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The Pay Date Change
Objectives
• Provide the context for the proposal for the
change to the pay date
• Outline the University’s proposal, including
assistance for staff
• Set out the process for consultation and
implementation
• Provide you with the opportunity to ask
questions, identify issues and/or make
suggestions
Introduction
The ACU Staff Enterprise Agreement 2013-2017
makes provision for the fortnightly pay cycle to be
changed.
Consultations with staff are being conducted before
a final decision is made about how the change to
the fortnightly pay cycle will be implemented.
A proposal has been developed for staff comment
by 14 July 2014.
Why change the pay cycle?
• ACU staff are currently paid on the Wednesday before the end
of the fortnight to which a pay period applies i.e. three days in
advance.
• The Payroll cut-off for processing is 12noon on the first
Thursday of the fortnightly pay period i.e. the sixth day of the
fourteen day pay period.
• The pay date is being changed to improve the efficiency of the
administration and accuracy of each pay.
• The current arrangements originated at a time when:
– ACU was smaller (now nearly four times larger),
– remuneration and employment arrangements were simpler, and
– the regulatory and compliance environment were simpler.
Why change the pay cycle? (cont.)
• The current pay cycle arrangements do not allow
sufficient time for processing and querying of changes
affecting salaries within a pay period.
• Over or underpayments are more likely to be made –
consequences include:
– inconvenience and frustration for staff - repayment of
overpayments or delay in payment
– time consuming and administratively cumbersome to
correct for University Payroll staff
– undermining of the integrity of legal requirements for
statutory payments, and internal and external reporting.
Why change the pay cycle? (cont.)
• Proposed arrangements provide University
Payroll staff with more time to process and query
changes that occur within the pay period.
• Outcome: Improved:
– accuracy,
– communication with ACU staff and third parties (e.g.
UniSuper, Centrelink, Child Support Agency, etc),
– data and reporting integrity, and
– compliance.
The Proposal
• The change to the fortnightly pay cycle will be achieved
by moving the pay date back by one week in November
2014 as a one off occurrence.
• Normal pay on 22 October 2014.
• Next pay is three weeks later on 12 November 2014
(instead of 5 November) for work completed:
– up to Fri 7 November for continuing, fixed-term and sessional staff
– before Payroll cut-off of noon Thurs 6 November 2014 for casual staff.
• Every pay after 12 November 2014 continues to be
fortnightly. Next pay day - 26 November 2014 for work
completed up to 21 November 2014 (20 November for
casual staff).
Assistance for staff
• Annual leave loading: for all staff entitled to it,
annual leave loading paid will be paid early, on 5
November 2014. Normally paid in December.
• Cash out of annual leave and long service leave:
eligible staff may apply to cash out leave, with
payments being made on 5 November 2014.
• Confidential helpline: facilitate individual
arrangements to avoid financial difficulty or
hardship.
Cash out of leave arrangements
Eligible staff can apply to cash out annual leave and/or long service
leave under the following circumstances:
• Annual leave: a staff member with an annual leave entitlement in
excess of forty (40) days may cash out up to twenty (20) days of
annual leave (pro-rata for part-time) - guaranteed approval of
cashed out annual leave paid on 5 November 2014
• Long service leave: staff eligible for long service leave may cash out
long service leave provided they:
– retain a minimum balance of nine (9) weeks - guaranteed approval of cashed
out long service leave paid on 5 November 2014
– take a period of long service leave equivalent to the period of long service
leave cashed out. Subject to associated period of long service leave being
approved.
The Proposal Diagram
Continuing, Fixed-term and Sessional Staff
October
Mon
Tues
6
13
20
7
14
21
27
28
November
Mon
Tues
3
4
10
11
17
24
18
25
Wed
1
8
15
22
Thur
2
9
16
23
Fri
3
10
17
24
29
30
31
Wed
Thur
5
12
6
19
26
Fri
Sat
4
11
18
25
Sun
5
12
19
26
7
Sat
1
8
Sun
2
9
13
14
15
16
20
27
21
28
22
29
23
30
Fortnightly pay period under existing
arrangements
Annual leave
loading paid
Cash out of
annual or long
service leave
paid
Fortnightly pay period aligned to changed
pay day (three weeks between pay days)
Fortnightly pay periods after change to the
pay day
Pay days – colour aligns with the
colour of the pay period
Date of payment for strategies to mitigate
financial difficulty or hardship
The Proposal Diagram
Casual Staff
October
Mon
Tues
6
13
20
7
14
21
27
28
November
Mon
Tues
3
10
4
11
17
24
18
25
Wed
1
8
15
22
Thur
2
9
16
23
29
30
Wed
Thur
5
12
19
26
Fri
3
10
17
24
Sat
4
11
18
25
Sun
5
12
19
26
Sun
2
9
16
23
30
31
Fri
6
13
7
14
Sat
1
8
15
20
27
21
28
22
29
Payroll processing cut-off dates – colour
aligns with colour of pay day
Pay days – colour aligns with the colour of
the Payroll processing cut-off date
Existing arrangements apply to Payroll processing
cut-off date and pay days in these colours
Changed dates for Payroll processing cut-off and
pay day in this colour (three weeks between pay
days).
Next Payroll processing cut-off and pay day after
the change in this colour
Next steps
• Consultation process concludes 14 July
• A final decision on how and when the pay cycle will
change will be made by early August. There will be a
change to the fortnightly pay cycle during the life of
the ACU Staff Enterprise Agreement 2013-2017
• Staff will be informed of approved arrangements
initially via an all staff email (a comprehensive
communication strategy will be implemented)
• Staff should start to think about the financial
arrangements that could be impacted e.g. regular
direct debits or payments (Checklist is being
developed to assist staff with this)
Proposed Process – Consultation
and Implementation
June/July
Staff consultation
Review feedback on
the Pay Date Change
Proposal
August/September
October
Final decision in relation
to changing the Pay Date
by early Aug
Reminders to staff
Communication with
staff (including website
providing FAQs,
Preparation Checklist,
etc)
Last pay under current
pay cycle arrangements
on 22 Oct
Cashed out leave forms
to be lodged during
October (details TBA)
November
Annual leave loading &
cashed out leave paid on
5 Nov to eligible staff
12 Nov – new pay date
Return to fortnightly pay
dates – next pay due on
26 Nov
How to participate in the
consultation process?
Ask questions, identify issues and/or make
suggestions:
• at an Information Session (notes are being taken);
and/or
• by sending an email to [email protected]
by 14 July 2014.

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