History of Phased Retirement Program for Tenured Faculty
REG05.57.01
Retirement
Authority: Issued by the Chancellor. Changes or exceptions to administrative regulations issued by the Chancellor may only be made by the Chancellor.
History:
First Issued:
November 21, 1997 Archived Version (Effective November 21, 1997 through April 3, 2005) - The Board of Governors on March 14, 1997, approved a report of the Committee on Personnel and Tenure recommending the adoption of a comprehensive phased retirement program (the "Program") to be implemented on a five-year trial basis. The Program was to be implemented at the constituent institutions in early 1998 so that individual faculty could participate in the Program commencing fall term 1998. The Board authorized and directed the president to effect the Program in accordance with the report by: (1) issuing appropriate University policies and materials, and (2) reviewing and approving for implementation all institutional standards and procedures consistent with the Program and applicable law. NC State's University Council approved the Phased Retirement Program (institutional guidelines) on October 8, 1997. The Academic Affairs and Personnel Committee of the Board of Trustees reviewed the NC State Plan for Phased Retirement on November 20, 1997 and the Board of Trustees approved the Plan on November 21, 1997. The Resolution to Facilitate the University of North Carolina Phased Retirement Program was adopted on January 9, 1998 and can be found at http://www.ga.unc.edu/benefits/retirement/phased/resolution.pdf .
Revisions:
April 4, 2005 Archived Version (Effective April 4, 2005 through October 26, 2005) - Revised by the Dean's Council to remove departmental caps.
October 27, 2005 Archived Version (Effective October 27, 2005 through June 26, 2008) - Change to provide notice to faculty who are in the phased retirement program that in accordance with the academic tenure policy they may not vote on reappointment, promotion or tenure because since they are no longer tenured they are not a part of the departmental voting faculty.
June 27, 2008 Current Version - Changes are necessary in order for the University of North Carolina to comply with recent changes in federal tax law on establishing a defined retirement age. Historically, defined benefit plans like TSERS have been precluded from making distributions to participants who have not completely terminated their employment with their employer. This restriction has led to considerable confusion over what constitutes a complete termination of employment. As part of the Pension Protection Act that was enacted in 2006, Section 401(a)(36) was added to the Code. This section permits defined benefit plans like TSERS to commence retirement benefits after a participant who is still actively employed has reached normal retirement age.
Related Policies:
UNC Policy 300.7.2 Phased Retirement
UNC Policy 300.7.2.1[G] Guidelines on Implementing Phased Retirement Policy
NCSU POL05.20.1 Academic Tenure Policy
NCSU POL05.20.2 - Emeritus Faculty Status and Involvement Policy
Additional References:
Resolution to Facilitate the University of North Carolina Phased Retirement Program
Provost's Administrative Resource on the Phased Retirement Program
Eligibility for Employee Benefits
Contact Info: Director of Benefits, Human Resources (919 515 2151)
