Paperless payday on the way?

by Joe King

The paperless office has not yet arrived, but paperless paydays are not too far from reality at Northern Illinois University.

Currently, about 95 percent of full-time employees participate in the ACH direct deposit program, which routes payday deposits directly to employee bank accounts and eliminates paper paychecks. That percentage will climb even higher after Friday, May 31, when Human Resource Services will begin requiring all new employees to participate in the program. Exceptions will be made only for hourly-paid student employees who can attest to a hardship in establishing a direct deposit account.

The few remaining employees who receive printed paychecks will again be encouraged to participate in the direct deposit program. In those departments where not all employees participate in direct deposit, two options for distribution of printed checks will be available:

• Department heads or chairs may designate an employee to pick up (and sign for) checks and bring them to the department for distribution. Paychecks that are not picked up in the department within two business days will be returned to the payroll distribution center and mailed to the employee's home address.

Departments electing this option must contact Ken Mundy in Human Resource Services and designate the departmental representative. Mundy can be reached at 753-6042, or via e-mail at kcmundy@niu.edu.

• Employees who want to receive a printed check, but whose departments do not wish to participate in the paycheck pick-up program, may make arrangements with their supervisor to set aside time to pick up their paycheck at the payroll distribution center in Swen Parson 236.

Checks will be available 7 a.m. until 4 p.m. on payday, and 10 a.m. until 3 p.m. during the two working days after the scheduled payday. Checks that are not picked up will be mailed to the employee's home address.

The majority of those choosing not to participate in direct deposit are part-time employees, usually student workers or graduate students, said Mundy, adding that efforts to encourage those individuals to participate will be increased.

"We already enjoy a tremendous level of participation and it results in great savings to the university," Mundy said, explaining that it costs the university two-thirds less to process a direct payroll deposit versus a printed check. "At a time when we are looking to find every savings possible, it is critical that as many employees as possible participate."