The purpose of this bulletin is to explain OSC’s automatic processing of the April 2022 Unified Court System (UCS) Retroactive Judicial Longevity Payment (JLP) Increase.
Employees in the following bargaining units who meet the eligibility criteria are affected:
|Civil Service Employees Association||Bargaining Unit 87|
|Unrepresented Graded Non-Judicial Employees||Bargaining Unit 86, 88, and CT|
Chapter 1 of the Laws of 2023 implemented the 2021-2026 Agreement between the Unified Court System of the State of New York (UCS) and the Civil Service Employees Association (CSEA – BU 87), which provides for a retroactive increase in Judicial Longevity Payments (Earnings Code JLP) effective April 1, 2022, for all eligible members. Consistent with prior practice, when a CSEA Agreement is reached, the negotiated changes detailed in the Labor Relations Memorandum are extended to Management/Confidential and Unrepresented employees in graded positions in Bargaining Units 86, 88 and CT.
The April 2022 Judicial Longevity Payment Retroactive Increase (Earnings Code JLP) will be paid using the following effective date and check date.
|Year||Pay Cycle/Pay Period Type||Payment Effective Date||Check Date|
|2022||Administration 25 Lag||03/31/2022||03/29/2023|
All employees in an eligible bargaining unit who met the eligibility criteria for and received the April 2022 Judicial Longevity Payment are eligible for the April 2022 Retroactive Judicial Longevity Payment Increase. See Payroll Bulletin UCS-305 for the April 2022 Judicial Longevity Payment eligibility criteria.
OSC will process the April 2022 Judicial Longevity Payment Retroactive Increase for those employees who meet the eligibility criteria by increasing the Annual Addl Earnings amount to the new earnings amount and pay the difference between the new Annual Additional Earnings and the existing Goal Balance as shown below.
|Effective Date:||Same as JLP row effective 03/31/22 or later|
|OT Eff Date:||Same as Effective Date|
|Annual Addl Earnings:||See Payment Amount below|
Employees who have already received an April 2022 Judicial Longevity Payment (Earnings Code JLP) will receive the new amount below.
|Years Above Maximum||Increment Codes||Prior Payment Amount||New Payment Amount|
|4-7 years||2015 through 2018||$2,300||$2,400|
|8-12 years||2010 through 2014||$4,700||$4,900|
|13 or more years||1976-2009||$6,900||No Increase|
Employees who receive the Judicial Longevity Payment Increase will receive the amount based on the employee’s years of service and percentage in effect on 04/01/2022.
Employees who met the eligibility criteria for the April 2022 Judicial Longevity Payment but do not have an existing Earnings Code JLP row effective 03/31/2022 or later on their Additional Pay page will not receive the retroactive increase.
Automatic Retroactive Processing
OSC will automatically calculate adjustments resulting from the retroactive Judicial Longevity Payment (Earnings Code JLP) increases. The adjustment will be paid using Earnings Code JLP.
For eligible employees who have worked in more than one agency since the effective date of the Judicial Longevity Payment increase, the retroactive adjustments will be paid in the most current agency.
Retroactive Adjustments for Additional Pay and Time Entry Earnings
Time Entry earnings codes that are calculated based on an employee’s additional salary factors such as overtime Earnings Code (OTD) will be automatically adjusted.
Control-D Report Available After Processing
The following Control-D report will be available for agency review after the payments have been processed. All reports will be sorted by Department ID, then by employee name in alphabetical order.
NPAY770 – One Time Payment Report
This report identifies all employees who received the April 2022 Retroactive Judicial Longevity Payment (earnings code JLP) Increase.
Agency Actions – Retroactive Processing
Reporting Retroactive Adjustments
Time Entry earnings codes that are submitted with an amount will not be adjusted automatically. Therefore, beginning in Administration Pay Period 26L, the agency must report the adjustment amount for earnings codes such as OT Override (OTO) and Regular Pay Override (RGO).
Correcting an Automatic Retroactive Adjustment
When certain conditions exist in an employee’s record, the automatic retroactive adjustment may be incorrect. Therefore, the agency is responsible for identifying employees who meet the following conditions and, if necessary, submitting the necessary adjustment:
- If an employee has a check returned or exchanged on an AC-230 for dates on or after the effective date of the payment, the payroll system does not consider the AC-230 when calculating the automatic retroactive adjustment.
- If earnings were previously reported using Earnings Code RGS and a date range that exceeded the number of days reported, the system will calculate the adjustment of earnings based on the number of workdays within the range.
- Adjustments for earnings that are calculated automatically, such as OT at 1.5 (OTD), will be calculated incorrectly if the dates previously reported as a single entry on the Time Entry page overlap the effective date of the payment. The system will calculate an adjustment for all earnings reported in a single entry based on the salary in effect on the Earnings End Date.
