Lump Sum Payments – > Will be paid (one-time) on the first payroll period following the ratification date. The two percent (2%) Lump Sum Payment will be calculated using the employee’s basic wage rate as established on the last day preceding the ratification. Lump Sum Payments will be subject to Federal, State and Local taxes and other legally required withholding such as Union Dues. Taxes will be determined using the IRS tax withholding rate applicable for lump sum payments. Part-Time and Incidental employees shall receive a prorated lump sum amount based on their EWW as of the effective date of such payment.
Ratification Payment – > The $500.00 Payment, minus Federal, State and Local taxes and other legally required withholding such as Union Dues will be paid to all Regular full-time and part-time employees on the payroll as of the date of ratification. Part-Time employees shall receive a prorated lump sum amount based on their EWW. This payment shall be made no later than four (4) weeks from October 25, 2013.
Other Changes – > The changes to the Healthcare and 401k Plans and to other provisions such as Article 12 Illness Absence, will not be effective until January 1, 2014.
In terms of the other changes such as Daily Premiums that are now effective, the new titles, etc., these are being reviewed to outline a transition period to the new language. Once that process is completed, we will finalize the dates and put that into a Letter of Agreement and distribute it to the Local Unions.