From: Michael Vollmer
Action Required: Review and stop salary actions as noted.
Contact: Chris Chiron
Attachment: FY 2025-26 Continuing Resolution Memo
Without an adopted State Budget for FY 2025-26, the Office of State Budget and Management (OSBM) has issued the attached guidance on continuing budget authority. You will note that Item #4 limits many types of salary adjustments effective July 1, 2025, until further notice. This pause on certain salary actions is informed by G.S. 143C-5-4(5). The University’s personnel cap remains in effect.
This pause does not preclude processing the following salary actions:
- Promotional increases (e.g., internal hires) for existing budgeted positions and/or titles.
- Recruitment and retention bonus agreements established and in effect prior to June 30, 2023, are eligible to be paid by an institution if funds are available to the university for payment under the certified recurring budget authority in Subsection 1 of the attached OSBM memorandum.
- Offers extended to external candidates for existing budgeted positions, including any positions funded by external contracts and grants.
- Critical retention increases in situations where there is either a documented recruitment effort or an outside offer letter.
- Increases for individuals assuming an acting or interim appointment for an existing vacant position or for an increase in job responsibilities directly related to the reduction or abolishment of a permanently budgeted position that result in a net salary savings.
- Increases required by contractual agreements, legal settlements, or any other increase mandated by federal or state law that cannot be delayed.
At this time, all other salary increase actions, regardless of fund source, should be stopped until further notice. This limitation includes step increases, increases for additional duties, reclassifications, pre-emptive (e.g. speculative) retention, labor market, equity, all bonuses, and SHRA employee competency assessments.
If you have any questions, please contact Chris Chiron at 919-843-4121 or email at cschiron@northcarolina.edu.