The NYS Office of Employee Relations has notified all the State unions, including UUP, about a payroll processing error related to the 2023 Productivity Enhancement Program (PEP) credit. As a result of this error, employees who had a PEP credit for 2023 did not have a deduction for their health coverage taken from their December 20, 2023 paycheck. We understand this was an error that impacted only one check and there will be no interruption in health coverage as a result.
The State has informed us that normal health insurance deductions will resume with the January 3, 2024 paycheck. In addition, a special deduction of up to $100 per paycheck will be taken to recover the amount of the missed Dec. 20, 2023 deduction. This special deduction will continue until the total amount of the missed deduction has been recovered. Please remember that what the amount of the recovery is and how many pay checks it will take to recover it will vary from employee to employee and depend on whether the employee is enrolled in individual or family coverage, which plan the employee is enrolled in, and what the employee’s (income sensitive) premium share is.
We understand that the Department of Civil Service is sending out letters to all impacted employees with details regarding the recovery process. Please work with your LRS to address any questions/concerns your impacted members may have that are not answered by the DCS letter.
