Date: October 22, 2004 Bulletin Number: 503

Calculating Base Salary for PEF Employees Who Have Been Promoted

To provide agencies with the new procedure for calculating promotions for PEF employees who have earned Longevity Lump Sum Payments.

Affected Employees
Employees represented by the Public Employees Federation (PEF) who are promoted on 9/14/04 and after.
Effective Date(s)
Date of Contract Ratification, September 14, 2004.
Article 7.10(a) of the collective bargaining agreement between the State of New York and the Public Employees Federation (PEF) and Chapter 419 of the Laws of 2004 provide for a new procedure for calculating promotions for PEF employees.

Employees promoted or otherwise advanced to a higher salary grade on September 14, 2004 and after will be paid at the Hiring Rate of the higher grade or will receive a percentage increase in base pay determined as indicated below, whichever results in a higher salary.

For purposes of this section, “base pay” shall now include any Performance Awards received during the 12-month period immediately preceding the promotion.

This provision applies to any eligible PEF employee who is promoted to another PEF position or to a position represented by any other bargaining unit that is subject to Section 130 and Section 131.2a of Civil Service Law.

The provision does not apply when an employee from another bargaining unit is promoted to a PEF position.

Procedure for Calculating Salary Upon Promotion
To calculate the salary of a PEF employee upon promotion, the agency must:
  1. Combine any Performance Awards that the employee may have received during the 12-month period prior to the promotion with the employee’s current lower graded salary. The result is the employee’s base pay.

  2. Apply the percentage increase for the promotion to the base pay.
  For a Promotion of: Apply an Increase of:
  One grade 3.0%
  Two grades 4.5%
  Three grades 6.0%
  Four grades 7.5%
  Five grades 9.0%
  1. Compare the resulting salary to the Hiring Rate of the new grade to determine the higher salary.

  2. Submit the higher salary to OSC.

Agency Action Beginning Pay Period 20L
Agencies must begin using the new method of calculating promotional salaries beginning in Pay Period 20L.

For PEF employees who were promoted on or after 9/14/04, the agency must recalculate the promotional salary using the new method of calculation and submit a Pay Change Request beginning in Pay Period 20L using the Action/Reason codes of Pay Rate Change/CSL (Correct Salary) if necessary. The agency must also insert an explanation for the salary correction in the Status Reason block.

A new Query will be created for agencies to use to help identify employees who may need to have their salaries recalculated. The Query title and date of availability will be posted on the PayServ and Query Bulletin Boards prior to Pay Period 20.


Questions regarding this bulletin may be directed to the Salary Determination mailbox.