1. UCO Payroll and Human Resources Monthly to Bi-weekly Conversion
FLSA Transition
UCO Payroll and Human Resources Monthly to Bi-weekly Conversion

2. FLSA: What & Why FLSA What is Changing?
Federal law that sets minimum wage, overtime, recordkeeping, and youth employment standards, governed by the Department of Labor (DOL).
The overtime part of the Act includes the “white collar exemption” tests that determine whether someone is considered “exempt” (salaried, and exempt from overtime), or “non-exempt” (hourly, and eligible for overtime). This is the piece of the FLSA that is changing.
What is Changing?
Salary minimum of weekly earnings for full-time salaried workers
Raises the salary threshold for exempt status from $23,660 per year ($455 per week) to $47,476 per year ($913 per week)
DOL looking to update the salary minimum every three years

3. FLSA: What & Why (continued)
What this means
Most UCO employees below the $47,476 salary will have their exempt status change of exempt to non-exempt.
Impacted employees will be required to accurately record their daily working time and will have the right to overtime, compensated as compensatory time (comp time) at a rate of 1 ½ hours (time and a half) for each and every hour worked in excess of 40 in the designated workweek

4. What is considered working time?
Travel Time*
On Call*
Overtime
Compensatory Time
(directed) Working Lunches
(directed) Networking Meetings/Meals
UCO Committees, Associations* s
Text messages
Phone calls
Approved Professional Development
Approved Training Sessions
Coming in early/Staying Late
Smart devices with work related apps

5. What is not* compensable?
You plan to attend a non-work related event on campus (party, etc)
You wish to take an UCO/outside training course to increase non-work related skills
Eating lunch at desk without completing work or while briefly interrupted
Taking a ‘long lunch’, outside of the lunch break policy guidelines
You call or text your supervisor to let them know you will not be in to work that day

6. Why this matters so much
Supervisors can be held liable for violations of FLSA… and so can employees!
As an employee, you cannot legally falsify your time card whether doing so is in your favor or the employers’ favor.
As an employee, you may not enter into any private agreement or settlement, written or otherwise, that waives or alters your ‘substantive rights’ under FLSA.
Overtime pay claim is considered a substantive right
DOL investigations can occur randomly and investigators look for red flags such as:
“pencil whipped” timecards
Timekeepers who approve time for those they are not monitoring
UCO is committed to cultivating and maintaining a positive work environment which requires a safe, secure, and ethical workplace.

7. What are my next steps? Visit (or revisit) relative company policies
Overtime Policy **recently updated**
Lunch/Work break Policy
Practice timely and accurate timesheet entry
Make a list of your “extras”, such as:
Regular professional meetings, on or off-site
Committee work, including Faculty/Staff Senate
Personal/professional activities occurring during work hours
Have a candid conversation with your supervisor:
Share any concerns about your workload or schedule
Let them know which “extras” are most important to you
What will be your new normal?
Come up with a communication game plan
Utilize Human resources as your partner for success
Carrie Irwin, Director of Employee Relations x2327
Erika Cerda, Employee Relations Specialist x2932
What are my next steps?

8. Transition
Employees will transition from monthly salaried pay to hourly bi-weekly pay
Transitioning from exempt to non-exempt will begin August 7, 2016
All pay will be received

9. Timing: 10/14/16 – Bi-Weekly Paycheck (BW21)
Transition to the bi-weekly pay schedule is complete unless short term loan option was chosen
First collection via payroll deduction to pay back short term loan if that option was chosen
Benefit deduction collection transition is complete for all non-exempt employees
10/28/16 – Bi-Weekly Paycheck (BW22)
Second collection via payroll deduction for short term loan
11/11/16 – Bi-Weekly Paycheck (BW23)
Third collection via payroll deduction for short term loan
11/25/16 – Bi-Weekly Paycheck (BW24)
Fourth collection via payroll deduction for short term loan
12/9/16 – Bi-Weekly Paycheck (BW25)
Final collection via payroll deduction for short term loan
12/23/16 – Bi-Weekly Paycheck (BW26)
Transition to the bi-weekly pay schedule is complete for all non-exempt employees
7/31/16 – Last Full Monthly Paycheck
8/7/16 – Will begin clocking hours in UCOnnect/NOVAtime
8/31/16 – Partial Monthly Paycheck
Will cover 8/1/16 to 8/6/16 for currently exempt employees
Will cover 7/31/16 to 8/6/16 for currently non-exempt employees that are paid on the monthly payroll
Will collect ½ of August’s benefit deductions
Will include up to 40 hours of VPO if chosen
9/2/16 – First Bi-Weekly Paycheck (BW18)
Will collect second ½ of August’s benefit deductions
9/16/16 – Bi-Weekly Paycheck (BW19)
Will collect ½ of September benefit deductions
9/30/16 – Bi-Weekly Paycheck (BW20)
Will collect second ½ of September benefit deductions