- For employees who had a change reported on the Job Data page since the effective date of the payment and the action resulted in an overpayment of earnings, the automatic negative retroactive adjustment may not have been processed because the overpayment was either not recoverable or was recovered using an overpayment earnings code or an AC-230. In this case, the negative retroactive adjustment may be re-generated when the payment is processed. OSC will turn off (not process) the automatic negative adjustment for these employees since in most cases these overpayments were either not recoverable or recovered using another method.
If an overpayment of earnings is identified after the automatic payment is processed but before the paycheck is received by the employee, the employee must be notified of the overpayment and the adjustment that will be reported in a subsequent pay period.
Submitting an Adjustment
When an adjustment is needed for non-COVID-19 related overtime or recall such as OTT, Earnings Code ARO must be entered. Please refer to Payroll Bulletin 1893 for more information. Agencies must continue to use Earnings Code AJR for all other override Time Entry Earnings Codes requiring a manual adjustment as a result of a retroactive salary increase.
To process a retroactive adjustment or correct an automatic retroactive adjustment, agencies must submit the following information on the Time Entry page or the Time Entry Interface (NPAY502) using the Earnings Codes AJR and/or ARO:
|Earnings Begin Date:||The first date included in the adjustment|
|Earnings End Date:||The last date included in the adjustment|
|Earnings Code:||AJR or ARO|
|Amount:||Amount to be adjusted|
|Comments:||An explanation of the adjustmen|
Miscellaneous Payment Information
The April 2022 Retroactive Judicial Longevity Payment Increase (Earnings Code JLP) is included in the calculation of overtime and is pensionable.
All general deductions for employees whose Payroll Status is Terminated, Retired or Deceased will be automatically cancelled by OSC with the exception of percentage based dues and agency shop fees and the following:
|410||Health Care Spending Account|
|420||NY Dependent Care Contribution|
|425||Repay State Loans/Debt|
|426||Higher Ed Repay State Loan|
|433||Total Unemployment Ins Owed|
|501||Social Security Deficiency|
|502||NYS SS/Medicare Deficiency|
|682||VDC Before Tax Arrears|
|685||VDC Suspense Before Tax Arrear|
|HIATRG||Regular After Tax Health|
|HIATSP||Special After Tax Health Adj|
These monies are taxable income subject to all employment taxes and income taxes, will be included in the employee’s taxable gross and reported on the employee’s Form W-2.
The adjustments (AJR, ARO, and Retro (RXX)) 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 (1.95975% for Yonkers residents and 0.50% for Yonkers non-residents).
Special Wage Payments for Individuals Who Filed for Retirement Social Security Benefits
Per Internal Revenue Service Publication 957, OSC will be reporting retro payments made to individuals who have filed for Social Security benefits to the Social Security Administration (SSA).
As PayServ does not include this information, OSC will be mailing a Request for Special Wage Payment Report to inactive individuals who are 62 or older in the calendar year and to active employees with the New York Retiree Indicator checked in Modify a Person who receive the retroactive payment. Recipients of this mailing will be asked to fill out the request and return it to OSC for inclusion on the Special Wage Payment report to SSA. This report will be submitted to SSA after the close of the 2023 tax year.
It is important that agencies ensure the New York Retiree Indicator box is checked for rehired retirees. Please see Payroll Bulletin No. 1728 for further details on the New York Retiree Indicator box.
When a valid payroll check is undeliverable due to the agency’s inability to locate the employee, the agency should follow the Agency Actions identified in Payroll Bulletin No. 1786.
Checks issued to eligible employees who are now deceased should be submitted as a stop payment request with a reason of Exchange in PayServ. The required AC 1476, Next of Kin Affidavit, and original death certificate should be submitted to the Payroll Reversal and Exchange mailbox at the same time as the stop payment request. If a Next of Kin Affidavit has been previously submitted for a deceased employee’s payroll check, OSC will accept a photocopy of this form along with a new Report of Check Exchange.
Payroll Register and Employee’s Paycheck/Advice
All retroactive adjustments will be displayed on the Payroll Register using the appropriate Earnings Code and the amount paid and will be displayed on the employee’s paycheck stub or direct deposit advice using the appropriate Earnings Description and the amount paid unless the number of earnings codes exceeds 13. Agencies should utilize Locked Query LQ_PCD_PAYCHECK_EARNINGS_BY_ID to identify a complete list of regular earnings and retroactive adjustments if there are more than 13 earnings codes.
Questions regarding this bulletin may be directed to the Payroll Earnings mailbox.
Questions regarding retirement may be directed to the Payroll Retirement mailbox.
Questions regarding withholding taxes may be directed to the Tax and Compliance mailbox.
Questions regarding deductions may be directed to the Payroll Deduction mailbox.