Non-Renewal Program for Academic Professional and Administrative Employees

The Non-Renewal Program is an elected benefit program provided by the University of Minnesota (University) to academic professional and administrative (P&A) employees who receive a written notice of non-renewal of appointment and who meet all the eligibility requirements as described. Benefits are based on years of continuous service with the University in designated types of appointments.

Provisions and Terms

The University reserves the right to alter the terms of or eliminate this program.

Scope

1. Eligibility Requirements

   This policy governs the non-renewal of P&A (93xx, 96xx, and 97xx) employees appointed in one of the following employee categories with an eligible corresponding appointment type:

   • Academic Professionals in job codes 9621-9630; 97xx (except 9755, 9756, and 9757) with Appointment Types:

     (H) Probationary
     (J) Multi-Year Contract
     (K) Annual Renewable Contract
     (Z) Non-Credit Teaching/Other Professional Work

   • Academic Administrators in job codes 93xx; 9631-9640 with Appointment Types:

     (J) Multi-Year Contract
     (K) Annual Renewable Contract

   The otherwise eligible employee must hold a nine-month or longer employment appointment of no less than 75 percent time in the appointment that is ending on the issue date of the notice of non-renewal.

2. Exclusions

   In addition to not meeting the specific eligibility requirements, academic employees are ineligible for participation in this program if they fall into any one of the following employee categories, classifications, or groups:

   • regular faculty (tenured or tenure-track);
   • term faculty (contract, temporary, visiting, or adjunct);
   • academic professional and administrative appointees with an appointment term of flexible hourly, summer research, lump sum (Z) only, or summer session (S) only;
   • academic administrative staff with appointment types of (L) limited or (M) acting/interim;
   • 9755 Research Specialist, 9756 Community/Clinical Preceptor, 9757 Industrial Fellow;
   • individuals hired for one semester without a search under non-competitive appointments;
   • 95xx employees;
   • the position the employee holds is eligible for Phased Retirement or the Terminal Agreement;
   • the employee opts to participate in another University of Minnesota exit program, voluntary or involuntary, to which the University contributes or has contributed monies (including the Faculty Retirement Disability Program); or
   • an employee terminated for cause.

Benefits

Benefits are based on the employee’s continuous service with the University. One full year of service is credited for each anniversary from the employee’s most recent date of hire through the last day of employment. Continuous service may include periods of approved leave of absence, disability, or part-time service. If, during any year, the employee (with an appointment percentage of 75 percent or greater and an appointment term of 9 months or more) worked less than 1,560 hours in a year, that year(s) would not be credited, unless the employee was on an approved leave of absence or disability leave. That year(s) would bridge periods of continuous service.

Under the program, a lump-sum payment is made to the employee equal to one week of pay per full year of continuous University service as defined above, up to a maximum of 52 weeks of pay. One week of pay is equal to the employee’s regular hourly rate times the number of hours per week (maximum of 40) the employee was regularly scheduled to work as of the last day of employment. This payment is subject to payroll taxes. Severance pay of this type does affect unemployment benefits. The employee is instructed to contact a Minnesota WorkForce Center for more information regarding unemployment compensation.

Medical and/or dental coverage may be continued for up to eighteen months following termination of employment, but not after the last day of the month in which the employee becomes covered under another group medical plan that has no limitations or exclusions with respect to any pre-existing conditions of the employee or, for family coverage, the employee’s dependents. If the employee is a federal employee with federal health benefits, this continued medical and dental coverage is not available through the University. If the employee becomes eligible for Medicare before or during the subsidized period, Medicare then becomes primary with the UPlan secondary for this individual. If a spouse or registered same-sex domestic partner is age 65 or older, the application must be made for Medicare Part B upon termination of employee’s employment. Medicare then becomes primary with the UPlan secondary for this individual.

The University will contribute toward the cost of the employee’s medical and/or dental coverage for the following periods:

Full years of continuous service	Period of University Contributions
less than 3 years	University will NOT contribute
3 through 4 years	University will contribute for up to 6 months
5 through 9 years	University will contribute for up to 12 months
10 years and over	University will contribute for up to 18 months

The University contribution for this coverage will be the same as if the employee had remained employed. If the above subsidy is for less than 18 months, coverage may be continued at the employee’s own expense for the balance of up to 18 months; Employee Benefits will bill the employees directly for the unsubsidized months.

Dependent coverage may be added at the expense of the employee while covered by this program during open enrollment time or if there is a change in the employee’s family status. If medical and/or other coverages are canceled or dropped for any reason during the time that the University is subsidizing coverages, including, but not limited to, cases where employees do not make payments towards their required contributions for coverages, then the University will not be responsible for any further compensation to or on behalf of the employee in connection with these coverages.

Note: The continuation of medical and dental coverage available under COBRA (Consolidated Omnibus Budget Reconciliation Act) runs concurrently with the benefits extended under this program. See Benefits Information Supplement, Section II for further information on COBRA.

Program Participation

If a P&A employee elects to participate in the Non-Renewal Program for Academic Professional and Administrative Employees, employment must be terminated on a date mutually agreed to by the employee and the responsible administrator and it must be within 60 calendar days following the issue date of the non-renewal notice.

