Purpose
To inform agencies of new earnings codes and procedures for processing the 2011-2012 CSEA Deficit Reduction Plan.
Affected Employees
Employees in the following bargaining units:
| Administrative Services | BU02 |
| Operational Services | BU03 |
| Institutional Services | BU04 |
| Division of Military & Naval Affairs | BU47 |
Background
Pursuant to Section 7 of Part A of Chapter 491 of the Laws of 2011 and the Division of the Budget Bulletin B-1193 issued August 19, 2011, a plan has been established to reduce the compensation of any employee within the purview of the agreement between the State of New York and the Civil Service Employees Association.
Effective Date(s)
The 2011-2012 CSEA Deficit Reduction Plan will commence Institution Pay Period 10L/11C and Administration Pay Period 11L/12C and will continue through Institution Pay Period 24L/25C and Administration Pay Period 25L/26C.
Attachment A provides a breakdown of the CSEA Deficit Reduction Plan period by check date and includes the pay period number, pay period begin date and pay period end date for each pay type.
New Earnings Codes
OSC has created new earnings codes to process the deficit reduction.
| Additional Pay Earnings Codes |
Description |
| D1C | 11-12 Deficit Reduction CSEA (Retro Code – R1C) |
| A1C | 11-12 Adj Deficit Reduct CSEA |
| Time Entry Earnings Code | Description |
| D2C | 11-12 Deficit Reduct Oth CSEA |
Automatic Set up of the D1C Additional Pay Record – OSC
In Institution Pay Period 10L/11C and Administration Pay Period 11L/12C, OSC will insert a row on the Additional Pay page for employees who meet ALL of the following criteria:
- Employee is in an eligible bargaining unit as defined above on the pay period end date.
- Employee has an Employee Status of Active, Leave with Pay or Leave of Absence on the pay period end date.
- Employee was not in an ineligible bargaining unit (one not defined above) with an Employee Status of Active or Leave with Pay any time during the pay period.
Exception: The Additional Pay record will not be automatically created for employees in a composite position (identified by Increment Code 2222) since the system cannot determine if the hidden position is in an eligible bargaining unit.
The inserted row on the Additional Pay page will be set up as follows:
| Earnings Code: | D1C |
| Effective Date: | First day the employee is in an eligible bargaining unit with an Employee Status of Active or Leave with Pay in the above pay period; otherwise, first day the employee is in an eligible bargaining unit with an Employee Status of Leave of Absence in the above pay period |
| Earnings: | The field will be left blank; the system will calculate the D1C amount based on the eligible earnings. |
| End Date: | Pay period end date for Institution Pay Period 24L/25C or Administration Pay Period 25L/26C |
Manual Set up of the D1C Additional Pay Record – Agency
Employees Not Meeting Automatic Set Up Criteria
Agencies are responsible for creating the Additional Pay record for those employees who do not meet the criteria in the Automatic Set Up section but who are in an eligible bargaining unit with an Employee Status of Active or Leave with Pay any time during Institution Pay Period 10L/11C or Administration Pay Period 11L/12C.
The Additional Pay record should be set up as follows:
| Earnings Code: | D1C |
| Effective Date: | First day the employee is in an eligible bargaining unit with an Employee Status of Active or Leave with Pay in the above pay period |
| Earnings: | The field must be left blank; the system will calculate the D1C amount based on the eligible earnings |
| End Date: | Last day the employee is in an eligible bargaining unit |
Newly Eligible Employees
Agencies are also responsible for creating the Additional Pay record for employees who are hired, rehired, concurrently hired or transferred into an eligible bargaining unit with an Employee Status of Active or Leave with Pay after the initial pay period through Institution Pay Period 24L/25C or Administration Pay Period 25L/26C. Agencies must also create or restart the Additional Pay record if an employee returns from a Leave of Absence to an eligible bargaining unit with an Employee Status of Active or Leave with Pay.
