on the Time Entry page using the Earnings Code AMS (Adjust Military Stipend).

Retirement and Deduction Information

The LLS payment is included as salary for retirement purposes. Deductions will be taken from the LLS payment for normal retirement contributions, garnishments and federal levies.

Tax Information

The LLS payment and AJR adjustment are supplemental taxable income, subject to all employment taxes and income taxes.

Federal, State, and New York City income tax withholding will be calculated using the Aggregate method. Yonkers income tax withholding will be calculated using the Flat Rate method. Yonkers Flat Rate Withholding is 1.61135% for Yonkers residents and 0.50% for Yonkers non-residents.

Payroll Register and Employee’s Paycheck/Advice

The Earnings Code LLS and the amount paid will be displayed on the Payroll Register. The Earnings Description Longevity LSP and the amount paid will appear on the employee’s paycheck stub and direct deposit advice (if applicable).

This payment will be made in a separate check regardless of when it is paid. The separate check will be issued with the employee’s regular paycheck or direct deposit advice based on information for that check date. There is no direct deposit for this payment.

Undeliverable Checks

If the agency has made an effort to deliver the check to the employee but the check has been returned and is undeliverable, the agency should forward the check to the NYS Department of Taxation and Finance, Division of Treasury, per instructions in Payroll Bulletin No. 908.

Questions

Questions regarding eligibility and payment information may be directed to the Payroll Earnings mailbox.

Questions regarding deductions and retirement may be directed to the Payroll Deduction mailbox.

Questions regarding withholding taxes may be directed to the Tax and Compliance mailbox.