In exchange for participating in this program, the employee waives any right to a notice period to which entitlement is held and all other claims against the University. Since qualifying for this program may result in the termination of appointment prior to the end of the employment agreement, the employee may be disqualified for unemployment compensation benefits. The employee’s area unemployment office should be contacted for more information. As part of this program, the employee also agrees not to reapply or be rehired for University employment for a period equal to the number of weeks of severance paid, beginning on the first day of non-employment.

The University chooses to recognize years of service to the University of Minnesota by eligible academic professional and administrative (93xx, 96xx, 97xx) employees whose appointments are non-renewed and who elect the program set forth in this policy.

• Electing the Non-Renewal Program

See Appendices for packet of supporting Forms/Instructions.

Subject	Contact	Phone	Fax/Email
General Information or Procedural Assistance	Primary: Responsible administrator/supervisor Secondary: Local campus, college, or administrative unit HR administrator Other (as needed): Office of Human Resources specialist or consultant	Office of Human Resources Specialist and Consultant List	Office of Human Resources Specialist and Consultant List
Employee Benefits	Employee Benefits Service Center	612-624-9090 or 800-756-2363, option 2
Unemployment Insurance	Minnesota Workforce Center		Minnesota WorkForce Centers Unemployment Insurance (UI) Program

Years of Service

One full year of service is credited for each anniversary from the employee?s most recent hire date through the last day of employment. A Year of Service will only include years in which the employee held an appointment percentage of 75 percent or greater and an appointment term of 9 months or more, worked at least 1,560 hours in the year, or was on an approved leave of absence or disability leave.

Academic Year

The combination of fall and spring semesters.

Continuous Service

Service commencing on the employee?s most recent date of hire with the University in an appointment of 75 percent or greater and an appointment term of nine months or more, and ending on the employee?s last day of employment. Continuous service may include periods of approved leaves of absence, disability, or part-time service. This period is non-continuous if it is broken by a voluntary termination of employment – no matter how brief – commencing on the employee?s most recent date of hire with the University in an appointment of 75 percent or greater and an appointment term of nine months or more, and ending on the employee?s last day of employment. Continuous service may include periods of approved leaves of absence, disability, or part-time service. This period is non-continuous if it is broken by a voluntary termination of employment ? no matter how brief.

A student appointment in 2xxx or any of the 95xx classifications will not be credited and will be considered a break in service. Employment prior to any appointments in the 2xxx or 95xx classifications is not credited. Service credit would begin with the resumption of non-student, non-professionals-in-training employment.

If an employee changes appointments between one employee category and another (e.g., civil service to P&A), the service will be considered continuous as long as there is no break longer than two pay periods.

Base Salary

Appointment salary plus administrative augmentation. Augmentation for acting administrative appointment is not considered base salary.

Division/Department

• Direct employee to Employee Benefits website for Non-Renewal Program materials upon receipt of a written notice of non-renewal of appointment.
• Manage the non-renewal of appointment process for the employee.
• Enter appropriate data into the HRMS system.

Employee

• Provide timely notice to the division/department of the choice to accept the terms of the Non-Renewal Program for Academic Professional and Administrative Employees.
• Follow appropriate procedures.
• Contact area unemployment office for more information as desired.

• Benefits Election Form (Non-Renewal Program for Academic Professional and Administrative Employees) (PDF)
• Benefits Information Supplement (Non-Renewal Program for Academic Professional and Administrative Employees)
• Department Checklist (Non-Renewal Program for Academic Professional and Administrative Employees)
• Employee Checklist (Non-Renewal Program for Academic Professional and Administrative Employees)
• Non-Renewal Program Agreement (Non-Renewal Program for Academic Professional and Administrative Employees) (PDF)
• Release Form (Non-Renewal Program for Academic Professional and Administrative Employees) (PDF)

The above documents are all required to implement the policy.

• Non-Renewal Program for Academic Professional and Administrative Employees FAQ

There is no related information for this policy.

Amended:

May 2008 - Policy converted to the new University-wide format for administrative policies. Title was changed to Non-Renewal Program for Academic Professional and Administrative Employees, former Academic Staff Non-Renewal Program.

Amended:

April 2003 - (1) Minor edits to clarify language;
(2) Rule of 75 elimination effective April 30, 2003, whereby if the sum of the employee?s full years of continuous University service and age on the last day of employment was 75 or greater, then the University medical and/or dental coverage was continued until the last day of the month in which the employee became eligible for Medicare or other group coverage, whichever came first; and
(3) Requirement added whereby the employee, in exchange for participating in program, agrees to not reapply for or be rehired for University employment for a period equal to the number of weeks of severance pay received.

Amended:

February 2003 - Minor edits to clarify language.

Amended:

September 2002 - U of M Layoff/Non-Renewal Program for Civil Service/Bargaining Unit and Academic Professional and Administrative Staff was divided into two separate documents, Civil Service and Bargaining Unit Staff Layoff Severance Program and Academic Staff Non Renewal Program. Edits were made, information was updated and expanded and put in standard University-wide policy format.

Amended:

March 1994, May 1994, and March 1995

Adopted:

August 1993 - U of MN Layoff/Non-Renewal Program for Civil Service and Professional & Administrative Employees

Amended:

November 1991, August 1992, and March 1993

Adopted:

August 1991 - Voluntary Retirement/Health Benefits Program; Termination/Severance Program

Effective:

September 2002