FAYETTEVILLE STATE UNIVERSITY
PAY AND COMPENSATION
Policy
Authority:
Office of Human Resources
Category: General University Policies
Applies to: All Faculty, Staff and Students
History: Issued – 03/21/01
Related Policies: ???
Contact for Info: The Office of
Human Resources (910) 672-1696
SALARY PLAN
The University
adheres to a policy of equal pay for equal work. An employee's rate of pay is determined according to what
other employees doing similar work are being paid.
The comparison of pay rates and other benefits are taken into
consideration before salary ranges are established by OSP.
The University maintains this pay equity through the administration of
its classification and pay system.
The Human
Resources Office administers the pay plan for all staff employees within the
State salary schedule adopted by the North Carolina State Personnel Commission.
PAYDAYS
The University
maintains two different payroll periods, one for Permanent employees and one for
temporary employees:
1.
Permanent:
Employees are
paid from the first day of the month through the last day of the month.
Checks are issued on the last working day of each month.
2.
Temporary:
The pay period
for temporary staff employees extends from the first day of the month through
the last day of the month, and checks are issued on the 15th day of
the following month.
Salary Grade and Range:
Each job
classification is assigned a salary grade number which has a hiring rate,
minimum, mid-point, and maximum salary rates.
Hiring Rate for New
Employees:
All new
employees are paid at the hiring rate for the particular classification during
the Probationary Employment Period. Appointments
above the minimum (hiring rate) must be justified on the basis of market
shortages or if the applicant possesses exceptional qualifications above the
minimum requirements of the class specifications.
The additional experience and training must be in the same or a closely
related area. The appointment must
not create salary inequities within the University.
This is only done in most unusual situations.
Salary Increases:
If the initial
salary is at the hiring rate, when the appropriate probationary period has been
satisfied, the employee's salary is increased automatically to the minimum rate.
LEGISLATIVE
INCREASES
Each year the North Carolina
General Assembly considers salary increases for State employees.
If such an
increase is approved by the Legislature, the State salary schedule is revised as
of July 1, to include across-the-board salary increase for that fiscal year.
ADDITIONAL PAY
Employees
working under conditions that were not considered in establishing the State
salary schedule receive additional pay or compensation based on their particular
work requirements. The following
types of additional pay are provided for special working conditions:
1.
Overtime Pay:
All employees
who are subject to the State Policy on Hours of Work are limited to a forty (40)
hour work-week, at the regular rate of pay regardless of where the employee may
work on campus. Any hours worked in
excess of this amount are considered over-time to be paid or compensated at the
rate of time and one-half. Leave
(annual, sick, holidays, etc.) is never counted as actual hours worked in
computing overtime.
Compensatory Leave:
The University
grants compensatory leave at the rate of time and one-half for overtime worked
in lieu of payment, provided the time is taken off within a year from the date
the overtime was performed. Executive,
administrative or professional employees are granted compensatory leave at the
rate of hour for hour worked; provided the time is taken off within a year from
the date overtime was performed.
Overtime Approval:
See
"overtime" in Payroll Section for appropriate procedures for reporting
overtime and paying an employee. Immediate
supervisor must approve overtime. All overtime must be recorded on time sheets.
Evening or Night Work:
2.
Shift Premium Pay:
It is a policy
of the University to provide additional compensation for employees required to
work on either an evening or night shift. The
following guidelines set forth the conditions for payment of shift premium pay:
a. An eligible employee receives shift premium pay for any shift worked if
more than half of the scheduled working hours for the shift occurs between
4:00PM and 8:00AM.
b.
The premium pay for any one shift applies to all hours worked by an
eligible employee although all hours worked during that shift may not fall within
the stated 4:00PM and 8:00AM.
c. Eligible employees do not receive shift premium pay for
hours not actually worked. This
includes such time periods as annual leave, holidays, sick leave jury duty, and
military
leave.
d.
Eligible employees receive shift premium pay in addition to any other
premium pay to which they may be entitled, such as holiday pay.
e.
Shift premium pay is not considered as a part of annual base pay for
classification and pay purposes, nor is it to be recorded in personnel records
as a part of annual base salary. However,
under the State's policy on Hours of Work and Overtime Compensation, shift
premium pay must be included in the calculation of the regular hourly rate of
pay for the purpose of computing overtime.
f. Eligible employees receive shift premium pay at the following rates:
(1)
10% of hourly rate of pay
(2)
Shift Premium rates for medically related classification may vary and
change from this rate in accordance with enabling legislation.
No Shift Premium Pay:
Certain types
of employment require special consideration due to the nature and conditions of
employment. For example, work
performed by Dormitory Supervisors, where the employee resides on the premises,
and where working arrangements do not follow a pattern of shift assignment,
special consideration has been given to the total work assignment in
establishing the present method of compensation.
