Purpose
To inform agencies of the eligibility of CSEA employees to receive the Workers’ Compensation Supplemental Pay Benefit effective 7/1/04 and to provide procedures for the payment of the Supplemental Pay Benefit for CSEA and PEF employees.
Affected Employees
Employees in Bargaining Units 02, 03, 04, and 47 who have a Workers’ Compensation accident occurring on or after 7/1/04.
Effective Date(s)
Immediately
Background
Pursuant to Chapter 103 of the Laws of 2004, an agreement between the State of New York and the Civil Service Employees Association provides for a Supplemental Payment payable to employees whose degree of disability, as determined by the State Insurance Fund (SIF), is more than 50% and the statutory payment received from SIF is less than 60% of the employee’s normal gross wages.
For additional information regarding this program, the agency may refer to the Department of Civil Service Attendance and Leave Manual Policy Bulletin 2004-05, Section 21.8.
Prior to the distribution of this bulletin, OSC has been identifying employees impacted by this program and making the necessary changes in the payroll system, in addition to processing the Supplemental Payments, as described below.
Eligibility
Employees represented by CSEA who sustain a Workers’ Compensation injury on or after 7/1/04 may now be eligible to receive a Supplemental Payment while on Workers’ Compensation Leave Without Pay, provided the statutory payment received from the SIF is less than 60% of the employee’s normal gross wages. For the purpose of determining the Supplement, the normal gross wage is defined as the sum of base annual salary, Location Pay, Geographic Differential, Shift Differential, and Inconvenience Pay the employee would otherwise receive if the employee was not on Workers’ Compensation Leave.
To be considered eligible for a Supplemental Payment, SIF must determine the employee is more than 50% disabled and the employee must be within the first cumulative 39 weeks of disability following the date of accident.
Additionally, if SIF determines the employee is less than 51% disabled, the agency is required to find the employee a position according to the Mandatory Alternate Duty Policy.
Agency Responsibility: Placing the Employee on Workers’ Compensation Leave
Under the Workers’ Compensation Law, an employee necessarily absent from work due to a Workers’ Compensation accident or disease is required to serve a seven (7) calendar day waiting period.
During the waiting period, an employee has the option of charging accrued Leave credits or immediately being placed on Leave Without Pay.
For employees that charge Leave credits, the agency must place the employee on Leave Without Pay after the expiration of the seven (7) calendar day waiting period or upon the exhaustion of Leave credits, whichever occurs first.
If the Leave is reported late, the agency must charge the employee’s accruals, if available, and use the first day of the current pay period as the Leave date. This avoids an overpayment of salary. If the employee has no accruals to charge, the agency must use the latest date possible to remove the employee from the payroll. The resulting Overpayment will be recovered from the employee’s Supplemental Payments, if applicable, or upon the employee’s return to the payroll, whichever comes first.
For additional information regarding the charging of Leave credits beyond the waiting period, the agency should refer to the Department of Civil Service Attendance and Leave Manual General Information Bulletin 93-03, page 2, Part II.
Before reporting the Leave of Absence, the agency must report the date of accident and the effective date of the Leave Without Pay on the Incident and Injury Details pages, respectively.
Reporting Information on the Incident and Injury Details Pages
Using the Monitor Workplace path (Monitor Workplace/Monitor Health/Safety (GBL)/Use/Incident Details), the agency must report the date of accident in the Incident Date field on the Incident Details page. Then, on the Injury Details page, the agency must enter the employee’s EmplID and, in the Date Reported field, the effective date of the Leave Without Pay.
Placing the Employee on Leave Without Pay
After the Incident and Injury pages are completed, the agency must insert a new row on the employee’s Job Data page to place the employee on Workers’ Compensation Leave Without Pay, effective the date of the Leave Without Pay, using the Action/Reason, Leave Without Pay/ WPS (WC 60% Sup).
