Fiscal Year 2027 Begins With Key Updates for Faculty and Staff

Several updates affecting U of A employees take effect with the start of Fiscal Year 2027 (FY27) on July 1, including changes related to compensation, benefits, university policies and employee training and events.

Compensation

Previously announced merit increases for faculty, staff and graduate assistants take effect July 1 (Aug. 10 for nine-month employees). Eligible employees received a 2% performance-based increase, with additional high-impact merit increases rewarded at the discretion of unit leaders. Graduate assistants also received a 3% cost-of-living adjustment, along with continued investments to increase minimum stipend levels.

Employees can view updated pay details in Workday beginning July 1. 

Benefits

Health insurance premium increases for FY27 take effect July 1; however, the university is absorbing most of the additional cost to minimize the impact on employees, as it has done for the past five years.

While premiums increased by 2.5%, the university is covering all or a substantial portion of those increases. As a result, most employees will see little to no change in their monthly premiums depending on the plan.

This support represents an investment of approximately $1 million this year and reflects the university's continued commitment to helping offset rising healthcare costs for employees and their families.

Policy Updates

Several policy updates have occurred around the new fiscal year:

• Flexible Work Arrangements: Updates clarify expectations for flexible work arrangements, including guidance on caregiving, travel and out-of-state work location requirements. 
• Presence of Children, Family or Friends: The revised policy outlines expectations regarding the presence of children, family members or other non-affiliated individuals in university workplaces, reinforcing safety, supervision and limitations on recurring presence. 
• Extra Compensation: Revisions modernize processes in Workday, clarify eligibility requirements and reinforce advance approval expectations.
• Health Services Leave Accrual: A new policy allows certain Health Services employees to work 10-month appointments while accruing leave during their work period and maintaining full-time benefits eligibility.  

Employee Learning and Development

The Employee Development Calendar is being phased out, and all trainings and orientation sessions offered by the Office of Human Resources will transition to Workday Learning by the end of 2026. This change provides a more centralized and accessible platform for employees to find, register for and track professional development opportunities.

For more information or questions about these updates, please contact the Office of Human Resources.