HR Update

Important Merit Pay Information for Fiscal Year 2026

Background Information

The University of Minnesota values the work of our faculty and staff who support our mission every day. Merit pay is one way that the University recognizes the work of employees over the past year.

Eligible employees can receive a merit increase in the next fiscal year based on their performance. The Office of Human Resources (OHR), in partnership with the Executive Vice President and Provost and Executive Vice President of Finance, recommends a merit pool to the Board of Regents for the following year. 

Fiscal Year 2026 Recommendation and Process

A 3% pool for merit increase has been recommended by OHR in partnership with the Office of Executive Vice President and Provost, plus the Office of the Executive Vice President for Finance and Operations. The Board of Regents will determine the merit increase for next year at its June 18 meeting. 

Following the Board of Regents’ decision, campus, college, and unit leaders will finalize their decisions for individual pay increases based on performance and communicate directly with eligible employees.

Timing of Merit Pay

To ensure consistency across the system, this year’s timing will look different from years past: 

  • Merit pay increases will be effective starting with the pay period beginning July 14. Your August 6 paycheck and statement will reflect your merit increase and will not include retroactive pay.
  • The timing change for merit decisions provides local HR staff and OHR with time to implement pay increases for employees.
  • You will get an email from the OHR on August 6 with your new pay and a link to more information. Moving forward, OHR will send an email to you anytime your compensation rate changes.
  • Merit-eligible employees received a message on June 5 with additional information for those working on 9- and 10-month appointments. 

Questions About Merit Pay 

  • Contact your supervisor or your campus, college, or unit’s HR Lead if you have questions about your pay change for next year.
  • If you have questions about the email with pay rate change information, reach out to the OHR Contact Center at [email protected] or call 612-624-8647 or 800-756-2363.
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