Note: It is vital that agencies report the appropriate Action/Reason code when employees are placed on Workers’ Compensation Leave Without Pay. The appropriate Action/Reason code ensures the employees receive the appropriate Workers’ Compensation benefits. To assist agencies in reporting the appropriate codes, OSC has added new on-line error messages that will be generated whenever the Action/Reason code selected is not appropriate for the information supplied on the Incident and Injury Details pages. A summary of all Action/Reason Codes to be used for CSEA employees who must be placed on Workers’ Compensation Leave Without Pay is contained later in this bulletin.
Maximum Workers’ Compensation Benefit
An employee receiving Workers’ Compensation benefits under this program shall be treated as though on the payroll for the length of the disability not to exceed twelve (12) cumulative months per injury for the sole purposes of accruing seniority, continuous service, etc., as defined in the CSEA Agreement. Therefore, if the employee has not returned to work after twelve (12) cumulative months of absence due to the same injury, the agency must remove the employee from LOA/WPS and report the appropriate Leave or removal Action/Reason codes.
WLA
For additional information regarding the Incident and Injury Details pages, the agency should refer to the Web-based Learning Assistant (WLA) procedure entitled “Processing a Workers’ Compensation Leave.”
Reporting the Reinstatement from Leave
When the employee returns to work, the agency must insert a row on the employee’s Job Data page to report the Return from Leave, effective the date the employee returned to work. The Action/Reason of Return from Leave/RPS (Rein WC 60% Sup) must be used.
To assist agencies with reporting reinstatements for the various Workers’ Compensation Programs for CSEA employees, a summary of all Action/Reason Codes is contained later in this bulletin.
OSC Actions: Calculation of Supplemental Payments
The SIF will notify OSC each pay period, via a file, of statutory payments paid to CSEA employees who are more than 50% disabled and are within the first cumulative 39 weeks of disability following the date of accident. OSC will review each employee appearing on the SIF file to determine if the employee is due a Supplemental Payment.
Calculation Of Supplemental Payment
Employees will be due a Supplemental Payment if their normal biweekly gross wages (calculated using base annual salary and all additional salary factors) multiplied by 60% exceeds the SIF biweekly statutory award payment.
| Example: | |||
| Annual Base Salary | $26393 | = | $1012.33 Biweekly |
| Annual Location Pay | 1230 | = | 47.18 Biweekly |
| Annual Inconvenience Pay | 550 | 21.10 Biweekly | |
| Total Normal Biweekly Salary | $1080.61 |
Total Normal Biweekly Salary $1080.61 X .60 (60%) = $648.37
- In this example, if the SIF biweekly statutory award payment is less than $648.37, the employee is eligible for a Supplemental Payment for the difference between the SIF biweekly statutory payment and $648.37.
- Therefore, if the SIF biweekly statutory payment is $540.00, the biweekly Supplemental Payment would be calculated as follows:
$ 648.37 (60% of employee’s normal biweekly gross wages)
- 540.00 (SIF biweekly statutory payment)
108.37 Biweekly Supplemental Amount - The Supplemental Payment will be processed for the number of disability days reported on the SIF file. If the number of days is other than ten (10), the biweekly Supplemental Payment will be prorated.
- In the above example, if this employee was due a Supplemental Payment for 3 days, the calculation would be done as follows:
$108.37 (Biw Sup Amt) divided by 10 = $10.84 Daily Supplemental Amount
$10.84 (Dly Sup Amt) X 3 Days = $32.52 Total Supplemental Amount
OSC Responsibility: Reporting Supplemental Information on the Workers’ Compensation Data Page
After OSC has calculated Supplemental Payments each pay period, the Supplemental Payment information for all employees including those for which no Supplemental Payment was due will be recorded on the Workers’ Compensation Data page.
The Workers’ Compensation Data page is available for agency reference and provides the following Supplemental Payment information:
- Supplemental Payment (Check) Dates
- Supplemental Disability Dates
- Number of Disability Days
- State Insurance Fund Award
- Supplement Amount
- Wages Reported to ERS (This amount is based on the employee’s full normal gross wages, including additional salary factors, for the number of ERS service days being reported.)
Additional information regarding the Workers’ Compensation Data page can be found in Payroll Bulletin No. 271.
