For any questions please send e-mail to: NDSU.Policy.Manual@ndsu.edu
SECTION 360: EARLY RETIREMENT
- SOURCE: SBHE Policy Manual, Section 703.1
- Early retirement incentives may be offered by the
administration
as authorized by SBHE Policy 703.1. These incentives may take the
form
of tenure/contract purchase, phased retirement or reversible
retirement.
- GENERAL
- a.
- Early retirement is for the mutual benefit of the employee
and the
colleges and universities. Employees will be able to plan
their retirement
with increased options and benefits and with less fear of the
unknown.
The colleges and universities can use early retirement as a
cost saving
tool, but, more importantly, as a vehicle for the infusion of
new
thoughts, ideas, and skills by the opening up of
positions. Early
retirement may not be used as a device to circumvent the due
process
procedures for dismissals under the Board's rules and it is
available
only when the institution has documented the benefits
resulting from
the agreement.
- b.
- Early retirement is not an entitlement but requires mutual
agreement
and written consent of both the employee and the
administration. This
policy only applies to tenured faculty, the president, vice
presidents,
deans and officers of the institution who are members of
TIAA/CREF,
TFFR and TIRF. The sum of the employee's age and total years
of employment
with the North Dakota University System must equal 70 or
greater.
- c.
- Institutions shall use the approved standard form contract
which
will allow specifics to be added as they apply to individual
cases.
- d.
- The Early Retirement Agreement for tenured faculty and other eligible employees of the institution shall be approved by the president. Early Retirement Agreements for the president shall be approved by the Chancellor. The Early Retirement Agreement must be accomplished by a statement of the benefit to the institution or to the system resulting from the Early Retirement, and whether the agreement is pursuant to a reduction in force or whether the position will be eliminated or downgraded, a copy of the employee's current contract with the school or the system, and a statement of the employee's birthdate.
NDSU Guidelines:
- A.
- An eligible tenured faculty member wishing to pursue an
early retirement
agreement shall submit a formal request to the department
chair, who
will route the inquiry to the dean, who will route the request
to
the Provost and Vice President of Academic Affairs. An eligible Officer of
the
Institution wishing to pursue an early retirement agreement
shall
submit a formal agreement to the Vice President of their
division.
- B.
- A Vice President wishing to initiate an early retirement
negotiation
for an eligible employee (see 2b) in his or her division
contacts
the Director of Human Resources/Payroll to discuss options at least
four months
prior to the proposed retirement date, and informs the
President of
the possible negotiation.
- C.
- The Vice President negotiates the terms with the employee.
- D.
- The Vice President sends to the Director of Human Resources/Payroll
a memo
including buy out amount, duration of any single-coverage
health insurance
premium payments, date of retirement and date(s) of buy out
payments
and a statement of how the buy out benefits the University to
the
Director of Human Resources/Payroll.
- E.
- The Director produces the Early Retirement Agreement
document and
routes it for signatures.
- F.
- Upon execution of an Early Retirement Agreement, any payments will be charged to the college/unit budget.
HISTORY: April 24, 1987; Amended March 8, 1993; June 1994; October 1997; September 2000; July 2001, October 2007.
- NDSU President