UNIVERSITY OF PITTSBURGH PROCEDURE 07-09-02

CATEGORY:         PERSONNEL
SECTION:          Salary Administration
SUBJECT:          Supplemental Payment Requests for Staff Employees
EFFECTIVE DATE:   January 1, 2007
PAGE(S):          2

I.    PURPOSE

      This procedure establishes the process of requesting and compensating 
      classified staff (non-faculty) employees for additional work performed 
      and/or additional payments through a supplemental payment request.

II.   SCOPE

      This procedure applies to all classified staff and union* supplemental 
      payment requests at all University campuses.  This procedure does not 
      apply to faculty, students, or temporary staff.

III.  ROLES AND RESPONSIBLITIES

      The Compensation Department of the Office of Human Resources is 
      responsible for the administration of supplemental payment guidelines to 
      maintain fair and equitable pay for all University classified staff 
      employees.  To ensure adherence to policy and procedure, departments may 
      consider consulting directly with the Compensation Department for initial 
      supplemental payment recommendations prior to payment requests being 
      submitted through the department’s appropriate approval channels.  
      Supplemental payment requests must be officially approved by the 
      Responsibility Center Leadership (Vice Chancellor, Associate Vice 
      Chancellor, or Dean, whichever appropriate) and submitted to the 
      Compensation Department for review before payment arrangements are 
      communicated to staff employees.  Supplemental payments must be approved 
      prior to work being performed by the employee.  Supplemental payments may 
      not be made retroactive.

      Responsibility Center Leadership must manage supplemental payment policy 
      and procedures to their respective budgets.  University Officers are 
      responsible for maintaining overall accountability of supplemental payment 
      equity among their respective areas.  Only University Officers are able to 
      authorize exceptions to the terms and requirements of supplemental pay 
      requests as outlined in the policy and procedure.

IV.   DEFINITIONS AND PAYMENT GUIDELINES

      The supplemental payment guidelines are aligned with the requirements of 
      the Fair Labors Standards Act, NIH policy, OMB Circular A-21, and the 
      University’s Staff Classification System.

      Supplemental payments should not be granted for work performed beyond six 
      consecutive months in duration.  If supplemental payments are anticipated 
      to last longer than six consecutive months, departments should consider 
      temporarily augmenting staff employee base pay salaries as appropriate 
      until such time additional or extraordinary work requirements are 
      satisfied.  When additional duties are relinquished, base pay salaries 
      should revert back to original amounts.  Requiring prior approval from 
      the Responsibility Center Leadership and the Compensation Department, 
      temporary base pay salary adjustments will be documented in writing and 
      agreed upon by the employee and department before official temporary base 
      pay adjustments are made.  If a temporary augmentation occurs during the 
      annual increase process, departments should only grant an increase based 
      upon the employees’ actual base pay.

      This section documents the University’s guiding principles when 
      determining the appropriateness of supplemental payment requests.  Only 
      University Officers are able to authorize exceptions to the terms 
      and requirements of supplemental pay requests as outlined in the policy 
      and procedure.

      Interim Assignment of Duties

      Supplemental payments for interim assignments are intended to augment an 
      exempt employee’s salary while temporarily taking on management and/or 
      leadership responsibilities to continue the operations of a function, 
      department, or unit during a critical vacancy.  Interim assignments are 
      only awarded at the discretion of University Officers (or their 
      designees).  Incumbent must perform all or the majority of the duties 
      necessary to fulfill the requirements of the vacant position.  Examples 
      include fulfilling duties of an employee out on extended leave or assuming 
      additional responsibilities of a vacant position during the department’s 
      recruitment process.

      To qualify a supplemental payment under the reason of “interim assignment 
      of duties”, the department must submit a justification that outlines:

      1.    Rationale for requested payment
      2.    Detailed description of the level of duties and responsibilities of 
            the interim work required
      3.    Details of the vacant position such as: name of person previously 
            occupying position, job family, job classification, and position 
            number
      4.    Estimated time period during which interim duties are to be 
            performed

      Pay considerations for “interim assignment of duties”:

      -     If the job classification level of the interim work being performed 
            is within the employee’s current pay grade, then up to a 5% increase 
            of monthly salary per monthly supplemental payment may be 
            appropriate.  However, if work performed is short-term and within a 
            lower job classification level, no additional compensation is 
            necessary.

      -     If the job classification level of the interim work being performed 
            is one pay grade above the employee’s current pay grade, then up to 
            a 10% increase of monthly salary per monthly supplemental payment 
            may be appropriate.

      -     If the job classification level of the interim work being performed 
            is two pay grades or more above the employee’s current pay grade, 
            then up to a 20% increase of monthly salary per monthly supplemental 
            payment may be appropriate.

      Additional Duties

      Additional duties are defined as situations in which exempt staff 
      employees assume extra duties beyond the normal scope of their regular job 
      duties and responsibilities.  Additional work can not interfere with the 
      employee’s regular responsibilities and must be performed in addition to 
      their normal job function.  Supplemental payments for additional duties 
      are to be awarded as an exception, not as a regular method of compensating 
      exempt staff for additional effort.  In certain instances, work performed 
      on behalf of another department may also be considered “additional 
      duties”.  The staff Administrator V job classification will not be 
      eligible to receive “additional duties” supplemental payments due to the 
      nature, scope, responsibility, and accountability required at that level.

