UMPNC-MNA collective bargaining agreement states:

610A.   Lump Sum Bonus

Those employees in pay grades Framework Levels A-F, N-3: Role Specific, N-4 and N-5 in Step 13 and Step 14 prior to the start of Schedule B and who do not step on their anniversary during Schedule B, will receive a $1000.00 lump sum bonus, prorated for appointment, in December 2023.

Wage Schedule B runs from 6/25/23/23 through 6/22/24 for biweekly paid and 7/1/2023 through 6/30/24 for monthly paid nurses in alignment with the pay periods.

Please note: In order to reach Step 14, a nurse must have been in Step 13 for at least 12 months AND have 18 years of service at UM(para. 614). If a nurse in Step 13 reaches both of these thresholds on or after 6/22/23 for biweekly and 7/1/23 for monthly, they are not eligible for the lump sum bonus in December 2023.

What you need to know:

• The lump sum bonus will pay out on 12/29/2023 for biweekly and monthly paid nurses (last check in December)
• The Earnings code representing the payment will be MRB “Nurse annual lump sum.”
• The payment is eligible for retirement deductions & contributions based on the employees eligibility and setup.
• The payment will be taxed at the flat federal rate of 22% plus State and FICA taxes totaling 33.9%
• Nurses must be active in a bargained for nursing position on December 1, 2023, and meet all other criteria in para. 610A. (above) to be eligible for the payment.
• Nurses on an unpaid leave of absence on or before 12/1/2023 will not receive the bonus payment until they return.
• Departments should notify the payroll office when employees return so we can enter the amounts into additional pay and set up a payment on the next available off-cycle direct deposit date.
• Nurses who retire on or terminate their appointment on or before 12/1/23 are not eligible for the payment.
• Timekeepers & Supervisors will receive a list of nurses eligible for and receiving the payment, no later than 12/22/23.
• Nurses who terminate/retire or go on an unpaid leave of absence after 12/1/23 and before 12/10/23 will not be on the list as they require manually processing to be paid out on 12/29/23.

 FAQ’s:

• Why didn’t I get the December Lump Sum payment this year when I got it last year or for several prior years?
• 98% of questions about why a nurse did not get the payment this year vs last year will be because they will reach their 18 years of service at UM on their anniversary during Schedule B and will be step to 14 making them ineligible for the payment in December 2023.

• What if a nurse returns from an unpaid leave on or before 12/1 but the paperwork was entered late, and they are eligible for the December Lump Sum payment but did not receive it?
• Notify the payroll office so we can get them set up for the payment either on the 12/29/23 paycheck or the next available off-cycle direct deposit date.
• These will need to be added to additional pay manually.

For additional questions contact your pay analyst on the U-M Health Payroll team for assistance.