Conversion to a Bi-weekly Pay cycle Frequently Asked Questions

Conversion to a Bi-weekly Pay cycle
Frequently Asked Questions (FAQ)
1. What is meant by the introduction of a bi-weekly pay cycle?
It means that as of May 1, 2015 you will be paid every 2 weeks instead of once per month as is currently
the case. There will also be a delay of five (5) calendar days between the end of a work period and the
pay date. This delay is required in order to process your paycheque based on the actual number of hours
worked and to transfer the payment to your financial institution.
2. Why is this change taking place?
CASA currently administers payroll based on assumed hours worked without the inclusion premium
payments for the month for which it is paid. This has resulted in the need for “manual cheque” payments
to take place each month to make adjustments for missed pay, as well as adjustments at month end for
over payments. This leads to the following disadvantages for CASA and its employees:

Excessive administration time and costs;

Pay stubs that only provide partial information for the period worked, leading to
confusion and questions regarding their pay;

Employees affected are provided a “paper cheque” resulting in a visit to their financial
institutions.
3. What are the advantages of converting to a bi-weekly pay?
This change in your pay cycle will result in greater clarity, with the number of hours paid for hours worked
in each pay period, based on your collective agreement. This change may also help you to better plan
your personal finances since you will always be paid every second Friday. In addition, twice a year, you
will receive three paycheques in a month instead of two.
4. How much time is the conversion to bi-weekly pay frequency expected to take?
The new pay cycle is effective May 1, 2015. The first pay deposit date will be May 15, 2015. This pay
deposit date will be for a period of ten (10) days only, from May 1 through to May 10. This will be
considered the “transition pay period”. Thereafter all pay periods will consist of fourteen (14) days with the
pay deposit date occurring five (5) days after the last day of the pay period. A schedule of pay periods for
2015, with the corresponding pay date, can be viewed below.
5. What is a pay period and what is a lag?
A pay period is the pre-determined period of time during which an employee normally works. A bi-weekly
pay period equals a 2-week period (14 calendar days). There is a “lag” — or delay — in receiving your
pay after the end of the pay period, because of the time required to process the timesheets and payroll,
including the time it takes financial institutions to make the transfer to your bank account. In your case,
there will be a lag of five (5) calendar days between the end of a pay period on a Sunday and the actual
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Conversion to a Bi-weekly Pay cycle
Frequently Asked Questions (FAQ)
pay date on the first Friday following the end of that pay period. Please refer to the 2015 calendar at the
end for more details on pay periods and pay dates.
6. When can I expect to receive a regular paycheque?
You should receive your first regular paycheque for the period of May 11 through to May 24 on May 29,
2015.
7. How can I be sure all my working days will be paid with this conversion?
Your April 29, 2015 payroll direct deposit will cover all your assumed regular hours of work until April 30,
2015. Any discrepancies between what was paid and what was worked (Premium pay) will be paid on
May 9, 2015 by manual cheque. If there were overpayments for vacation or leave without pay, these will
be deducted from the May 15, 2015 pay deposit.
8. According to the schedule of pay dates there will be two pay deposit dates in May, the first
deposit will only be for 10 calendar days. This will cause an impact on my take home pay and I
have financial commitments that I will not be able meet based on this change.
CASA understands that the delay in receiving monies owed may cause short term hardship on its
employees. To assist with this transition, CASA is offering a one-time advance on the May 15, 2015 pay
deposit. The repayment of the advance will be deducted from payroll deposits between June 12, 2015
through to August 21, 2015. Each employee will be provided with a letter stating the maximum amount of
the advance they can elect to receive as well as the options for repayment. This letter must be signed and
returned to Human Resources by the date indicated on your letter.
9. What will be the amount of the advance?
The advance will be based on your deemed annualized salary rate. The amount will be prorated on hours
worked, if you are a part-time employee. Each employee will receive a memo with advance maximum and
repayment options.
10. Do I have a choice whether to receive the advance or not?
Yes, this will be one of the options provided to each employee.
11. Will I be charged interest in repaying the advance?
No, you will not pay any interest on this advance.
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Conversion to a Bi-weekly Pay cycle
Frequently Asked Questions (FAQ)
12. Will the repayment occur through payroll deductions?
Yes, a set amount in repayment will be deducted from the six (6) pay deposits starting with the June 12,
2015 pay until August 21, 2015.
