State contract company hit by ransomware attack

CHARLESTON, W. Va.–The State Auditor said that government leaders are taking steps to mitigate the effects of a cyber attack on the company that provides West Virginia’s timekeeping and payroll services.

The company, UKG, was hit by a ransomware attack that disrupted some of its services. The State of West Virginia contracts with the company to provide payroll administration, particularly time and leave balances.

Auditor J.B. McCuskey put out a statement on behalf of the West Virginia Enterprise Resource Board, which also includes Gov. Jim Justice and Treasurer Riley Moore. That board oversees the wvOasis system that processes payroll checks for about 60,000 full- and part-time employees of state agencies.

The issue does not affect employees of the state Supreme Court, Division of Highways or State Police because they are on a different time entry system.

“First and foremost, we want to reassure state employees there will not be a disruption in payroll,” according to the statement, referring to an existing continuity plan that was put into action.

State payroll checks for Dec. 17 have been processed already, the statement noted, and payroll administrators are working toward processing time for Dec. 31 checks.

“Payroll administrators will receive instructions on how to review and adjust time and leave hours until this situation is remedied,” according to the statement.

The statement specified that Kronos has no personal information of any state employee because the company is only provided with employee numbers and hours worked.

“Our first concern, as always, is paying everyone accurately and on time,” McCuskey stated. “Our second concern will be holding all those accountable for disruption and damages.”

The company, UKG, informed customers of the problem early today: “We are working with leading cyber security experts to assess and resolve the situation, and have notified the authorities. The investigation remains ongoing, as we work to determine the nature and scope of the incident.”

UKG estimated it might take several weeks to restore its system and recommended using alternatives to maintain continuity.