Teachers Union Files Labor Complaint Over Payroll Errors in SFUSD

The San Francisco Unified School District’s (SFUSD) new payroll system has led to widespread frustration among teachers, prompting the United Educators of San Francisco to file a formal labor complaint. The district’s payroll overhaul, which replaced a previous $34 million system that failed to deliver, has caused significant errors in paychecks since its launch on July 1, 2023.

Union leaders reported that over the past few months, at least a hundred teachers experienced issues such as incorrect deductions for union dues, missing vacation pay, and inaccuracies in substitute pay during summer school. In response to these ongoing problems, the union sent a cease-and-desist letter to district officials, demanding immediate action. The letter, signed by Beatrice Montenegro, a senior staff representative, criticized the district for a lack of training and understanding of the new system.

District officials acknowledged the challenges associated with implementing new software but emphasized their commitment to resolving issues. Phil Kim, the school board president, stated, “Implementation of any new software will have its challenges, but I’m encouraged to hear that over 97 percent of the paychecks issued as of today have been accurate.” He underscored the importance of ensuring that all staff receive their pay on time and in full.

The new payroll system, known as Frontline, cost $20 million, with an additional $2 million allocated annually for ongoing expenses. SFUSD officials maintained that they learned from past experiences with the previous system, EMPower, which led to a series of errors in employee pay, health benefits, and pension contributions. The EMP system was originally contracted for $9.5 million, but costs rose dramatically over time, ultimately exceeding $35 million before it was replaced.

Despite the district’s assurances, the teachers’ union reported that many issues remain unresolved after two cycles of paychecks. The lack of a clear process for handling leaves, retirements, and resignations has further compounded frustrations among staff. The union’s letter highlighted the district’s failure to adequately prepare for the migration to the new system, leaving employees without critical support.

Since July 22, 2023, SFUSD has provided regular updates on the status of the payroll system, admitting to various problems including incorrect leave balances and tax calculations. The district has also offered multiple training sessions to help staff navigate the new system. However, the union’s ongoing complaints suggest that these measures have not fully addressed the issues at hand.

In March 2024, the school board voted to replace the previous payroll system after a two-year effort to rectify numerous problems. This culminated in a state of emergency declaration in November 2022, when the district established a 60-person command center dedicated to resolving payroll discrepancies. The urgency of the situation was underscored by instances where staff had to seek personal loans or assistance from colleagues to cover essential expenses due to payroll errors.

As the conflict between SFUSD and the teachers’ union unfolds, the commitment of district officials to rectify the issues will be pivotal in restoring trust among educators and ensuring that all employees receive accurate and timely compensation.