10. Options: (Decision Deadline July 29, 2016)
1. Vacation Pay Out (VPO)
Receive up to 40 hours of vacation pay out
The VPO amount will be taxed as regular earnings at your normal tax rate
The VPO will be processed through payroll
Advantage: nothing to pay back
Disadvantage: the employee will not have the vacation hours to take time off at a later date
Disadvantage: may not have 40 hours of vacation leave to use
2. Short Term Loan
Receive one week (40 hours) of pay in the form of a short term loan
The loan will be processed through Accounts Payable
The loan amount will be placed on the employee’s Bursar Account for collection
Will be paid back within five payroll deductions beginning with the pay date of 10/14/16 (BW21)
Advantage: interest free loan
Disadvantage: will have to pay the money back
Disadvantage: final monthly paycheck on 8/31/16 may not be enough to cover all necessary payroll deductions
If your paycheck cannot cover your benefits deductions you will be required to pay any unpaid deductions with a personal check.
This would also cause you to lose any of your pre-tax benefits.
3. Do Nothing
Transition to the bi-weekly pay cycle naturally
Advantage: no loan to pay back
Advantage: vacation leave balance will not be affected
If your paycheck cannot cover your deductions you will be required to pay any unpaid benefits deductions with a personal check.

11. Estimated Pay Stubs: Annual Salary $35,000 (Filing status of Single and O)
July Monthly Paycheck (MN7: 7/29/16)
Regular Earnings:$2,916.67
Benefits:$669.66
Taxes:$517.01
Take Home Pay:$1,730.00
August Monthly Paycheck (MN 8: 8/31/16) With VPO Option
VPO Amount: $673.09
Regular Earnings: $634.05
Benefits:$364.00
Taxes:$152.47
Take Home Pay: $790.67
August Monthly Paycheck (MN 8: 8/31/16) With or Without Loan
Benefits: $364.00
Taxes:$33.66
Take Home Pay: $236.39
Loan Amount: $673.08
*The example employee is currently enrolled in the White Medical plan with their spouse. Both the employee and spouse have dental (no ortho) and vision coverage. The employee also participates in OTRS.*

12. Estimated Pay Stubs: Annual Salary $35,000 (Filing status of Single and O)
Bi-weekly Paychecks 18 – 20
Regular Earnings: $1,346.16
Benefits: $332.59
Taxes: $232.18
Take Home Pay: $781.39
Bi-weekly Paychecks With Loan Option
Regular Earnings: $1,345.16
Loan Deduction: $134.62
Take Home Pay: $646.76
Bi-weekly Paychecks 21 – 25 Without Loan Option
*The example employee is currently enrolled in the White Medical plan with their spouse. Both the employee and spouse have dental (no ortho) and vision coverage. The employee also participates in OTRS.*

13. What is going to happen to my Benefits?

14. Benefits Your coverage remains the same Premiums will look different
FLSA Transition Period
Benefit Deductions
½ premium will be collected in August
½ premium in BW 18 (9/2/16) will be collected
½ premium in BW 19 (9/16/16) will be collected
½ premium in BW 20 (9/30/16) will be collected

15. Benefits: Paying Premiums
Now that the transition is over how will premiums be deducted from my check?
½ premium will be deducted twice a month
Bi-weekly payroll schedule has 26 pay periods
Benefits are deducted from 24 pay periods
Example
Dental employee only – monthly rate is $38.80
The biweekly rate is $19.40

16. Oklahoma Teachers Retirement System (OTRS)
UCO changing procedure of deducting employee contribution
In the past employees contributed 7% of their total compensation on the first $10,000 earned
Beginning in July the $700 employee contribution will be divided equally over each pay period
Monthly employees will pay $58.34 per payroll over 12 pay periods
Bi-weekly will pay $26.93 per payroll over 26 pay periods
During the FLSA transition time
Employees pay $58.34 for the month of July and August
The regular contribution amount of $26.93 will begin in BW 18 (9/2/16)*
*Some adjustments may be made in order not to exceed the $700 contribution; further announcements will be made as necessary

17. How do I access my UCOnnect timesheet?

18. Bi-Weekly UCOnnect Timesheet
Go to UCOnnect
go directly to uconnect.uco.edu
Or click on the UCONNECT link on the main UCO website
August 7, 2016 Time Entry Begins

22. 3. Once all hours have been entered for the first week click the “Next” button.
4. Once all hours have been entered for the two week pay period click the “Submit for Approval” button.
Enter hours worked for the day then click save.
Enter hours every day for each day worked and/or the leave type needed.

23. Monthly Payroll Schedule: Exempt Conversion to Non-Exempt
Payroll Deadlines:
Monthly Payroll Schedule: Exempt Conversion to Non-Exempt
7/14/16 - June Monthly Leave Forms are Due by Noon
8/9/16 - July Monthly Leave Forms are Due by Noon
8/9/16 - August 1-6, 2016 Leave Forms are Due by Noon
8/23/16 - Bi-weekly Leave Forms for August 7-20 (BW18) are due by 5:00pm
Leave Forms
Deadlines will continue to follow the Payroll Calendar

24. Resources: Payroll Calendar 2016/2017 Payroll Forms Benefits
Overtime Policy
Work Break Policy
Employee Handbook

25. Tamra Kitsmiller, MBA Lee Camargo-Quinn, PHR, SHRM-CP, MHR Manager Payroll Services Director Benefits Admin Room 208B Admin Room 212 (405) (405)