Q: Can a recharge (service center) surplus balance generated by furlough salary savings be used to off-set the temporary target reduction?
A: UCSF employees funded from recharge (service centers) are included in the furlough plan. The savings from all funds included in the furlough plan will be used to offset a portion of the extraordinary and massive State funding reduction imposed on the University of California in FY 09-10.
The temporary FY 09-10 UCSF targets will be allocated to each UCSF Control Point and the Control Points will determine the fund sources to use to meet their respective targets. A Service Center’s surplus generated by the furlough savings may be used for this extraordinary circumstance, except that the Service Center may be assessed no more than the actual amount of the salary and benefit savings generated by that Service Center.
Any remaining surplus balance, not used for funding the reduction target, will be subject to UCSF recharge policies that recognize that recharge operations may have year-end financial balances, and direct that the balances be included in the computation of subsequent year recharge rates. Therefore, net remaining savings from furloughs may affect the next year’s recharge rate.
September 23, 2009
Below are answers to frequently asked questions about the UC-mandated furlough/salary reduction plan. If UCSF employees have a question that hasn’t been answered below, they should talk to their department Human Resources administrator(s). In the event their department Human Resources administrator(s) need additional information, they have been directed to contact the appropriate central administrative office. The Budget webpage will continue to be updated as any new information or updates of existing information emerge.
August 19, 2009
In response to specific questions raised by the UCSF community regarding the implementation of the UC furlough plan, UCSF leadership has developed the below Question and Answer material. Information was first posted on August 4, and will be updated periodically to reflect new or updated information.
To view materials approved by the UC Regents and the UC FAQ, please visit the University of California Office of the President (UCOP) website:
August 17, 2009
Q: How will the number of furlough days an employee is entitled to be determined?
A: An employee’s full-time salary rate on Jan. 1, 2009 (or the hire date if later), will be used to determine the number of furlough days (and corresponding percentage pay reduction) for the term of the furlough plan.
Q: Are employees who are non-exempt under the Fair Labor Standards Act (FLSA) subject to the furloughs? If so, how would that work?
A: Employees are subject to furloughs regardless of their FLSA status. The furloughs will work the same for both non-exempt and exempt employees; however, whereas exempt employees are required to use furlough days in full-day increments, non-exempt employees may use furlough days in increments as small as a ¼ hour.
Q: Why are people on H-1 visas being treated differently from holders of J-1 visas?
A: The H visa is job and site specific; once approved, the employee is eligible to work at the job for which that visa was approved and any changes in terms of and conditions of employment require additional submissions for federal agency approval. The same limitations do not apply to the J visa.
August 6, 2009
Q: Does the salary cut apply to my total salary, to the covered salary (e.g., APU scale) or to only the state funded portion of my salary?
A: The salary reduction will be applied to the full-time UCRP covered compensation rate (as determined by APU scale), the X + X’.
Q. What about faculty/staff who are paid entirely by Veterans Affairs?
A. They are not impacted by this furlough plan.
Q. If we have a faculty member who is currently at the lowest salary possible per the Department Compensation Plan, will his/her salary still be cut?
Q. Can faculty who are supported by FTE and grants/contracts supplement their salaries from grants/contracts to make up for the cut to their FTE?
A. We are not sure yet. This will depend on UCOP guidelines. However, if it is allowed, you must be compliant with the granting agency’s policies and must assure the granting agency that you are actually increasing your effort on the grant. Also, remember, for ladder rank faculty, at least one-third of FY base salary must be paid from 19900 or state funds.
Q. How will we maintain research administration staff, since sponsored research won’t be reduced?
A. Department managers will work together to identify best practices for managing research administration under the furlough plan.
August 4, 2009:
UCSF on August 4 released information about implementing the UC furlough plan, which was approved by UC Regents on July 16.
This Frequently Asked Question (FAQ) information was prepared by UCSF leadership in response to questions that the UCSF community has asked regarding the implementation of the UC furlough plan. This FAQ will be updated periodically to reflect new or updated information.
Q: Who is included in the furloughs?
A: Non-represented staff, represented staff (after collective bargaining over the terms), Academic Senate faculty, non-Senate faculty, non-Senate academics, members of the Health Sciences Compensation Plan faculty.
Q: What types of pay will be affected?
A: Compensation subject to the plan includes base pay, similar forms of regular pay and stipends, except as otherwise exempted, whether that income is derived from state funds, student fees, contracts, grants, cooperative agreements, auxiliary enterprises or other fund sources. More detailed information about how different types of pay will be impacted will be made available prior to implementation.
Q: What are exempted funds from the furlough or cut?
A: Academic and staff employee whose included compensation as defined in the plan is 100 percent funded from federal state, other government or private contracts, grants or cooperative agreements will be exempted from the plan. A list of exempt funds has been provided to the deans. Those partially funded by the exempt funds will have those portions excluded from the furloughs.
Q: How much is the cut or furlough?
A: See the charts below.
Table 1: All employees except faculty (Note: This table also is used for non-faculty academics at UCSF)
|Salary Band|| MCB-
|Annual Compensation||Hourly Accrual Rate||Furlough Days||Total Equivalent Salary Reduction (Approximate)|
|2||41-46||$40,001 - $46,000||0.050000||13||5%|
|3||47-60||$46,001 - $60,000||0.061538||16||6%|
|4||61-90||$60,001 - $90,000||0.069231||18||7%|
|5||91-180||$90,001 - $180,000||0.080769||21||8%|
|6||181-240||$180,001 - $240,000||0.092308||24||9%|
All Senior Management Group (SMG) members will be provided only 10 furlough days regardless of their respective salary reduction level. Thus, the accrual rate of .038462 will be used for this group.
