North Carolina A

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North Carolina AT State UniversityFall Forum
Town Hall MeetingNovember 5, 2008

• Positive Change
• Guest Speaker
• Vice Chancellor Linda R. McAbee
• Division of Human Resources

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Agenda

• HR Strategic Priorities Update
• Impacting Positive Change

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HR Strategic Priorities Update Impacting
Positive Change
Fiscal Year 2008-09 Annual Salary Plan
SPA Employees
EPA Employees
Legislative Increase
2.75 or 1,100 (whichever is greater)
3 Merit (merit, market and equity)
Total Amount
751,789
1,974,657
Number of Employees
725
685
Process Steps Effective Date
Pay Date
July 1, 2008
July 1, 2008 (12 month) August 13, 2008 (9
month)
August 29, 2008
September 30, 2008 (9/12 month)
Employee Notice Letters
August 20 22, 2008
September 26, 2008
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HR Strategic Priorities Update Impacting
Positive Change

• Career-Banding
• A Competency Based Human Resources Classification
  Compensation System
• What is Career-Banding?
• Simpler Classification Compensation System
• Collapsing of Classes into more Generic Titles
• Wider Pay Ranges
• Pay Movement Based on the Development and
  Demonstration of Competencies
• Emphasis on Career Development

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Goal of Career-Banding
HR Strategic Priorities Update Impacting
Positive Change

• To positively impact the University and states
  ability to
• Recruit, retain, and develop a qualified,
  motivated, and diverse workforce
• Emphasize competencies and demonstrated
  proficiency on the job
• Promote career development

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Career Banding NC AT State University
SPA Staff
HR Strategic Priorities Update Impacting
Positive Change

• 2008 Timeline
  Action
• June 30 Crosswalk all SPA
  positions into new CB Structure (925)
• Aug 25-Sept 4 Trained all University
  Management (approx 350)
• Sept 8 Validated Competencies
  for all SPA staff (725)
• Sept 30 Crosswalk all SPA staff
  into new CB Structure (100
• submission of
  competency validations
• Nov 1 Dec 31 Communication to staff
  confirming competency validation
• NEXT STEPS
• Office of State Budget Management Mandated 4
  Reduction of the Universitys State
  Operating Budget
• Resubmit Salary Adjustment Fund Proposal for
  the University 1.6M (TBD)
• OSP Facilitates Review/Approval Process

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403(b) Retirement Plan
HR Strategic Priorities Update Impacting
Positive Change

• The Treasury and Internal Revenue Service (IRS)
  issued final regulations on July 26, 2007
  regarding Section 403(b) plans
• This is the first time in over 40 years that such
  comprehensive guidance has been provided for
  403(b) arrangements
• UNC System facilitating compliance with new
  regulations effective January 1, 2009

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403(b) Retirement Plan
HR Strategic Priorities Update Impacting
Positive Change

• What will change in 2009?
• Written plan document requirement, with no
  exemption for government, church, or non-ERISA
  TDA plans
• All employees who pay FICA will be eligible to
  participate, e.g. temporary employees
• New offering of an after-tax ROTH 403(b) plan
• Required employer-funded 403(b) retirement plans
  to apply the statutory nondiscrimination
  requirements, including new controlled group
  rules

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403(b) Retirement Plan
HR Strategic Priorities Update Impacting
Positive Change

• Current 403(b) Providers at AT
• Total Employees 258
• Ameriprise (Formerly American Express) 0.8
• Equitable 3.5
• Fidelity 7.0
• Horace Mann 0.4
• Lincoln Financial Group 7.8
• MetLife 22.8
• Primerica 8.6
• TIAA-CREF 17.4
• AIG (Formerly VALIC) 31.7

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403(b) Retirement Plan (contd)
HR Strategic Priorities Update Impacting
Positive Change

• Employee Communication and Education Calendar
• Oct 7 Employee announcement regarding
  implementation of a UNC System-wide 403(b)
  multi-employer plan and selected vendors
• Oct 15 Notification to de-selected vendors of
  expiration of agreements on December 31, 2008
• Oct 31 Vendors send letters to current Fidelity
  TIAA-CREF participants
• Nov 12 Notification to existing employees
  participating in the 403(b) Plan (voluntary
  supplemental retirement plan) about the need to
  re-enroll with an approved vendor

