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Start of year process affects pay periods

Hon Steven Joyce
Minister Responsible for Novopay

13 March 2014

Start of year process affects pay periods

Minister Responsible for Novopay Steven Joyce today released the reports on complaints and notifications received in regards to Pay Period 24 and 25 of the schools’ payroll.

Pay Period 24, which was paid on the morning of 19 February, paid 80,746 people a total of $163.79 million. The report for that pay shows complaints and notifications were received regarding 1.06 per cent of staff across the country, 274 staff were notified as not paid, 89 were overpaid, and 492 underpaid. Affected staff were from 615 schools or 25.41 per cent of schools in the payroll system.

Pay Period 25 paid 85,799 people a total of $174.31 million on the morning of 5 March. The complaints report for that payday shows that complaints and notifications were received regarding 0.78 per cent of staff across the country, 390 staff were notified as not paid, 42 were overpaid, and 234 underpaid. Affected staff were from 432 schools or 17.85 per cent of schools in the payroll system.

“The error rate for Pay Periods 24 and 25 is disappointing, although not unexpected given the Start of Year process,” Mr Joyce says. “At the start of each year a large number of data entry changes have to be made that affect 60-65 per cent of all staff on the payroll,” Mr Joyce says.

“I have previously stated that this process would likely lift the error rate for three or four pay periods, as it does every year. It is more challenging with Novopay as remediation work on the system continues. However, the error rate across the Start of Year process is significantly better than last year and the system will settle down again as the year proceeds.

“Pay Periods 23, 24 and 25 are the first pay periods above the 0.5 per cent acceptable steady state error level as defined by the Novopay technical review since April last year.

“The good news is that there have been very few software issues following the very significant work done on the programme in the last few months. The main problems have been traced to data entry errors, and the way the service centre model works, which continues to be very frustrating for school administrators.”

The service centre model is currently being revised with the sector in a process that started in September. The plan is to start introducing changes in the first half of this year.

“While significant work still needs to be done on the school payroll and it remains frustrating for school administrators, the Novopay system and software is running a lot better than this time last year with good progress made in stabilising and remediating it,” Mr Joyce says.

Percentage of staff about which complaints and notifications receivedNumber of Schools affected
Pay Period 250.78%*432
Pay Period 241.06%*#615
Pay Period 230.69%*268
Pay Period 220.18%68
Pay Period 210.25%92
Pay Period 200.34%166
Pay Period 190.19%111
Pay Period 180.079%62
Pay Period 170.093%68
Pay Period 160.084%58
Pay Period 150.21%118
Pay Period 140.18%133
Pay Period 130.15%108
Pay Period 120.12%109
Pay Period 110.21%151
Pay Period 100.27%173
Pay Period 90.12%76
Pay Period 80.22%156
Pay Period 70.26%177
Pay Period 60.30%197
Pay Period 50.39%234
Pay Period 40.42%247
Pay Period 30.26%166
Pay Period 20.44%264
Pay Period 12.14%^386
Pay Period 260.43%**232
Pay Period 251%**406
Pay Period 241.90%**447
Pay Period 232.20%**628

^ This was higher due to the one-off voluntary bonding error
* Start of school year pay 2014
** Start of school year pay 2013
# This was higher due to one-off Principal Career Structure payment error


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