Overtime Settlement

UC owes $1.3 million to thousands of underpaid employees

Alexei Koseff, 8-11-17, Capitol Alert of Sacramento Bee

The University of California has reached a $1.3 million settlement with the U.S. Department of Labor over a payroll issue that resulted in thousands of non-academic employees being routinely underpaid by small dollar amounts on each paycheck.

UC asked the labor department to investigate in December 2015, after uncovering the problem during the switch to its troubled new payroll system. Incompatible timekeeping methods across its 10 campuses, the university said, led to regular failures in calculating overtime pay for hourly workers.

The agreement, reached in May, covers operations from 2014 through 2016. More than 13,700 current and former employees who were underpaid by at least $20 will receive about $746,000 in back wages and $616,000 in damages, an average of just under $100 per person. The repayments will begin next month.

“UC is moving toward fully implementing UCPath, a single payroll system for all UC employees, which deploys software that calculates pay in accordance with federal standards and minimizes the risk of these issues occurring in the future,” the university wrote in an FAQ for employees. “UCPath will replace the current payroll system in which the miscalculations occurred.”...

Full story at http://www.sacbee.com/news/politics-government/capitol-alert/article166782912.html

Note that the problem is tied to the over-budget and much delayed UCPath system.