SUBJECT:

Proposed Changes to the University of California Incentive Award Program

The University of California is in serious discussion that may result in restoring to employees' base pay the 0.8% funds allocated to the Incentive Award Program (IAP). The effective date of a proposal to do so could be as early as October 1, 2000.

In anticipation of this outcome, I am advising you that incentive award allocations for non-represented employees should be held in abeyance pending the notification of the UC proposal. The difference (0.5%) between the 1.3% assessment and 0.8% IAP allocation is not restrained and may be expended for non-represented employees. Incentive award allocations for exclusively represented employees should also be held in abeyance pending the outcomes of negotiations with respective unions.

As a point of information, the 0.5% portion of the pool results from an award program that precedes the IAP, the funding of which was available to members of the former Management and Professional (MAP) and the Administrative and Professional Staff (A&PS) programs.

This Notice does not impact the decisions associated with implementation of your normal merit cycle.

                                                Rogers Davis
                                                Assistant Vice Chancellor
                                                Human Resources