The Additional Pay record should be set up as follows:
| Earnings Code: | D1C |
| Effective Date: | Date of the hire, rehire, concurrent hire, transfer or return from leave transaction into an eligible bargaining unit with an Employee Status of Active or Leave with Pay within the deficit reduction period |
| Earnings: | The field must be left blank; the system will calculate the D1C amount based on the eligible earnings |
| End Date: | Pay period end date for Institution Pay Period 24L/25C or Administration Pay Period 25L/26C |
Note: An Additional Pay record using Earnings Code D1C should only be created for an employee in a composite position (identified by Increment code 2222) if the bargaining unit of each position making up the composite position is eligible as defined above. Otherwise, the agency should submit the deficit reduction amount each pay period using the Additional Pay deficit reduction adjustment code (see Processing Adjustments section).
Processing Deficit Reduction – D1C (Additional Pay)
Each pay period, the system will calculate the deficit reduction amount for employees with a D1C record that was active any time during the pay period being processed regardless of whether the employee was in an eligible bargaining unit. The system will total all monies for the following earnings codes where the earnings end date falls within the pay period dates being processed and multiply the result by -.03333.
| Earnings Code | Description |
| AGP | Adj Geographic Pay |
| AIF | Adj Inconvenience Pay Full |
| AIP | Adj Inconvenience Pay Part |
| ALP | Adj Location Pay |
| AMS | Adjust Military Stipend |
| ASD | Adj Shift Differential |
| FEE | Fee |
| FRC | Fee – Retirement Credit |
| GEO | Geographic Pay |
| IPF | Inconvenience Pay – Full |
| IPP | Inconvenience Pay – Part |
| LMH | Location Mid-Hudson |
| LOC | Location Pay |
| LOM | Location Pay – Other Amount |
| MSP | Military Stipend Payment |
| RGH | Regular Pay Hourly Employee |
| RGS | Regular Pay Salary Employee |
| RGO | Regular Pay Override |
| SDF | Shift Differential |
| TSP | Military Training Stipend |
As with other Additional Pay Earnings Codes, it may be necessary to submit an adjustment in order to calculate the correct deficit reduction amount.
Employees No Longer Subject to Deficit Reduction
If an employee transfers into a bargaining unit that is not subject to the CSEA Deficit Reduction Plan, the agency must insert a row on the Additional Pay page for Earnings Code D1C and insert an End Date equal to the last date the employee is in an eligible bargaining unit.
Processing Adjustments – A1C (Additional Pay)
If an employee is in both an eligible and an ineligible bargaining unit during a pay period and has a D1C record active any time during the same pay period, the system will calculate the deficit reduction amount on all eligible earnings where the earnings end date falls within the pay period dates being processed. It is the agency’s responsibility to determine the monies that should not have been included in the deficit reduction amount, calculate the adjustment amount and submit a positive adjustment using Earnings Code A1C.
In addition, the system will not include any monies paid using one of the eligible earnings codes listed above for earnings in an eligible bargaining unit where the earnings end date is prior to the pay period begin date for the pay period being processed. It is the agency’s responsibility to determine those monies that should have been included in the deficit reduction amount and submit a negative adjustment using Earnings Code A1C.
As mentioned above, an Additional Pay record using Earnings Code D1C should not be created for an employee in a composite position (identified by Increment Code 2222) if the bargaining unit of each position making up the composite position is not eligible as defined above. Therefore, it is the agency’s responsibility to total the portion of monies paid each pay period for any of the eligible earnings codes listed above that are earned during the deficit reduction period in an eligible bargaining unit, calculate the deficit reduction amount and submit a transaction using Earnings Code A1C.
The Additional Pay record for Earnings Code A1C should be set up as follows:
| Earnings Code: | A1C |
| Effective Date: | First day the employee is in an eligible bargaining unit within the current pay period |
| Earnings: | Total adjustment amount – can be negative or positive |
| Goal Amount: | Total adjustment amount – can be negative or positive |
Control-D Report NPAY729
In order to assist agencies in identifying monies that should be included in the A1C calculation, Control-D report NPAY729 (Earnings Requiring an Adjustment to the Deficit Reduction Calculation) will identify employees who have earnings in Paycheck Data for one or more of the earnings codes listed above with an earnings end date that is less than the begin date for the pay period being processed and falls within the deficit reduction period and who are in an eligible bargaining unit with an Employee Status of Active or Leave with Pay on the earnings end date for the specified earnings code. The report will be available the Thursday after the payroll period is confirmed.
