Thursday, September 15 2016

TO:      PPS Preparers and Reviewers
FR:      Kathy Moore, Interim Compensation Unit Supervisor
RE:      Upcoming Minimum Wage Increases

There are two increases to minimum wage requirements that will become effective in the coming months:

1. UC Fair Wage/Fair Work Plan Increase – Effective October 1, 2016

Any newly appointed employees (or employees currently earning less than $14 per hour), that are appointed at 50% time or more in a career, partial-year career, contract and/or limited appointment type, are required to be paid a minimum of $14 per hour effective October 1, 2016. This does not apply to students appointed as casual-restricted.

This is the second year of President Napolitano's UC Fair Wage/Fair Work (FW/FW) Plan. The FW/FW Plan is a three year minimum wage plan that guarantees all UC employees (career, partial year career, limited, and contract), appointed at 50% or more, will be paid at least $15 per hour no later than October 2017.

To review the memo sent to campus management last September, please visit the Compensation web site at https://www.hr.ucsb.edu/hr-units/compensation-classification

For an overview of the FW/FW Plan and FAQs, please visit the UC Net site at http://ucnet.universityofcalifornia.edu/compensation-and-benefits/fairwage/index.html

2. California Minimum Wage Increase – Effective January 1, 2017

Effective January 1, 2017 the California Minimum Wage will increase from $10 per hour to $10.50 per hour. This change primarily impacts casual-restricted Student Assistant staff employees currently paid less than $10.50 per hour. This change will be processed centrally through HR with more information coming later this Fall.

If you have any questions regarding these upcoming changes, please contact the Compensation Analyst that supports your department:

Kathy Moore, extension 7137
Angie Mignone, extension 7664
Mara Morrison (for Lisa Romero), extension 4459
Amy Arnold, extension 4068
Tamara Berton, extension 4661

Thank you.