Therefore, shift premium pay does not apply to employees in this
category.
Overtime Authorization:
When an
employee is required to work on a holiday, the employee's immediate supervisor
must submit in writing to the Human Resources Office advance notice that the
employee's services are required on the affected holiday.
After the holiday work is performed, the supervisor must certify in a
signed statement that the employee actually worked a specified number of hours
on the affected holiday.
3.
Holiday Premium Pay:
The University
recognizes that many employees are required to work on holidays to provide
essential services to the University. Therefore,
University employees subject to the State Personnel Act who are required
to work on designated holidays are given, in addition to regular salary, premium
pay equal to one-half of their regular straight-time hourly rate for hours
worked on these days.
In addition to
the payment of holiday premium pay, an employee required to work on a holiday is
given equal time off, at the convenience of the Department Head, but before the
end of the calendar year for hours worked on a holiday.
Shift Workers:
If an employee
works on a shift that changes at a time other than midnight, the time of shift
change closest to midnight will set the hour limits of the holiday for the
purpose of computing premium pay. For
example, if shifts change at 11:00PM, the holiday period will begin at 11:00PM,
the night before and end at 11:00PM, on the night of the holiday.
4. Longevity Pay:
The purpose of
longevity pay is to recognize long-term service of permanent full-time employees
who have served at least (10) years with the State.
To be eligible for longevity pay an employee must:
a. Have at least 10 years of aggregate service with the State; and
b. Have a full-time permanent appointment.
Longevity pay
is automatic. Payment is made
annually in a lump sum when all eligibility requirements are met.
The University makes longevity payments the pay period following the date
the employee is eligible to receive the pay.
Longevity pay is not considered a part of annual base for classification
or pay purposes.
Annual
longevity pay amounts are based on the length of aggregate State service and a
percentage of the employee's annual base pay on the date of eligibility.
Longevity pay amounts are computed by multiplying the employee's base
rate by the appropriate percentage from the following table.
Years of
Aggregated State Service
Longevity Pay Rate
10 but less that
15
1.50 percent
15 but less than
20
2.25 percent
20 but less than
25
3.25 percent
25 or more
years
4.50 percent
Various
circumstances may affect the payment of longevity pay or change an employee's
longevity date:
a.
See Aggregate State Service in Personnel Policy for conditions affecting
aggregate State service and date of employment for aggregate State service.
b.
If an employee who has at least ten years in aggregate service retires,
resigns or is otherwise separated or dies before a date on which he/she becomes
eligible for the longevity payment, he/she receives a longevity payment computed
on a pro rata basis if all other eligibility requirements are met.
The payment is made to the employee's estate if he/she is deceased.
c.
When an employee's appointment changes from permanent full-time to
temporary, part-time, or one exempt from the State Personnel Act (EPA), the
employee is ineligible for continued longevity pay.
If the employee has worked part but not all of one year since his/her
last annual longevity payment, he/she receives a pro rata payment as if
separating from the State service provided the change is not of a temporary
nature.
d.
If an employee separates from a State agency and receives a partial
longevity payment and is reinstated in another State agency, the balance of the
longevity payment is made upon completion of additional service totaling 12
months since the last full longevity payment.
The balance due is computed on the annual salary being paid at the
completion of the 12 months.
e.
If an employee retires, resigns or is otherwise separated or dies on
or after the date he/she becomes eligible for a longevity payment, the full
payment is made to him/her or to the estate if deceased.
f.
Periods of leave without pay in excess of one-half the workdays
in a
month (with exception of military leave and workmen's compensation leave)
delays
the longevity anniversary date on a month-for-month basis.
Whenever it is
necessary to figure a longevity payment on a pro rata basis, the longevity pay
amount is computed in the usual manner based on the length of aggregate State
service and the corresponding percentage; then it is prorated by an amount equal
to the proportion of the year which the employee has worked toward the next
longevity payment.
For example,
if an employee received longevity on January 1 and separated on July 31, he/she
would receive 7/12 of the full longevity payment. The payment is made to the nearest cent.
The only
exception to the above is if an employee has a fraction of a year toward the
next higher percentage rate, the payment is based on the higher rate.
For example, if an employee has 19 years and 3 months service, the
payment will be 3.25% rather than 2.25%.
University Responsible:
The University is responsible for determining the quantity of qualifying service
of each employee of the University. When
an employee is eligible for longevity pay, the University submits proper forms
for payment and certifies the length of qualifying service to the Office of
State Personnel.
5.
Emergency Call-Back Pay:
It is University policy to provide additional compensation for employees who respond
to an emergency "call-back" in order to perform necessary work at a
time other than during the employee's regularly scheduled hours of work.
Such call-back usually results in added travel expense and inconvenience
for the employee, and this has not been anticipated in establishing base
salaries.
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