13. What happens if I leave or retire from CASA and the advance has not been fully paid?
If you exit CASA for any reason or retire prior to August 21, 2015, the remaining amount to be reimbursed
will be deducted from the amounts of pay or vacation due to you upon leaving or retirement.
14. What happens if I take an extended unpaid leave prior to August 21, 2015?
The remaining amount of the advance to be reimbursed will be deducted from the amounts of pay or
vacation due upon leaving.
15. Was this change in pay frequency discussed with the union?
Yes. CASA held discussion meetings with executives of all employee groups to explain the rationale for
the change in pay cycle and how the conversion would occur. The union is also aware of this change.
16. Do I have a say in this matter if I do not wish to convert to bi-weekly payments?
The conversion to the bi-weekly pay schedule applies to all CASA employees. There is no option to
remain on the current payroll schedule, which will be abolished as of April 30, 2015.
17. Will CASA notify my financial institution of this change in view of pre-authorized payments?
No, you are personally responsible to notify your financial institution of any changes in pay dates and to
ensure there are funds in your account to allow for preauthorized payments and other regular
transactions. We have attached a checklist as a reminder of these types of payments; this list is not
exhaustive and is a guideline only. You may use the sample memo at the end of this guide to inform your
financial institution of the change.
18. Will I be reimbursed for any bank fees that may be charged to alter my pre-authorized
payments or missed payments due to the change in pay deposit frequency?
No, CASA will not reimburse employees for bank fees charged to modify the dates on which your pre
authorized payments are withdrawn. Non-sufficient funds fees charged by your financial institution or any
other source will not be reimbursed. You may wish to speak to your financial institution and/or other
creditors to discuss alternatives to changing your automatic withdrawal dates.
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Conversion to a Bi-weekly Pay cycle
Frequently Asked Questions (FAQ)
19. What paperwork is required to support the new bank deposit in my bank account?
Your pay will continue to be deposited in your bank account as it is now, but on different dates as it will be
deposited every second week. Any paperwork required to modify scheduled pre-authorized payments or
withdrawals, if any, will be dictated by your financial institution, which is why it is important to inform them
of the change.
20. How will this affect my vacation and other leave entitlements?
There will be no impact on your vacation and other leave entitlements.
21. How will this affect my benefits and pension?
There will be no change or lapse to any of your benefits and pension entitlements.
22. How will this impact my deductions?
Statutory deductions are deducted based on payroll frequency.
Deductions for benefit premiums will be split in half and deducted the first and second pay period of
each month. Where there are three (3) pay periods in a month (ex: Oct 2015), there will not be any
rd
benefit premium deductions on the 3 deposit.
For pension contributions, these are based on your income amount and therefore will be deducted
anytime earnings are paid and will be deducted every pay period.
Much like pension contributions, union dues are based on your income amount and therefore will be
deducted anytime earnings are paid and will be deducted every pay period.
Legal deductions such as garnishments will be deducted as per the legal order. If necessary a notice
will be provided with your next remittance advising them of the change in pay frequency.
23. How can I best review all the deductions from my paycheque with this change in payroll
cycle?
You will still receive your paystub via email for each pay period.
24. What will happen if I am on long-term disability or unpaid leave?
If you are on long term disability or any other unpaid leaves and currently have deductions taken from
your bank account such as insurance premiums, these deductions will be taken on a bi-weekly basis, in
line with the new payroll schedule.
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Conversion to a Bi-weekly Pay cycle
Frequently Asked Questions (FAQ)
25. What will happen to an employee who is on short-term / long term disability or any other
leave?
Employees on any form of leave will be converted to the bi-weekly pay cycle and will be subject to the
same time reporting and pay schedule upon their return to work.
26. What happens with my unpaid hours of work when I leave my employment?
Since you will receive your paycheque with a lag between the end of the pay period and the pay date, you
will most likely be entitled to at least one additional last paycheque after your final work day (including
retirement) at CASA.
27. Are there resources available to assist me with personal budgeting?
CASA does not have the expertise or resources to offer financial advice or counseling to its employees.
However the following link offered by the Government of Canada through the Financial Consumer Agency
of Canada can be a great resource.
http://www.fcac-acfc.gc.ca/eng/resources/publications/budgeting/Pages/home-accueil.aspx
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