Summary of CSEA Action/Reason Combinations for Reporting Workers’ Compensation Transactions
Since there are three Workers’ Compensation programs that can be used for CSEA employees, the following information is provided to assist agencies with the reporting of Action/Reason combinations to be used for each program when placing the employee on Leave Without Pay and reinstating the employee from Leave Without Pay.
| Date of Accident for Employee in a CSEA Bargaining Unit | Action/Reason to be Used to Report Leave Without Pay | Action/Reason to be Used to Report the Reinstatement |
| 4/1/86-6/30/92 | Leave of Absence/ WSP (WC Sup) | Return from Leave/ RSP (Rein WC Sup) |
| 7/1/92-6/30/04 | Leave of Absence/ WDL (WC Dis Lv) | Return from Leave/ RDL (Rein WDL Leave) |
| 7/1/04- | Leave of Absence/ WPS (WC 60% Sup) | Return from Leave/ RPS (Rein WC 60% Sup) |
Deductions taken from the Supplemental Payments
In addition to taxes, Social Security and Medicare, all deductions previously deducted from the regular paycheck will be retained and deducted from the Supplemental Payment check provided the gross amount is sufficient to do so.
If the employee’s gross salary is insufficient to cover all fixed deductions after percentage deductions are taken, the negative net procedure will be followed. The order of cancellation of deductions is as follows:
- Deferred Compensation
- SRA/TDA deductions
- Political Contributions
- Bonds
- Federated Funds/ SUNY Foundations
- Retirement Loans
- IRAs
- Dependent Care
- Organizational Dues/Agency Shop Fees
- Taxable/Non-Taxable Maintenance
- Credit Union
- General Insurance (Union), Traffic fines
- Parking and Fingerprint Fees
- Repayment of State Loans
- State Health Insurance Adjustments
- State Health Insurance
- Repayment of Unemployment Insurance
- Fines - Disciplinary or Strike
- Garnishees/Court Orders/Levies
- Social Security /Medicare Deficiency
- Mandatory Retirement Arrears
- Mandatory Retirement Contributions
Note: When a deduction is not taken due to insufficient gross salary, all other deductions with a lower priority will not be taken as well.
Retirement Credit and Deduction
While an employee is covered under this benefit, the employee is entitled to full retirement service and salary credit, up to a maximum of one year per injury.
When an employee receives a Supplemental Payment, the amount reported as Retirement Salary for the Award (RSA) is also reported to the New York State Employees’ Retirement System as pensionable earnings. This amount appears on both the Workers’ Compensation Data page and on the employee’s paycheck stub. If the employee receives other pensionable earnings in the same paycheck, these amounts are also reported to the Employees’ Retirement System.
The RSA amount is also used to calculate retirement contributions for contributing members. If there are additional pensionable earnings, these amounts are also included in the calculation and the resulting deduction is reported to the Employees’ Retirement System.
Employees are entitled to receive full retirement service credit while on WPS. The number of days covered by the Supplement are included on the Workers’ Compensation Data page and are subsequently reported to Employees’ Retirement System as service credit days.
Health Insurance
Questions regarding health insurance may be directed to your agency’s Civil Service Representative in the Employee Benefits Division.
Mandatory Alternate Duty
When the State Insurance Fund has determined that the employee is 50% disabled, the agency must offer the employee a position according to the Mandatory Alternate Duty provision.
Additional information regarding the Mandatory Alternate Duty Policy can be found in the CSEA Agreement, Section 11.8 (a).
Control D Reports
Supplemental Payments will appear on the NHRP 705, Workers’ Compensation Transaction Report. Included in the report are the disability dates, the amount of the SIF Award, and the Supplement amount.
Questions
Questions regarding the State Insurance Fund award may be directed to the agency’s State Insurance Fund representative.
Questions regarding unavailability of Mandatory Alternate Duty assignments must be directed to GOER at (518) 473-7233.
Questions regarding retirement benefits may be directed to the ERS Information Office at (518) 474-7736.
Questions regarding the Supplemental Payments may be directed to the Payroll Audit mailbox.
Questions regarding deductions to be taken from the Workers’ Compensation Supplemental Payments may be directed to the Payroll Deductions mailbox.