This bulletin supersedes Payroll Bulletin No. 1997.2.

Purpose

The purpose of this bulletin is to provide information and processing instructions regarding the implementation of a pilot program establishing a temporary overtime rate for employees in certain titles represented by C82 working at a DOH facility.

Affected Employees

Employees in certain Security Supervisors Unit (SSPU BU91) titles who work at one of the following DOH facilities are affected:

Background

The Memorandum of Agreements (MOAs) between the State of New York, DOH, the Civil Service Employees Association (CSEA), the Public Employees Federation (PEF), the New York State Correctional Officers and Police Benevolent Association (NYSCOPBA), and C82 allows DOH to establish a temporary overtime rate of 2.5 times the employee’s regular rate of pay for employees in certain titles.

The new overtime rate applies to all overtime earned during shifts that begin at or after 11:00 pm on 12/01/2021 and at or before 10:59 pm on 12/31/2022. For any shift that begins at or after 11:00 pm on 12/31/2022, the overtime rate will revert to the rate in place prior to implementation of the pilot program unless extended by mutual agreement of the parties.

The overtime factor used by the New York State Payroll System (PayServ) for affected employees at a DOH facility who are represented by Council 82 is .00125.

Effective Dates

The new overtime rate is effective 11:00 pm on 12/01/2021.  Agencies should begin using the new Time Entry Overtime Earnings Codes beginning in Institution Pay Period 23L, checks dated 02/24/2022.

Eligibility Criteria

Employees who work at a DOH facility and have overtime earnings effective 11:00 pm on 12/01/2021 through the end of the pilot program in one of the following titles must be paid at a rate of 2.5 times their regular rate of pay using one of the new Time Entry Overtime Earnings Codes:

OSC Actions

OSC has created the following new Time Entry Earnings Codes to report overtime and overtime related payments for employees eligible to receive overtime at 2.5 times their regular rate of pay:

Agencies should continue using either Earnings Code OTO – OT Override or Earnings Code CVO – Covid-19 OT Override for overtime payments that cannot be calculated by PayServ.

Agency Actions

Beginning in Institution Pay Period 23L

To report overtime earnings related to the pilot program effective beginning 11:00 pm on 12/01/2021 (Institution), the agency must submit the appropriate New 2.5x Earns Code (as listed in the OSC Actions section above) on the Time Entry page or the Time Entry Interface (NPAY502) using the following procedures:

Agencies must use the overtime factor of .00125 in the calculation when submitting any payments using Earnings Code OTO – OT Override or Earnings Code CVO – Covid-19 OT Override.  Agencies must include an explanation in General Comments or Time Entry Comments that this overtime has been calculated at 2.5 times the employee’s regular rate of pay as part of this pilot program.

Note:  The agency must split overtime earned before 11:00 pm on 12/01/2021 from overtime earned at or after 11:00 pm on 12/01/2021 due to the difference in the OT rate approved for payment.

Previously Paid Overtime Using Earnings Code OTO or Earnings Code CVO

If an eligible employee was previously paid overtime for the period identified above using Earnings Code OTO and a calculation using the overtime factor of .00075, the agency must calculate the correct earnings amount using the overtime factor of .00125 and enter the difference owed using Earnings Code AOR, the original Earnings Begin Date, and original Earnings End Date.

If an eligible employee was previously paid overtime for the period identified above using Earnings Code CVO and a calculation using the overtime factor of .00075, the agency must calculate the correct earnings amount using the overtime factor of .00125 and enter the difference owed using Earnings Code ACO, the original Earnings Begin Date, and original Earnings End Date.

Previously Paid Overtime Using the Remaining Earnings Codes Listed Above

If an eligible employee was previously paid overtime for the period identified above using the original Earns Code, the agency must update these records on the Time Entry Page or Time Entry Interface as follows:

• Enter the original Earns Code, original Earnings Begin Date, original Earnings End Date, and original Hours/Units/Amount as a negative value.
• Enter the corresponding New 2.5x Earns Code or existing Earns Code, the original Earnings Begin Date, original Earnings End Date, and original Hours/Units/Amount as a positive value.

Retirement Information

Payments using the earnings codes mentioned above are included as salary for retirement purposes.

Tax Information

These earnings are taxable income, will be included in the employee’s taxable gross and are subject to all employment and income taxes.  Income taxes will be calculated using the employee’s current withholding elements in PayServ.

The Retro Codes (RUC, RU2, ROR, RO5, RH5, R2O, and R5C) are supplemental taxable income and will be included in the employee’s taxable gross subject to all employment 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 (2.30815% for Yonkers residents and 0.50% for Yonkers non-residents).

Questions

Questions regarding this bulletin may be directed to the Payroll Earnings mailbox.

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