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State Personnel Director Official Communication 09-05

April 22, 2009
TO: ALL APPOINTING AUTHORITIES, HUMAN RESOURCES OFFICERS, AND RECOGNIZED EMPLOYEE ORGANIZATIONS

FROM: JEREMY S. STEPHENS, STATE PERSONNEL DIRECTOR

SUBJECT: PROPOSED RULE AMENDMENTS

The following amendments to the Civil Service Rules are being proposed for consideration at the Civil Service Commission meeting on May 20, 2009.

1. Out-of-state Auditor's Premium Pay

Currently, auditors in the Department of Treasury whose residence and work location are outside of Michigan are paid a 20 percent pay premium. The Department of Treasury has requested that the 20 percent pay premium also be paid to in-state auditors who are assigned to audit out-of-state taxpayers for those hours worked out-of-state. The Department of Treasury believes that the premium will yield overall cost savings by eliminating the need for another, more expensive, out-of-state office and address staff recruitment and retention issues.

Staff has drafted the attached amendments to Rule 5-6.4 [Premium for Department of Treasury Auditors Working and Residing out of State]. If approved, these amendments would authorize the changes requested by the Department of Treasury.


2. Annual Leave

Currently, a newly-hired employee is granted 16 hours of annual leave that can be used immediately and also begins to accrue annual leave of 4 hours per pay period. However, the employee cannot use the accruing annual leave until the employee has completed 720 hours (18 weeks) of employment.

A recommendation has been received that Rule 5-10 be amended to delete the 720 hour waiting period and permit newly-hired employees to use annual leave as it accrues.

Staff has drafted the attached amendment to Rule 5-10.2 [Paid Leave]. If approved, the amendment would delete the 720-hour waiting period and permit newly-hired employees to immediately use annual leave credits as they accrue.


3. Back-pay Awards

Currently, no rule or regulation addresses back-pay awards. In a recent case, MDOC v Ybarra, CSC 2009-005, the Commission approved the inclusion of lost overtime pay premium in a back-pay award. The Commission noted that there was no rule or regulation that addressed overtime and asked staff to review how back-pay awards are generally computed and what pay premiums are and should be included.

Staff has prepared the attached amendments to Rule 8-2.4 [Civil Service Grievance Appeal Procedures]. If approved, the amendments would restore the pre-Ybarra status in which overtime was not included in back-pay awards and would prohibit inclusion of overtime in future back-pay awards.

In addition, the amendments address a variety of related factors but retain the current practices. The amendments:

  • detail which premiums may be included (shift differential and prison employee premiums) and which other premiums cannot be included (on-call, callback, explosives duty, out-of-state location, and emergency response.)

  • specify the deductions from back-pay awards (e.g., workers' compensation.)

  • authorize a hearing officer to award lost sick and annual leave credits, longevity pay, and seniority credits.

Comments regarding the proposed amendments may be addressed to Janet McClelland, Chief Deputy Director, Civil Service Commission, P.O. Box 30002, Lansing, Michigan, 48909, or e mail at McClellandJ@michigan.gov. Comments must be received by Wednesday, May 6, 2009.


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