Transition out of the Economic Recovery Plan

March 1, 2021  //  FOUND IN: Strategy & Leadership

Michigan Medicine faculty and staff continue to be the reason that the organization provides world class health care, education and research innovations as it progresses through 2021 and sees more communities receive the COVID-19 vaccine. With that in mind, the organization has made it a priority to reactivate salary and benefits that were paused during the pandemic.

On Friday, Marschall S. Runge, M.D., Ph.D., executive vice president of medical affairs, dean of the medical school and CEO of Michigan Medicine, announced that the organization is reinvesting in the workforce and returning benefits, as it did in December 2020 with the restoration of the retirement match.

“[Our faculty and staff] have played a critical role in helping Michigan Medicine return to routine operations and a stable and positive financial outlook for the current fiscal year,” Runge said. “Thank you for your ongoing commitment to our mission of advancing care for Michigan and the world, especially during the peaks and valleys of COVID-19.”

Runge highlighted a few of the incredible feats from 2020, including: caring for COVID-19 patients from across the state during the height of the pandemic and contributing in important ways to research and discovery around this disease; resuming care delivery for non-COVID-19 patients; and most recently, administering vaccines to thousands of Michiganders.

“Together, we have demonstrated that our teamwork and collaborative spirit can find solutions to even the most complex issues, and I have no doubt that will continue in the future,” Runge said.

Details of the specific salary program and benefits that are being reactivated are outlined below.

Competitive pay adjustments: Beginning in March 2021, Michigan Medicine will start the process to assess market pay rates to ensure eligible employees are paid competitively with market rates. There will also be labor market adjustments for select job classifications and a plan to continue these assessments on an annual basis. Pay adjustments will occur in May 2021.

PTO sell-back: In May 2021, the organization will resume the PTO sell-back program of up to 40 hours. Eligible employees will have two opportunities per year to exercise PTO sell-back, in May and in January, and must follow program guidelines.

Tuition assistance: Tuition assistance will be reinstated with eligible enrollments effective May 1, 2021 and later (i.e. no retroactive payments and no advanced payments for classes prior to or for summer semesters starting in May 2021). While the program will return in May, all payouts will be made in FY22, after July 2021.

Professional development funds: Departments and units may return to 100% use of their professional development funds beginning with activities occurring on or after July 1, 2021.

FY22 merit program: The FY22 Merit Program will take place in Fall 2021. Further information and instruction will be provided later this year regarding the program.

Lifting salary freeze: Beginning Sept. 1, 2021, the temporary salary freeze will be lifted. Requests to adjust pay will be subject to the approval of the appropriate Michigan Medicine executive officers, my direct reports.

Travel: Travel restrictions will continue until further guidance is received from main campus. Once campus authorizes professional travel, it will resume at 50% of FY19 budget.

Hiring approval: With the exception of designated patient care staff and faculty in roles considered critical, Michigan Medicine will continue to maintain the approval process that requires executive officer approval to post and recruit for open positions.

Work from home: Any employees able to work from home should continue to do so through the end of June 2021. Ongoing assessments are underway to determine longer term plans that may provide various workplace options.

More information is available in the Transition out of the Economic Recovery Plan FAQs.