Transition to Chevron s Pay Schedule Your Wealth.

Transcription

1 Transition to Chevron s Pay Schedule Your Wealth. Effective January 1, 2012, your pay schedule will change to mirror Chevron s pay schedule. This change will occur automatically, and your current direct deposit (if applicable) and tax withholding elections will be transferred. However, during the transition period in December, the number of days in a pay period and your paycheck schedule will be different. We re providing you with this information today to help you prepare in advance; more detail and instructions will be sent later this year. You should review the anticipated paycheck dates and your current financial situation to determine whether your obligations can be comfortably met during the transition. Don t forget to review the automatic deductions that are taken from your bank account - such as utilities, mortgage, insurance, credit cards and make arrangements with these institutions in advance of the change to ensure your obligations will be met. What s Included in this Update: Page 2: What s Changing Salaried Exempt Employees Salaried Non-Exempt Employees Hourly Operations and Maintenance (O&M) Employees All Employees Page 3: What to Expect in December Interest-Free Loan December-January Paycheck Schedules Atlas Transition to Chevron Payroll Page 1

2 What s Changing Salaried Exempt Employees Your personalized transition letter in September will indicate if you are considered a salaried exempt employee at Chevron. If you are a salaried exempt employee: Effective January 1, 2012, you will no longer receive your pay on a bi-weekly basis. Your pay will mirror the semi-monthly pay cycle adopted by Chevron. You will be paid on the 7th and 22nd of each month. There are 24 pay periods in a year under the semi-monthly schedule. Salaried Non-Exempt Employees Your personalized transition letter in September will indicate if you are considered a salaried non-exempt employee at Chevron. If you are a salaried non-exempt employee: Effective January 1, 2012, you will no longer receive your pay on a bi-weekly basis. Your pay will mirror the semi-monthly pay cycle adopted by Chevron. You will be paid on the 7th and 22nd of each month. There are 24 pay periods in a year under the semi-monthly schedule. Hourly Operations and Maintenance (O&M) Employees Chevron has an Hourly Operations and Maintenance (O&M) pay schedule that applies to certain non-exempt field workers who hold operational positions. Your personalized transition letter in September will indicate if you are considered an hourly O&M employee at Chevron. If you are an hourly O&M employee: Effective January 1, 2012, you will continue to receive your pay on a bi-weekly basis, but it will be shifted to mirror Chevron s bi-weekly schedule. There are 26 pay periods in a year under the bi-weekly schedule. All Employees Chevron allows you to deposit your pay in up to three bank accounts. If you have a portion of your pay deposited to multiple accounts, these deposits will continue in the same amounts to the same banks. Only the date of the deposits will change because your paycheck dates will be different under the new schedule. Chevron Payroll will contact you directly if you currently use more than three bank accounts. If you are currently using direct deposit, your paycheck will continue to be deposited electronically, but you will no longer automatically receive a paper pay statement. Instead, your pay statements will be available for review from the Chevron HR website (called web delivery). If desired, in January you can change your pay statement delivery setting from web delivery to one of two additional options: delivery or paper statements mailed to your home. Chevron cannot mail or deliver paper statements to your worksite. If you do not currently use direct deposit, you can sign up in January. Otherwise, paper paychecks will be mailed to your home address; they will no longer be delivered to your worksite. Atlas Transition to Chevron Payroll Page 2

3 What to Expect in December According to the current Atlas pay schedule, you re scheduled to receive three paychecks in December - December 2, December 16 and December 30. During the transition to the Chevron pay schedule, you will still receive three paychecks, but your December 30 paycheck will be a partial pay check. In addition, benefit deductions and tax withholding will still be taken on this check. This means your December 30 pay will be less than what you have come to expect. You ll receive the remainder of your December pay, but it will be delayed until January 6, Interest-Free Loan To help with this transition, Chevron will offer a voluntary, interest-free loan that you will repay when you terminate employment. This loan is in an amount equivalent to five days of your regular gross base pay. You must make an election to receive this loan. If you make an election, the loan amount will be issued to you in a separate paycheck on or about December 22. Because this is a loan, no taxes or benefit deductions will be taken from this payment. If you elect a loan, the repayment will be taken from your final pay when you leave Chevron. Watch your e- mail for additional instructions and the election form later this fall. Review the December Through January Paycheck Schedules The December through January transitional payroll schedules are included on the next pages for your reference. They provide an overview of the exact pay and pay period dates and the deductions included on each paycheck during the transition to Chevron s pay schedule. Transition Pay Schedule: Salaried Exempt and Salaried Non-Exempt Transition Pay Schedule: Hourly O&M Atlas Transition to Chevron Payroll Page 3

4 Salaried Exempt and Salaried Non-Exempt Transition Pay Schedule Paycheck Date December 2, 2011 Pay Period Description November 14 to November 27, 2011 December 16, 2011 November 28 to December 11, 2011 December 22, 2011 This is a special payroll to distribute the interest-free loan. You will only receive this special check if you elect to receive the loan. Loan payment only. NO base pay, holidays, vacation, sick, overtime, taxes, benefit deductions. December 30, Days Only December 12 to December 15, 2011 January 6, Days December 16 to December 31, 2011 Base pay, holidays, vacation, sick, overtime, tax withholding. Your first Chevron benefit deductions are expected to begin on this check. January 20, 2012 January 1 to January 15, 2012 February 7, 2012 January 16 to January 31, 2012 February 22, 2012 February 1, February 15, 2012 Atlas Transition to Chevron Payroll

5 Hourly Operations & Maintenance (O&M) Transition Pay Schedule Paycheck Date December 2, 2011 December 16, 2011 December 22, 2011 Pay Period Description November 14 to November 27, 2011 November 28 to December 11, 2011 This is a special payroll to distribute the interest-free loan. You will only receive this special check if you elect to receive the loan. Loan payment only. NO base pay, holidays, vacation, sick, overtime, taxes, or benefit deductions. December 30, Days Only December 12 to December 18, 2011 January 6, 2012 December 19 to January 1, 2011 Base pay, holidays, vacation, sick, overtime, tax withholding. Your first Chevron benefit deductions are expected to begin on this check. January 20, 2012 January 2 to January 15, 2012 February 3, 2012 January 6 to January 29, 2012 February 17, 2012 January 30 to February 12, 2012 Atlas Transition to Chevron Payroll