The report is sorted by Employee Name and then by Earnings Begin Date and Earnings Code. Fields on the report include Emplid, Employee Record Number, Employee Name, Earnings Code, Earnings Begin Date, Earnings End Date, House/Days, Earnings Amount, Pay Period Begin Date and Pay Period End Date.
Processing Deficit Reduction – D2C (Time Entry)
Monies earned during the deficit reduction period while in an eligible bargaining unit using any of the earnings codes listed below are also subject to the deficit reduction but will not be calculated automatically.
| Earnings Code | Description |
| BSA | Back Salary Award |
| EXO | Extra Time Override |
| EXT | Extra Time |
| EC1 | Extra Serv Clin Teacher Multi |
| EC2 | Extra Serv Clin Teacher Single |
| EH1 | Extra Serv Physician 76 Multi |
| EH2 | Extra Serv Physician 76 Single |
| EP1 | Extra Serv Physician Multi |
| EP2 | Extra Serv Physician Single |
| ER1 | Extra Serv Multi 7.5 HR |
| ER2 | Extra Serv Multi 8 Hr |
| ER3 | Extra Serv Multi OT |
| ER4 | Extra Serv Single 7.5 HR |
| ER5 | Extra Serv Single 8 HR |
| ER6 | Extra Serv Single OT |
| ES1 | Extra Service Hourly |
| ES2 | Extra Service Amount |
| HPA | Holiday Pay |
| HPB | Holiday Pay 1.5 |
| HPH | Holiday Pay – Hourly |
| HPI | Holiday Pay – Hourly 1.5 |
| HPL | Holiday Pay Override |
| HPM | Holiday Pay for Firefighter |
| IIC | Intermittent Inc Pay CSEA |
| IIP | Intermittent Inconvenience Pay |
| IP1 | Intermittent Inc Pay-4Day |
| IP2 | Intermittent Inc Pay-3Day |
| IP3 | Intermittent Inc Pay CSEA-3Day |
| IP4 | Intermittent Inc Pay CSEA-4Day |
| IPS | Inc Pay Seasonal HRY |
| LCA | Seasonal Loc Pay – 8 hour |
| LCB | Seas Loc Over 1520 – 8 hr. |
| LCC | Seasonal Loc Pay – 7.5 hrs. |
| LCD | Seas Loc Over 1425 – 7.5 hr. |
| LCE | Seas Loc Pay Mid Hudson-8hr. |
| LCF | Seas LOC Mid Hud over 1520 8hr |
| LCG | Seasonal LOC Mid Hud – 7.5 hr. |
| LCH | Sea LOC Mid Hud ovr 1425-7.5hr |
| S3G | Step 3 Out-of-Title Grievance |
| WPS | WC 60% Sup |
| WSP | Award/Supp Program Supplement |
Therefore, it is the agency’s responsibility to total monies paid each pay period for any of these earnings codes that are earned during the deficit reduction period while in an eligible bargaining unit, calculate the deficit reduction amount and submit a Time Entry transaction as follows:
| Earnings Begin Date: | First earnings begin date within the deficit reduction period for the earnings codes included in the D2C calculation for the pay period being processed |
| Earnings End Date: | Last earnings end date within the deficit reduction period for the earnings codes included in the D2C calculation for the pay period being processed |
| Earn Code: | D2C |
| Amount: | Total the earnings for all of the earnings codes listed above earned during the deficit reduction period that are included in the pay period being processed and multiply by -.03333 |
If the agency subsequently reduces the monies earned for any of the earnings codes listed above during the deficit reduction period, a corresponding D2C transaction should also be submitted to reduce the deficit reduction amount. The amount would be calculated by multiplying the adjustment to the earnings amount by +.03333.
Note: Monies earned using Earnings Code BSA or S3G, as well as monies paid retroactively or as the result of a correction, should be handled on a case by case basis depending on whether the monies were earned during the deficit reduction period
Control-D Report NPAY726
In order to assist agencies in identifying monies that should be included in the D2C calculation, Control-D report NPAY726 (Earnings Requiring a Manual Deficit Reduction Calculation) will identify employees who have earnings in Paycheck Data for one or more of the earnings codes listed above with an earnings end date that falls within the deficit reduction period and who are in an eligible bargaining unit with an Employee Status of Active or Leave with Pay on the earnings end date for the specified earnings code. The report will be available the Thursday after the payroll period is confirmed.
