[August 30, 2006]

Thanks to the efforts of President Dynes, members of the Board of Regents and many others throughout the UC community this past year, state leaders adopted a state budget for 2006-07 that reflects the critical importance of continued state funding for UC salaries.

The systemwide salary program for the next fiscal year for policy covered (unrepresented) staff employees was developed based on the final state budget's 4 percent funding increase for employee compensation and benefits programs. (Salaries for represented employees are governed by collective bargaining agreements.)  This program is subject to the normal employee notice and comment period. The program will not be final until after employee comments are considered.

Elements of the 2006-07 systemwide salary program are as follows:

• A merit funding pool of 3.5 percent for policy covered staff employees, effective October 1, distributed according to local compensation programs consistent with systemwide guidelines;
• An equity funding pool of 0.5 percent to address significant individual market parity and equity issues for policy covered staff employees, effective October 1, to be determined at each location and distributed according to local programs consistent with systemwide guidelines.

Should you have any questions about the salary plan for 2006-07, please contact your local Human Resources office.

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