<br><br>18A.355 Formula for increasing base salary or wages of state employees -- <br>Percentage of annual increment may be reduced. <br>(1) An annual increment of not less than five percent (5%) of the base salary or wages <br>of each state employee shall be granted to each employee on his anniversary date. <br>The employee's base salary or wages shall be increased by the amount of the annual <br>increment. When any increment due to a promotion, reallocation, reclassification or <br>salary adjustment is granted an employee, the employee's base salary or wages shall <br>be increased by the amount of such increment. An employee's base salary or wages <br>shall not be increased by the amount of lump-sum payment awarded under KRS <br>18A.110(7)(j). <br>(2) The branch budget recommendation submitted to the General Assembly under KRS <br>Chapter 48 shall include a request for the amount of the annual increment expressed <br>as a percentage of each employee's base salary or wages and a request for the total <br>appropriation needed to fund the annual increment. The annual increment shall be <br>uniform for all employees. The financial plan enacted under the provisions of KRS <br>48.300 shall contain the annual increment expressed as a percentage of each <br>employee's base salary or wages, and the total appropriation needed to fund the <br>annual increment. <br>(3) The budget reduction plan submitted and enacted under the provisions of KRS <br>Chapter 48 shall provide that a reduction of the annual increment granted under this <br>section shall be made only after other cost savings measures, as provided by KRS <br>18A.1132, are taken. Any such reduction shall be uniform for all state employees <br>and shall comply with the provisions of this chapter and KRS Chapter 48. <br>Effective: July 14, 2000 <br>History: Amended 2000 Ky. Acts ch. 501, sec. 3, effective July 14, 2000. -- Amended <br>1986 Ky. Acts ch. 494, sec. 22, effective July 15, 1986. -- Amended 1984 Ky. Acts <br>ch. 111, sec. 168, effective July 13, 1984. -- Created 1982 Ky. Acts ch. 456, sec. 2, <br>effective July 15, 1982. <br>Legislative Research Commission Note (10/19/2004). 2004 (1st Extra. Sess.) Ky. Acts <br>ch. 1, sec. 10, provides, "Notwithstanding KRS 18A.355(1): <br> <br>(1) <br> A cost-of-living adjustment of two percent is provided in fiscal year 2004-<br> <br>2005 on the base salary or wages of each eligible state employee on his or her <br> <br>anniversary date and shall apply retroactively to July 1, 2004; and <br> <br>(2) Effective January 1, 2005, an additional cost-of-living adjustment of one <br> <br>percent is provided on the base salary or wages of each eligible state <br> <br>employee." <br><br>