The report is sorted by Employee Name and then by Earnings Begin Date and Earnings Code. Fields on the report include Emplid, Employee Record Number, Employee Name, Earnings Code, Earnings Begin Date, Earnings End Date, House/Days, Earnings Amount, Pay Period Begin Date and Pay Period End Date.
Recoupment of Deficit Reduction
If an employee uses deficit reduction time and either separates from State service or transfers into a position not subject to the deficit reduction before the full value of the deficit reduction time is realized, the agency must create an overpayment record to collect the remainder of the deficit reduction. For those who separate, the full value will be taken from any payments otherwise due to employees at the time of separation. To the extent practicable, such recovery should be complete no later than the last paycheck of fiscal year 2011-2012.
Earnings Not Subject to the Deficit Reduction
Monies earned during the deficit reduction period while in an eligible bargaining unit in any of the following categories are not subject to the deficit reduction.
| Bonus Pay |
| Call Out Bonus Pay |
| Hazardous Duty Pay |
| Hospital Duty Pay |
| Longevity Payments |
| Lost Time |
| Lump Sum Payments for Accruals |
| Overtime Pay |
| Overtime Meals |
| Pre-Shift Briefing |
| Over 40 Cash Out |
| Recall Pay |
| Safety Incentive Differential Pay |
| Special Assignment to Duty Pay |
| Standby Pay |
| Uniform or Tool Allowance Pay |
| Winter Maintenance Pay |
| Statutory Workers’ Compensation Benefits |
| Unpaid Leave |
| Fringe Benefits |
Amounts withheld from new employees pursuant to the Salary Withholding (5 Day Deferral) under Section 200 (2-a) of the State Finance Law will reduce the amount of salary that is subject to Deficit Reduction Plan reductions. Repayments of the Salary Withholding (5 Day Deferral) under Section 200 (2-a) of the State Finance Law will not be subject to the Deficit Reduction Plan reductions.
Summary of Agency Actions
Agencies are responsible for the following actions:
- Create the D1C record for employees who do not meet the criteria in the Automatic Set Up section
- Create the D1C record for newly eligible employees after the initial pay period
- Create the D1C record for employees in a composite position where the bargaining unit of each position making up the composite position is eligible
- Calculate and submit an A1C transaction for employees in a composite position where the bargaining unit of at least one position making up the composite position is not eligible
- Calculate and submit a positive A1C transaction when monies earned in an ineligible position are included in the D1C calculation
- Calculate and submit a negative A1C transaction when eligible monies are paid outside of the pay period being processed
- Calculate and submit a negative D2C transaction for eligible monies paid using those earnings codes in the Processing Deficit Reduction – D2C section.
- Calculate and submit a positive D2C transaction when a reduction of the eligible monies included in the original D2C transaction occurs
- Create the overpayment record if the full value of the deficit reduction time has not been realized.
Payroll Register and Employee’s Paycheck/Advice
Where appropriate, the following earnings codes and the associated amounts will be displayed on the payroll register. The earnings code description and amount will be displayed on the employee’s paycheck stub or direct deposit advice.
| Earnings Code | Description |
| D1C | 11-12 Deficit Reduction CSEA |
| A1C | 11-12 Adj Deficit Reduct CSEA |
| R1C | 11-12 Retro Def Reduct CSEA |
| D2C | 11-12 Deficit Reduct Oth CSEA |
Additional Information
Additional information and clarification may be provided in a subsequent payroll bulletin or posted on the PayServ Bulletin Board as it becomes available.
Questions
Questions regarding the CSEA Deficit Reduction Plan should be directed to the applicable budget examiner at the Division of the Budget.
Questions regarding the accumulation and use of time as it relates to the CSEA Deficit Reduction Plan should be directed to the Division of Staffing Services at the Department of Civil Service.
Questions regarding the Payroll processing of the CSEA Deficit Reduction Plan should be directed to the Payroll Earnings mailbox.
Questions regarding the impact on taxes or deductions as it relates to the CSEA Deficit Reduction Plan should be directed to the Payroll Deductions mailbox.