FOR IMMEDIATE RELEASE

State Working on US Bank Processing Error for Direct Deposits

May 12, 2014, Juneau, Alaska - This morning the State of Alaska payroll staff were alerted that direct deposits for approximately 15,000 state employees had not processed as expected for May 12, 2014.

State payroll information was transmitted by state payroll staff to US Bank on Friday, May 9, 2014. A processing error by the banking vendor was found to be the cause of direct deposit delay and settlement.  A new vendor, US Bank, was responsible for an error in processing direct deposits and settlements.

“We apologize for the inconvenience this causes our employees and we are disappointed that our new direct deposit vendor, US Bank, was unable to perform their contracted service,” stated Commissioner Curtis W. Thayer. “State of Alaska officials have been working with US Bank representatives this morning to make sure direct deposits will be completed by 9:00 A.M. AST tomorrow, May 13, 2014.  The State contracted with US Bank to deliver on a service that thousands of employees rely on.  US Bank has assured the State that measures will be put into place to ensure this never happens again and have committed to make whole any state employee who incur banking fees as a result of the error.”

For questions, please contact the Alaska Department of Administration at 907-465-2200.

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