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Gov. Eric Holcomb is giving a one-time bonus to all state employees, but no pay raises this year after a modest revenue forecast.
“It is important to recognize your efforts to improve the lives of Hoosiers but also in a way that our current state biennial budget, which ends June 20, 2025, will support,” he said in a letter sent to state employees Monday morning.
“In most years, we have been able to provide employees with a base-building salary adjustment; this time, full-time employees of the executive branch employed on or before Dec. 20, 2024, will receive a one-time, non-base building stipend of $1,250 in their Jan. 15, 2025, paycheck. Part-time and intermittent employees will receive $650.”
That stipend will cost state coffers between $20 million and $22 million, according to budget officials.
Indiana has about 32,000 full-time state employees – the highest in recent memory. The number has grown steadily except for a dip around the pandemic.
Last year, state employees received a performance-based bonus between $500 and $1,500 as well as a 3% cost-of-living adjustment or pay raise.
To address low pay, Holcomb previously implemented a $1,300 salary increase, followed by a 2.5% salary increase for all state employees in January 2022; this salary adjustment resulted in an average increase of 5% for employees and was the first general salary increase in Indiana since 2008.
Gov. Eric Holcomb is giving a one-time bonus to all state employees, but no pay raises this year after a modest revenue forecast.
“It is important to recognize your efforts to improve the lives of Hoosiers but also in a way that our current state biennial budget, which ends June 20, 2025, will support,” he said in a letter sent to state employees Monday morning.
“In most years, we have been able to provide employees with a base-building salary adjustment; this time, full-time employees of the executive branch employed on or before Dec. 20, 2024, will receive a one-time, non-base building stipend of $1,250 in their Jan. 15, 2025, paycheck. Part-time and intermittent employees will receive $650.”
That stipend will cost state coffers between $20 million and $22 million, according to budget officials.
Indiana has about 32,000 full-time state employees – the highest in recent memory. The number has grown steadily except for a dip around the pandemic.
Last year, state employees received a performance-based bonus between $500 and $1,500 as well as a 3% cost-of-living adjustment or pay raise.
To address low pay, Holcomb previously implemented a $1,300 salary increase, followed by a 2.5% salary increase for all state employees in January 2022; this salary adjustment resulted in an average increase of 5% for employees and was the first general salary increase in Indiana since 2008.
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