Glitch at US Bank leaves 15,000 Alaska state workers unpaid

A glitch at US Bank has left 15,000 employees of the state of Alaska waiting an extra day for their paychecks.

A glitch at US Bank has left 15,000 employees of the state of Alaska waiting an extra day for their paychecks.

The delay has been blamed on a processing error at the lender, which was handling the payroll for the first time, having recently replaced Wells Fargo as Alaska state’s direct deposit vendor.

"We apologise 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," said department of administration commissioner Curtis Thayer.

A spokesperson for the department said that deposits were expected by Tuesday.

They added that as US Bank was at fault, any bank fees incurred by state workers as a result of delayed payment would be repaid by the lender.

"The State contracted with US Bank to deliver on a service that thousands of employees rely on," Thayer said.

"US Bank has assured the State that measures will be put into place to ensure this never happens again."

 

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