We are currently paid for 204 days (9 ¼ months), at an hourly rate for
Transcription
We are currently paid for 204 days (9 ¼ months), at an hourly rate for
We are currently paid for 204 days (9 ¼ months), at an hourly rate for 7 hours daily. These paid days include: 188 instructional days, 6 PD days, and 10 statutory holidays. Vacation pay is included in the bi-weekly gross earnings. The hourly rate and vacation pay are dependent on years of service. Typically, there are 3 lay-off periods (Christmas, March Break and summer) when you are eligible to apply for EI benefits. Some Members dislike dealing with Service Canada and claiming EI benefits during lay-off periods. Some Members accept the EI application process as a routine matter and never experience a problem. Some alternate options for payment are easily explained and some are more complicated. The options would be slightly different for year round schools but basically the same concept. We are asking you to review the following methods, keeping in mind that everyone’s financial situation is different. A. The Current Method of Payment: current gross pay is issued bi-weekly; based on 7 hours per day at your personal rate of pay vacation pay is included in each bi-weekly pay 204 paid days, 9 ¼ months EI benefits are optional for all 3 lay-off periods B. (9 ¼ over 12) Method of Payment: current gross pay would be issued bi-weekly; based on 7 hours per day at your personal rate of pay vacation pay would be included in each pay the difference is: your total gross earnings for the year are spread out equally over 26 pay periods (12 months) there would be no lay-off periods; no eligibility for EI benefits C. Use Vacation Pay for Layoff Periods: gross pay would be issued bi-weekly; based on 7 hours per day at your personal rate of pay vacation pay is not included in each pay but is the amount used for pay at Christmas, March Break and the first week of July (exclusive of statutory holiday pay) eligibility for EI benefits for the remaining summer period D. Deferred Income: gross earnings, including vacation pay over the 9 ¼ months September to June each monthly gross pay from September 1 to June 30 would be one twelfth (1/12) of gross earnings deferred balance of earnings would be paid biweekly in July and August in equal amounts EI benefits are optional for all 3 lay off periods Note: Calculations for the following examples are based on the rate of pay for a Member at Level 3 Step 5 with 8% vacation pay. The EI calculations are based on the 2013/14 calendar year and are meant only to provide an example for comparative purposes. Individual amounts would depend on the waiting period start of a claim. These figures are for illustrative purposes only. Option A: current Daily rate $206.69 Biweekly Number of paid days Gross earnings 204 $42,165 $2,066.90 EI Total paid days / amount Gross + EI 46 = $4,462 $46,627 method B: current pay over 12 months $162.17 C: use vacation pay for lay-off periods $191.38 D: deferred Comments $1,621.70 26 pay periods $42,165 220.35 $42,165 $1,913.80 0 $42,165 30 = $2,910 $45,075 see below $1,756.88 204 $42,165 46 = $4,462 $46,627 income model Gross Earnings = $42,165 Monthly Basic Pay = $42,165/12 = $3,513.75 Salary Earned per Day = $42,165/204 = $206.69 Based 18 working days: $206.69 per day X 18 $3,720.42 Less Monthly Basic Pay -3,513.75 $206.67 → deferred balance to be paid in equal amounts in July and August July and August → $206.67 X 10 months= $2,066.70 Hourly rate includes vacation pay 3 EI claims annually Hourly rate including vacation pay Not eligible to EI claim Hourly rate, vacation pay for Christmas, March Break & 4.35 July days (average total 16.35 days) Only 1 EI claim annually (remainder of July & August) Hourly rate includes vacation pay 3 EI claims annually Forced savings plan for summer income