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403(b) Retirement Plan (contd)
HR Strategic Priorities Update Impacting
Positive Change

• Nov 15 Distribute enrollment booklets to
  employees participating in 403(b) supplemental
  retirement plan
• Nov 12,13,19 TIAA-CREF and Fidelity information
  sessions, HR, Wendover Avenue
• Jan 2009 New Salary Reduction Agreement(s) will
  need to be completed for all participants with
  de-selected vendors, as applicable
• Jan 2009 Effective date of new UNC System-wide
  403(b) multi-employer plan

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NC-Flex On-LineOpen Enrollment

HR Strategic Priorities Update Impacting
Positive Change

• 24 hour, 7 days a week, online access and
  assistance
• Sep 29- Nov 3 open enrollment period extended to
  Nov 6 midnight
• Reduced premiums (Vision, ADD and Term Life
  Insurance)
• New Critical Illness Plan
• New Vision Plan 3
• New Cancer Premium Option
• Detailed description on each benefit plan
• Instant message help, e-mail contact and
  toll-free help line
• Ability to make changes online
• Immediate online confirmation of completed
  benefit elections, e.g.
• contributions, beneficiaries, summary and total
  of monthly premiums

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NC FLEX ENROLLMENT 2009 REPORT Sept 29 Nov 4,
2008
HR Strategic Priorities Update Impacting
Positive Change
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NC-Flex Open Enrollment
HR Strategic Priorities Update Impacting
Positive Change

• EMPLOYEES COMMENTS
• Being able to update my own information was
  helpful
• It was easy to read and navigate the system
• It is a very user friendly system
• Elimination of paper forms was a plus
• Easy to access from home and other locations
• Not having to go to HR to complete the process
  was helpful and time-saving
• Allowed you to preview your benefits summary when
  needed
• It was quick, convenient and very accessible

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UNC Payroll Project BANNER
HR Strategic Priorities Update Impacting
Positive Change

• The Challenge
• The State Controllers Office is in the process
  of converting all State agencies to a new central
  payroll system (called BEACON) nine UNC campuses
  are currently on the old central payroll system.
• Future Vision
• NC should begin the process of providing hosted
  services for the nine Banner campuses to take
  advantage of cost savings and provide more
  effective computing services.
• Timeline
• The States central payroll will no longer be
  available after 2008 therefore, the payroll
  project must be implemented by December 2009.
• Options Being Considered
• UNC should create the capacity to centrally
  process payroll for the nine campuses currently
  utilizing central payroll.
• Each campus must be fully operational on the
  Banner Human Resource system to enable payroll to
  be processed in a consistent and centralized
  mode.
• Each campus would adopt a single, unified and
  standard set of best practices for processing
  payroll as determined by a project team of campus
  and General Administration personnel. Best
  practices to be embraced would include those
  recommendations in the current study of
  university practices by Ernst and Young.
• NC AT University Banner budget needs to include
  projected costs to support this initiative

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I-9 Audit Compliance
HR Strategic Priorities Update Impacting
Positive Change

• Audit Objective To ensure compliance and
  readiness for potential federal audit
  investigation.
• How to Achieve Objective
• University I-9 Policy approved June 2008
• Create master tickler system for all active
  employees receiving compensation from the
  University (November 6, 1986 to Current Date) v
• Work collaboratively within Human Resources
  employment functions to centralize completion and
  processing of I-9 forms remove responsibility
  from hiring departments (Effective January 2009)
  v
• Conduct ongoing annual internal I-9 audit to
  ensure compliance

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I-9 Audit Compliance (contd)
HR Strategic Priorities Update Impacting
Positive Change

• Manage records retention for I-9 forms of
  separated employees
• 3 years after the employee's hire date, OR
• 1 year after the employee's employment ends
• (whichever date is later)
• _ All I-9 processing will be handled through the
  Division of Human Resources Tammie Thomas,
  Administrator January 1, 2009
• Applicable to all employees EPA Non-Teaching
  Faculty,, Graduate/Undergraduate Students,
  Financial Aid Students, Temporary Staff and SPA
• Business Process to Support Accurate, Timely
  Processing will be implemented by HR November,
  2009

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Questions??

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(No Transcript)