College Policy Number/Title:
The phased retirement program is designed to provide a transition period between full-time work and retirement for faculty or staff with unique knowledge and competencies that the institution wishes to retain and transfer to a new faculty or staff person.
The person eligible for retirement moves to 50% of full-time salary. The person in phased retirement will develop a work plan for or define the transition period, responding to the specific needs of a department.
Full-time faculty and staff who have worked at the college full-time for at least five years and are eligible to retire under one of the college’s retirement programs (see Procedure 63.07.11) may apply for the phased retirement program based on the following criteria:
A work plan must be submitted detailing how the teaching and other job responsibilities will be structured for the 50% of full-time work. The details are negotiated among the employee, the supervisor and the department head. For faculty, the work plan must incorporate all facets of normal, full-time faculty work loads including teaching, curriculum development, office hours, committee work, etc. Negotiations must take place and be incorporated into the application submitted by October 1. Exceptions to this application date may be allowed.
Application forms are available through the office of human resources. The application form and a proposed work plan are due to the area vice president by October 1 of the year prior to the beginning of the next fiscal year the employee plans to retire and will be considered on a case by case basis depending on college and departmental needs, budgets, and other planning processes. Applicants will be notified by the end of January of the status of their requests.
Terms and Conditions
Agreements for phased retirement, if approved, will be made between the employee and the college for a one-year contract period, effective on the first date of the eligible contract date for the next fiscal year. There may be some circumstances in which renewal for a second and/or third year may be considered but typically the agreement will be for the one year. At the end of the approved contract period the employee agrees to complete the retirement process.
During phased retirement, the salary rate will remain the same but will be prorated for the percent of full-time (50%). Benefits will remain in place with the following exceptions: (1) benefits tied to salary will be tied to the phased retirement salary including any retirement contributions; and (2) retirement benefits will depend on arrangements made by employees with retirement plans (see next section). Leave plans will be adjusted to accrue on a prorated basis for the percent of full-tme. When an employee retires and is paid out for annual leave, the annual leave pay out will be paid at the full-time hourly rate.
Participants are subject to the regular performance appraisal system and are eligible for merit pay under that system, which would be prorated for the percent of full-time work load.
Retirement Options and Coordination
It is entirely the responsibility of the employee to coordinate their retirement intentions with the specific retirement plan -- Maryland State Retirement and Pension Systems (MSRPS) or one of the Optional Retirement Programs (ORP).
The program is entirely voluntary on the part of participants and faculty and staff participants will be asked to sign a release under the Age Discrimination in Employment Act (ADEA) confirming that their participation is voluntary.
Effective Date: 9/11/09