Nonexempt staff at UCOP who are currently paid monthly will be converting to a biweekly pay schedule as of July 1, part of a systemwide plan to bring employees at all UC locations onto more standardized pay schedules.

Some 380 UCOP employees affected by the change have been notified and provided with resources, including a website, FAQs, and the Payroll Transition Assistance Program, a temporary program offering loans or vacation cash-out payments to help them with cash flow through the transition period. (For represented employees, the change to biweekly pay is subject to collective bargaining agreements.)

Through the Transition Assistance Program, affected staff may apply for a short-term, no-interest loan of $500 to $1,500, to be repaid by payroll deduction once the biweekly pay schedule is established. Alternatively, they may take a cash-out payment from existing accrued vacation time of up to 80 hours. Affected staff will be able to submit applications for the program beginning Friday, June 1, through Monday, August 6, 2012.

Why the change? It is just one of several business processes that will be revised in preparation for UCPath, UC’s plan to institute a single, university-wide payroll and HR system across all 10 campuses and five medical centers.

“Pay cycles currently vary from biweekly to monthly by location and appointment,” said Michael Reese, associate vice president for Business Operations. “We’re beginning now to standardize these key business processes so they will be aligned in preparation for implementing UCPath down the line.”

UCOP is among four UC locations — also including UCLA, UC Merced and UC Santa Cruz — that will act as early adopters of UCPath, one of the top priorities of the Working Smarter Initiative.

The UCOP pay cycle conversion was originally planned for implementation April 1, but in response to feedback from affected employees and groups, the start date was extended three months to July 1. The goal of the extension was to provide extra time for planning and to minimize the impact on cash flow for affected employees.

(Note: FAQs and other resources on the UCPath at UCOP website have been updated to reflect the new implementation schedule.)

Some nonexempt employees are already paid on a biweekly schedule, but not all. According to the Fair Labor Standards Act (FLSA), these employees report actual time worked on each timesheet and are eligible for overtime pay for work in excess of 40 hours per week. The biweekly schedule is optimal for these employees because it is designed specifically to track hours worked and vacation/sick leave balances as well as make overtime payments in a more timely fashion.

Exempt staff will remain on monthly pay schedules, as will academic appointees and post-docs. Those paid biweekly will include nonexempt and health system staff, and per diem and temporary employees.

An information session has been scheduled for Thursday, May 3, 3:00 to 4:00 p.m. in Franklin Lobby One Conference Room for staff to get updates and ask questions, and Fidelity will add financial planning sessions to their regularly scheduled educational offerings. Stay tuned to Link for ongoing updates and announcements.

For more background about the biweekly pay cycle conversion and UCPath, go to UCPath at UCOP, which includes links to:

• Employee communications about the pay cycle conversion
• FAQs about the pay cycle conversion and the Transition Assistance Program
• UCLA’s 2012 Biweekly Payroll Calendar
• Biweekly Pay Quick Facts
• The UCPath Overview on the Working Smarter website

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