      To qualify a supplemental payment under the reason of “additional duties”, 
      the department must submit a justification that outlines:

      1.    Rationale for requested payment
      2.    Detailed description of the level of duties and responsibilities of 
            the additional work required
      3.    Explanation of the relationship between the additional duties and 
            the employee’s regular job responsibilities
      4.    Estimated time period during which additional duties are to be 
            performed

      Pay considerations for “additional duties”:

      -     If the job classification level of the additional work being 
            performed is within the employee’s current pay grade, then up to a 
            5% increase of monthly salary per monthly supplemental payment may 
            be appropriate.  However, if work performed is short-term and within 
            a lower job classification level, no additional compensation is 
            necessary.

      -     If the job classification level of the additional work being 
            performed is one pay grade above the employee’s current pay grade, 
            then up to a 10% increase of monthly salary per monthly supplemental 
            payment may be appropriate.

      -     If the job classification level of the additional work being 
            performed is two pay grades or more above the employee’s current pay 
            grade, then up to a 20% increase of monthly salary per monthly 
            supplemental payment may be appropriate.

      Special Projects

      Special project work is defined as work performed specifically under the 
      direction of senior management for a pre-approved grant (e.g., NIH grant).  
      Supplemental payment requests for special project grant work may only be 
      submitted for exempt employees.  To be eligible, an employee must perform 
      project management or task oriented work for a special grant related 
      project.

      Special grant related project supplemental payment requests that do not 
      meet the requirement guidelines below must be approved at the University 
      Officer level prior to any work performed by the employee.

      To qualify a supplemental payment under the reason of “special project”, 
      the department must submit a justification that outlines:

      1.    Nature and job duties of work
      2.    Hours worked specifically on project
      3.    Lack of conflict of interest between primary position and work 
            performed on behalf of the project

      Employees performing special grant project duties must document hours 
      worked on behalf of the project and submit with the supplemental payment 
      request.

      Pay considerations for “special projects”:

      -     In accordance with NIH policy, a staff employee’s base salary cannot 
            be paid from the same grant from which the supplemental payment is 
            awarded

      -     Pay may not exceed the employee’s commensurate hourly rate.  The 
            commensurate hourly rate is based upon the annual salary/1,950 
            working hours per year

      Teaching Assignments

      Exempt staff employees may engage in adjunct teaching assignments and/or 
      agreed upon teaching arrangements on behalf of the University after 
      receiving final approval from the employee’s primary department.  
      Supplemental payment requests for teaching assignments must be approved 
      each semester.  Departmental leadership must be cognizant of teaching 
      assignments that occur during an employee’s normal work day.

      To qualify a supplemental payment under the reason of “teaching 
      assignments”, the department must submit a justification that outlines:

      1.    A brief description of the academic course and responsibilities 
            required to fulfill the teaching commitment
      2.    Estimated time period during which teaching responsibilities are to 
            be performed

      Pay considerations for “teaching assignments”:

      -     Pay for teaching assignments must be documented and agreed upon by 
            the department initiating the teaching assignment, the employee’s 
            primary department, and employee.

      Supplemental Payment Requests for Non-Exempt Employees

      Supplemental payment requests are not to be used for payment of actual 
      hours worked by non-exempt employees.  Such payments are prohibited under 
      the terms of the Fair Labor Standards Act and University Policy.  Even in 
      instances where hours worked occur in a separate department from the non-
      exempt employee’s primary assignment department, payment through 
      supplemental payment requests for hours worked may not be authorized in 
      accordance with FLSA regulations.  Payments for additional hours worked 
      for a non-exempt employee must be submitted through the University Time 
      Certification process as either straight-time or overtime hours, as 
      appropriate.

      Inappropriate Application of Supplemental Payment Requests

      Supplemental payments may not be utilized under the following 
      circumstances:

      1.    Payment for work performed prior to being officially hired as a 
            University employee
      2.    Payment for unpaid vacation or sick days upon termination from the 
            University
      3.    Payment for holding two separate University assignments

      Refer to your Human Resource Representative for guidance on appropriate
      payment processes for these types of payments not authorized under the 
      supplemental payment request process.

V.    PROCEDURE

      Requests must be submitted on the staff Supplemental Earnings form along 
      with all required documentation and signatory approvals.

      Supplemental payment requests must be submitted and approved through the 
      department’s appropriate approval channels.  All supplemental payment 
      requests (regardless of type) must obtain minimal signatory approval by 
      the Responsibility Center Leadership prior to being submitted to the 
      Compensation Department for final review and processing.  Supplemental 
      payment requests received by the Compensation Department without the 
      minimal signatory approvals will be returned to the department initiating 
      the request.

      Only University Officers are able to authorize exceptions to the terms and 
      requirements of supplemental requests as outlined in the policy and 
      procedure.

      All questions regarding the classified staff supplemental payment request 
      process should be referred to the Compensation Department.

VI.   REFERENCE

      Policy 07-09-02, Supplemental Payment Requests for Staff Employees








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*  Terms and conditions of employment for employees who are members of 
   bargaining units are set forth in those employees’ applicable collective 
   bargaining agreements and any related documents.