OSU PAY 501: Classified Pay

Definition

Classified Position

A position represented by the Service Employees International Union (SEIU), Local 503, Oregon Public Employees Union (OPEU) and the Graphic Communication International Union (GCIU).

Temporary Employee

A person hired through a temporary appointment to meet emergency, nonrecurring or short-term workload needs for a period of not more than 1040 hours.

Top

Background Information

Classified Appointment Information Matrix
Category	Salaried	Hourly	Summer Position	Temporary
Position	C3XXXX	C3XXXX	C3XXXX	C4XXXX
Suffix	00	00	33	00
Earn Code	REG	REG	SMN	OCH
Account Code	10301	10301	10301	10410
Emp E-Class	CA CB	CD CE	CE	TS
Job E-Class	CA CB	CD CE	See  primary position	TS
Pay Schedule	Monthly	Hourly	Hourly	Hourly
Job Form	Classified	Classified	Classified	Temporary

Top

Procedure

501 Classified Pay

501-01 Payment Process

Department Payroll Administrator completes employment registration process which includes submitting an OSU job application, personal demographic form, I-9, W-4 and job form to the Office of Human Resources.  After logging onto the Oregon State Central Administrative Resources (OSCAR) website, click on "Online Tasks" - "Hiring Employee" - "Classified" and complete the appropriate online tasks.  

Top

501-02  Job and Labor Distribution Forms

501-02a  Job Form

• The Job Form is used to authorize pay for initial appointments, report changes in appointment percentage and/or appointment type, and to report job-end dates when an individual will continue to be employed by the University but is moving to another position.
• To obtain this form, log onto OSCAR, click on "Online Tasks" - "Hire employee" - "Classified".
• Job forms should be routed to OHR.

501-02b Labor Distribution Form

• The Labor Distribution Form is used to report changes to prior, current, or future distributions.  Department Payroll Administrators who have had PYAREDS (redistribution) training may enter changes affecting prior months but must send a copy of the form to the Payroll Office to change current or future distributions.  ANY CHANGES TO LABOR DISTRIBUTIONS AFFECTING A PRIOR FISCAL YEAR MUST BE APPROVED BY THE OFFICE OF POST AWARD ADMINISTRATION. 
• To obtain this form, log onto OSCAR, click on "Online Tasks" - "Payroll Changes" scroll to "Miscellaneous" - "Labor Distribution form" (excel format).
• Initial job forms include a labor distribution field.   Labor Distribution forms should be forwarded to OHR for new hires and sent directly to the Payroll Office for changes of labor distributions.

Top

501-03 Pay Method - Default / Hourly Pay

501-03a Hourly Pay

• All hourly-paid classified and temporary classified employees are paid based on actual hours worked at a previously determined hourly pay rate.  Percentage-based differentials (identified as Premium Pay) will be calculated through the Banner payroll process.  Differentials based on an hourly rate, work out of class pay, and overtime are input during the time-entry process.
• Pay is issued for the period from the 16th of the prior month through the 15th of the current month and is paid to the employee on the regular payday at the end of the month.  The pay is identified as current month pay based on the date it is issued.
• Payroll data is entered in PYAHOUR during time entry each month.  Refer to the Payroll Calendar for specific dates.   
• Refer to Classified Earn Codes for the correct Earn Codes and Account Codes to use.

501-03b Default Pay

• All salaried employees are paid by the Default Pay method (often referred to as forecast pay).  Default pay is applicable for monthly salary and percentage-based differentials such as Campus Security Differential (DCS) and Bilingual Differential (DBL).  These differentials are identified as Premium Pay on the list of Classified Earn Codes.
• Pay is issued for the period from the first of the month through the end of the month and is for the current month.

501-03c Computing FLSA Overtime on Premium Pay

The Fair Labor Standards Act (FLSA) requires that certain types of employee compensation (premium pay) must be included in the calculation of overtime compensation.  This additional compensation (earn code OTD) applies to FLSA overtime, which is time actually worked in excess of 40 hours per work week.

Commonly Applicable Earn and Accounts Codes
DBL	10416
DEL	10425
DDV	10432
DHW	10432
DLW	10433
DSH	10435
DSG	10435
DPP	10435
DNA	10446
DNB	10446
DSN	10446
DCS	10480
DNL	10481

Please contact Payroll for guidance regarding computation of FLSA overtime on other types of differential pay, such as Work-Out-of-Class Pay (DWC).

501-03c(1) Computation Method

Two alternatives are available for calculating additional overtime on premium pay:  formula or coefficient table.  Use of the coefficient table (prepared by U.S. Department of Labor) is recommended.

Using the Formula Method

The formula below may be used to determine the amount of additional overtime on premium pay:  Overtime for each work week must be calculated separately.

Total Premium Pay Earnings X FLSA Overtime Hours Worked = Rate for FLSA Overtime Premium Pay
Total Number of Hours Worked                 2

Example Using the Coefficient Table

An employee who works 42.5 hours in one workweek will have additional overtime on premium pay calculated by multiplying the premium pay amount by the coefficient .029 which is found in the column headed 00.50 in the row labeled 42 FLSA Hours.  Additional overtime compensation should be entered in PYAHOUR using earn code OTD, account code 10419.  Units - 1; special rate - calculated amount. Click here to see the complete table.

Voluntary deductions are authorized by the employee and include:

• Benefit Package deductions
• Charitable Fund Drive (United Way) deductions
• Other deductions

Top

501-04  Social Security Exemption

Classified employees are not eligible for exemption from Medicare and Social Security withholding.

Top

501-05  Accounting for Labor Charges

Labor is charged to specific indexes and account codes.  Use of activity codes is the choice of the department.

501-05a  Index

• Department index must be an open index owned by the employing department.
• Department index must remain open through the last day of the month payment is issued to the employee.

501-05b  Account Code

Refer to Classified Earn Codes for account code information.

Top