Auditor: Botched pay change could cost W.Va. tens of millions
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CHARLESTON, W.Va. (AP) – An auditor says the mishandled switch to biweekly pay could cost tens of millions of dollars and give almost 25,000 state employees raises.
Legislative Auditor Aaron Allred expressed concerns in a letter to legislative leaders Sunday. It says switching from semi-monthly to biweekly pay caused a $22.5 million liability in West Virginia’s retirement program.
About 24,600 salaried employees would receive $47 million more over 10 years. About 23,600 hourly employees wouldn’t get raises.
The letter says Auditor Glen Gainer said semi-monthly and biweekly software systems cost similarly.
Allred and Treasurer John Perdue suggest stopping conversion and reassessing impacts.
Gainer said converting will ultimately save millions and increase transparency.
Lawmakers discussed possibly making salaried pay semi-monthly and hourly pay biweekly.
The switch deals with changing to the $123.8 million WV OASIS data computer system.