Table 2B: Fiscal Year Faculty
|Salary Band|| MCB-
|Annual Compensation||Hourly Accrual Rate||Furlough Days||Total Equivalent Salary Reduction (Approximate)|
|2||41-46||$40,001 - $46,000||0.046154||12||5%|
|3||47-60||$46,001 - $60,000||0.053846||14||6%|
|4||61-90||$60,001 - $90,000||0.061538||16||7%|
|5||91-180||$90,001 - $180,000||0.073077||19||8%|
|6||181-240||$180,001 - $240,000||0.084615||22||9%|
Q: When will we know the details of what my reduction in salary and furlough days are?
A: This will depend on the individual. We imagine that we will know the details for faculty and non-represented staff by Sept. 1, 2009. Staff represented by labor unions will only be known upon conclusion of negotiations.
Q: What specific visa types would make an individual not subject to the furloughs?
A: H-1B, H2, H3, E3
Q: How will furlough days be given?
A: Included employees will have their work time reduced by a specified number of furlough days to be taken throughout the plan term as discretionary days off and/or during closure days, if any, as determined by UCSF. The reductions will be calculated at the commencement of the plan term and taken as a percent of salary such that included employees’ pay will be reduced by the same percentage for each pay period during the plan term. The payroll system will be used to track the accrual and use of furlough days. The appropriate number of furlough hours will be added into a furlough bank each month. Clarification is pending regarding how these days will be maintained in the payroll system.
Q: When can I take my furlough days?
A: Employees are expected to use their furlough days throughout the year. However, if a location has scheduled closure days in excess of accrued furlough days, employees may use furlough days before they have actually accrued.
Q: Must furloughs be taken as full days off or can they be taken in hourly increments?
A: Generally, furlough time should be recorded in one-day increments for exempt employees (including academic/faculty), ¼ hour increments for non-exempt employees. Campuses may establish local procedures for recording furlough time.
Q: How will the furlough impact my vacation and sick leave accrual?
A: Employees will continue to accrue at the rate they had prior to the furloughs.
Q: What about my retirement benefits? Will they be affected?
A: No, retirement benefits will be calculated on the pre-furlough covered compensation.
Q: What about my retirement, disability and survivor benefits?
A: The plan will use pre-furlough salaries to calculate UCRP benefits and to maintain the pre-furlough accrual of UCRP service credit so that UCRP benefits are not negatively impacted. In addition, health and welfare benefits (medical, dental, vision, life and disability) will not be impacted by the furlough/salary reduction plan. Monthly costs of insurance premiums and calculations of life and disability benefits will continue to be based on your full-time, unreduced salary rate.
Q: When do the furloughs start? How long do they last?
A: The furlough program will run for 12 months, beginning Sept. 1, 2009 and ending Aug. 31, 2010.
Q: To avoid furloughs, can I move salary support for staff to exempt funds (e.g., government grants)?
A: Yes, if it is appropriate to the workload and compliant with granting agency rules.
Q: If salary is cut for staff on my grant, what will happen to those funds?
A: It will remain in your grant for you to use as appropriate according to the terms and conditions of award of that individual grant.
Q: What about the medical centers?
A: The medical centers have been given the option to come up with the same savings as the furlough would produce without implementing furloughs which would be disruptive to patient care and require the hiring of temporary workers to cover the furloughed workers shift. Included in this plan are workers who support the clinical enterprise in Langley Porter Psychiatric Institute, the schools of dentistry and medicine. Through review and elimination of vacant positions, planned attrition, layoffs, reductions in time, program closures, voluntary separation program, reduction in the use of contract and temporary labor, and salary reductions for senior management $45 million will be saved, equivalent to the amount saved by furloughs for these employees at UCSF Medical Center.
Q: Can I use my vacation days to “make up” the furlough days so my pay won’t be cut?
A: No, this negates the point of the plan which is to produce financial and budgetary savings.
Q: Will furlough days reduce the instructional time?
A: The unanimous opinion of the deans of all four UCSF professional schools and the Graduate Division is that this will not happen. The belief is that when we are asking for tuition increases to cover costs, delivering less instruction is adding insult to injury.
Q: Are student TA’s subject to the cut since their funding is on 19900?
A: No, students are exempt as a job title classification, regardless of funding source.
Q: Can faculty furlough days be added to the number of consulting days as defined by the compensation plan?
A: This question is under consideration at the system-wide level and no decision has been made yet.
Q: Can faculty members negotiate for a higher salary during this time?
A: Campus practice is that salaries are negotiated once per year. Mid-year renegotiation of salary is rare and requires the approval of the dean. It was the unanimous opinion of the UCSF deans that campus practice regarding renegotiation of salaries would not change during this time.
Q: Can I adjust the proportion of my salary that I bring in from grants so that I can avoid part of the salary cut (or furlough)?
A: We are not sure yet. This will depend on UCOP guidelines. However, if it is allowed, you must be compliant with the granting agency’s policies and must assure the granting agency that you are actually increasing your effort on the grant. Also, remember, for ladder rank faculty, at least 1/3 of FY base salary must be paid from 19900.
Q: What about recalled faculty, are they subject to the furlough? If so is their band determined by their salary rate, or the actual salary that they are paid at 43% or less appointment?
A: Answer pending.