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District to move hourly staff from annualized to hourly pay; bridge loan offered to ease transition
Summary
The Middleton‑Cross Plains Area School District told the board it will switch nonexempt support staff from annualized pay to pay for actual hours worked beginning July 2025 and will offer a one‑time interest‑free bridge loan and financial counseling to employees affected by the timing change.
District administrators on Monday outlined a planned change to hourly payroll: nonexempt support staff who have been paid on an annualized schedule will be paid for actual hours worked beginning July 2025, officials said, and the district will offer transitional financial assistance for affected employees.
Barb Buffington (personnel) and Aaron (payroll/operations) led the presentation with Jared Rosing. Administrators said the move aligns the district with other Dane County school districts and private employers and addresses federal Fair Labor Standards Act requirements for nonexempt employees, who must be paid for all hours actually worked.
The district will implement the change July 1, 2025. Administrators said school nutrition and transportation employees already are paid hourly and are not affected by the change. The district will provide individualized paycheck estimates, virtual financial‑planning sessions through UW Credit Union and an interest‑free one‑time bridge loan to help employees cover any timing gap that results from switching pay cycles.
Barb Buffington explained operational reasons the current annualized system creates reconciliation work and occasional confusion for employees who leave mid‑year. Payroll staff said most overpayment cases are rare and that tighter time‑sheet submission and supervisory approval will be required under the new hourly system.
Board members expressed concern about short‑term financial impacts on lowest‑paid employees and asked whether the district had evidence other districts lost staff after similar transitions. Administrators said Dane County peers have already moved to hourly pay and that those districts did not report systematic turnover tied to the change. The administration committed to individualized meetings this week with affected employees and to update the board on progress.
Administrators emphasized the change affects nonexempt hourly staff groups (approximately 330–340 employees) and that the decision does not apply to exempt teachers. Officials said they will provide ongoing communication and one‑on‑one sessions with personnel specialists this winter and spring to allow staff to plan for the change.
