Establishes a managerial or confidential higher education differential for employees designated managerial or confidential who hold an earned associate's degree, bachelor's degree, master's degree, or doctorate (e.g., MD, JD, Ph.D.) from a college or university or a professional license issued by the New York state education department are eligible to receive a higher education differential of up to six hundred dollars retroactively for state fiscal year two thousand twenty-four-two thousand twenty-five and for state fiscal year two thousand twenty-five-two thousand twenty-six.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A8554
SPONSOR: Pheffer Amato TITLE OF BILL:
An act to amend the civil service law, in relation to establishing a
managerial or confidential higher education differential
PURPOSE OR GENERAL IDEA OF BILL:
This bill, also called the MC Higher Education Differential bill,
ensures that eligible management and confidential (MC) employees of the
State of New York will be on equal footing with their union-represented
subordinates and coworkers for this critical piece of compensation.
SUMMARY OF SPECIFIC PROVISIONS:
Section 1 amends the civil service law by adding a new section 154-d
that would allow eligible managerial or confidential employees - with
proof of eligibility - to receive higher education differentials that
shall be lump sum payments which are not added to base salary, not
subject to salary increases, and not pensionable.
Section 2 is the effective date.
JUSTIFICATION:
Eligible employees represented by the Public Employees Federation (PEF)
will receive Higher Education Differential payments of $600 in both 2024
and 2025. This differential was not extended to MC employees even though
the majority of MC employees serve in positions that require higher
education and/or professional credentials. This has exacerbated ongoing
salary compression issues between MCs and their subordinate union-repre-
sented employees and has worsened MC employee morale. Further , as
certain titles in State service may be either MC-designated or union-re-
presented, union-represented employees in the very same title and salary
grade will receive this differential while their MC co-workers will not
This bill addresses, in part, the inequitable compensation of MC employ-
ees who, unlike their coworkers, are prohibited from engaging in collec-
tive bargaining for salary and benefits by the State's Taylor Law.
This bill is a first small step in addressing compensation inequity for
unrepresented MC employees and ensuring that ALL State employees will be
treated fairly in matters of compensation and benefits.
LEGISLATIVE HISTORY:
New bill
EFFECTIVE DATE:
This act shall take effect immediately
STATE OF NEW YORK
________________________________________________________________________
8554
2025-2026 Regular Sessions
IN ASSEMBLY
May 20, 2025
___________
Introduced by M. of A. PHEFFER AMATO -- read once and referred to the
Committee on Governmental Employees
AN ACT to amend the civil service law, in relation to establishing a
managerial or confidential higher education differential
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The civil service law is amended by adding a new section
2 154-d to read as follows:
3 § 154-d. Managerial or confidential higher education differential.
4 Notwithstanding any other provision of law to the contrary, employees
5 designated managerial or confidential who hold an earned associate's
6 degree, bachelor's degree, master's degree, or doctorate (e.g., MD, JD,
7 Ph.D.) from a college or university or a professional license issued by
8 the New York state education department are eligible to receive a higher
9 education differential of up to six hundred dollars retroactively for
10 state fiscal year two thousand twenty-four-two thousand twenty-five and
11 for state fiscal year two thousand twenty-five-two thousand twenty-six.
12 Such higher education differentials shall be lump sum payments that are
13 not added to base salary, not subject to any salary increases and not
14 pensionable. Such higher education differentials shall be prorated for
15 managerial or confidential employees paid on any basis other than an
16 annual basis including hourly or per diem employees. Such employees who
17 are less than full-time shall receive the higher education differential
18 prorated on a basis reflecting the actual hours worked, including hours
19 charged to accruals or on an authorized leave, between October first and
20 March thirty-first of the preceding state fiscal year. In order to
21 receive this payment, employees must provide proof, such as a copy of
22 their diploma or license, that they hold a qualifying degree or profes-
23 sional license to their agency human resources office by dates estab-
24 lished by the office of employee relations. Each agency human resources
25 office shall notify eligible employees of how to submit such proof.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11962-01-5
A. 8554 2
1 Proof of eligibility to receive a qualifying degree or professional
2 license shall not be accepted if the degree or license has not actually
3 been awarded.
4 § 2. This act shall take effect immediately.
