Chapter 3359-21 Early Retirement
(A) The university of Akron board of trustees authorize the implementation of the university of Akron early retirement incentive plan, hereinafter referred to as "ERIP" for its employees who are members of the state teachers retirement system and the school employees retirement system respectively. Provisions of the early retirement incentive plan are as follows:
(1) The program shall be available to eligible employees, who elect to retire officially through "STRS" or "SERS" from July 1, 1993, through June 30, 1994; July 1, 1995, through June 30, 1996; July 1, 1997, through June 30, 1998; and July 1, 1999, through June 30, 2000.
(2) The program shall be available to employees who meet retirement requirements as established by "STRS" or "SERS" during the twelve month period listed in paragraph (A)(1) of this rule.
(3) The board adopts the following requirements for participation:
(a) Subject to then current legal requirements, and the limitations provided herein, participation shall be open to all eligible members of "STRS" and "SERS." A member is eligible if the member:
(i) Is currently contributing to "STRS" or "SERS" and employed by the university of Akron at the time the early retirement period commences;
(ii) Has attained the age of fifty prior to the retirement date or the date the early retirement period expires; whichever is earlier;
(iii) Is eligible or will qualify, after purchase of the service credit, for retirement under "STRS" or "SERS" guidelines;
(iv) Agrees to retire and actually retires within ninety days after notification that additional service credit has been purchased;
(v) Conforms to administrative rules and procedures promulgated hereunder and necessary to implement the program.
(b) Participation in the early retirement period is limited to five per cent of the total number of members in each retirement system as of January 1 of the year in which the early retirement period commences as certified by the retirement systems. If more than five per cent of the total members of each retirement system elect to participate in the early retirement period, employees with the greatest amount of retirement service credit earned at the university of Akron have priority, subject to a first come basis.
(c) Pursuant to the respective requirements of rule 3309.33 and rule 3307.35 of the Administrative Code, the university of Akron shall pay the cost (as determined by "STRS" or "SERS") of the lesser of five years of service credit or one fifth of each member's total service credit for all eligible members of "STRS" or "SERS" who elect to participate.
(d) Participants in this program are eligible to receive the total number of years of service credit provided by the plan and not just the minimal number needed to qualify for retirement.
(e) The associate vice president for treasury and financial planning and associate vice president/controller and employee participants shall file such forms as are required by "STRS" or "SERS."
(f) Retirees participating in the "ERIP" shall be entitled to receive those fringe benefits normally provided to retirees who do not participate in the "ERIP," provided such benefits have not been assumed by their respective retirement system.
(g) No employee electing the "ERIP" shall be eligible for the limited teaching for full-time teaching faculty who retire or part-time employment for full-time non-teaching personnel who retire provisions of the regulations of the board of trustees. However, in cases of clear and demonstrated need, as determined by the president or designee, participants in the program may be employed from time to time on a part-time basis, not to exceed permissible limits of the respective retirement system. Selection for these limited appointments and reassignment of duties shall be at the sole discretion of the university.
(h) All retirements under the provision of this resolution shall take effect on the earliest date on which the retiree complies with the terms of the program, unless otherwise agreed, in writing, between the university and the retiree. In order to enable the university to plan efficiently and effectively for future staffing requirements, an employee electing to participate must file the notice to employer of interest to participate in. retirement incentive plan as defined in section 3307.35 of the Revised Code and section 3309.33 of the Revised Code, and other notices, on the prescribed forms, with the university on or before the March first preceding the retirement period listed and January 1, 1994, for subsequent periods. Employees failing to timely file the notices as required herein, may not be considered an eligible employee to participate in the plan.
(4) For the early retirement periods of July 1, 1993, to June 30, 1994, and July 1, 1995, to June 30, 1996, one half of the positions represented by retiring employees shall be retained by the unit from which the employee retires; and one half shall be returned to the president for use as incentives for diversification of faculty and staff, reallocation to new program areas or other areas of need. Each "STRS" replacement position will be funded at sixty-seven per cent of the retiree's salary and each "SERS" replacement position will be funded at eighty per cent of the retiree's salary. For the early retirement periods of July 1, 1997, through June 30, 1998, and July 1, 1999, to June 30, 2000, the positions represented by retiring employees shall be retained by the responsible vice president of the unit from which the employee retires for use as incentives for allocation of resources to meet program or other needs as approved by the president or designee. Each faculty and contract professional replacement position will be funded at sixty-seven per cent of the retiree's salary and each classified and unclassified replacement position will be funded at eighty per cent of the retiree's salary.
(5) It is the intent of this resolution that faculty and contract professional positions shall be filled only with part-time personnel the first year after retirement; classified and unclassified positions, where justified, may be authorized to be filled by the president or designee immediately. If there are faculty and contract professional positions which the president determines must be replaced the first year after retirement, the president may authorize funds be committed for that purpose.
(6) Accounts for positions and salary savings shall be created at appropriate administrative levels to fund replacement positions and to provide necessary control and accountability.
(7) The president and designees are authorized to promulgate rules and procedures necessary to implement the foregoing program.
(8) The policy on early retirement shall be in effect until midnight, June 30, 2000, and shall automatically terminate on that hour and date.
(9) The implementation of this early retirement incentive plan by the university shall be contingent upon each of the respective retirement system's agreement to administer its applicable portion of the plan. In the event all or any part of this plan shall be declared invalid, contrary to law or to rules or regulations of the respective retirement systems, the university reserves the right to amend the plan in order to conform same to law, or, to vacate the plan in its entirety.
Promulgated Under: 111.15
Statutory Authority: 3359
Rule Amplifies: 3359 /
Prior Effective Dates: 11/22/97, 02/19/99, 04/23/99, 06/25/07