retirement Archives - Presidential Updates

I am writing to inform you about a Voluntary Retirement Incentive Plan we will make available to eligible full-time faculty and staff on all campuses (Springfield, West Plains, Mountain Grove) in early 2011. The proposal was approved today (Dec. 17) by the Board of Governors.

Voluntary Retirement Incentive Plan
Details and Timeline

As you know, we anticipate having a significant reduction in our state appropriations for Fiscal Year 2012 (July 1, 2011–June 30, 2012). With about 70 percent of Missouri State’s budget in salaries and benefits, there is little doubt that personnel will be affected by the reduction in appropriations. This is one element of the “smaller footprint” I have been discussing over the past several months.

Plan to accomplish two goals

The 2011 Voluntary Retirement Incentive Plan is designed to accomplish two goals:

Provide maximum budget flexibility to address the reduction in state appropriations
Provide an opportunity to reallocate salary dollars to better compensate a smaller workforce that will continue to provide a high-quality educational environment.

Retirement eligibility for MOSERS and CURP are defined separately by each respective plan. Generally, they include an age-plus-years-of-service threshold for eligibility. According to recent lists provided by MOSERS and CURP, 213 faculty and 248 staff are eligible for the program; however, the program will be limited to the first 50 faculty and the first 100 staff who submit their paperwork beginning February 1, 2011.

Human resources to contact eligible employees

By December 22, if not sooner, those eligible for this Voluntary Retirement Incentive Plan will be contacted via personal letter by the office of human resources; the letters are being mailed today (December 17). Those letters will be based on the information provided by MOSERS and CURP. If you don’t receive a letter and believe you are eligible, please contact the Office of Human Resources. In addition, those who are able to purchase MOSERS time through other service such as the military, in order to qualify, also would be eligible if the purchase is completed prior to the date of retirement. You should also contact human resources if you fall into this category.

Between now and January 31, 2011, the office of human resources will schedule and publicize a number of information sessions to answer questions you may have.

Our hope is that this voluntary plan provides a “win-win” opportunity with good options for faculty and staff and reduced costs and reallocation opportunities for the University. I will keep you posted as we move through this process.

Sincerely,

James E. Cofer, Sr.

President

At its Dec. 17, 2010, meeting, the Board of Governors approved the following Voluntary Retirement Incentive Plan. See the Dear Colleague letter for additional information.

Incentives

Select only one:

25% of base salary with a minimum payment of $10,000 and a maximum payment of $25,000
University paid health insurance for the employee only until age 65

Timing of offer: Feb. 1–March 17

Applications/paperwork will be accepted beginning Feb. 1
Open for 45 days (to March 17)

Retirement date

May 1, 2011–Jan. 1, 2012 (staff)
June 1, 2011–Feb. 1, 2012 (faculty)
With the specific date subject to University approval

Participation limit

First 100 people to submit required paperwork (staff)
First 50 people to submit required paperwork (faculty)

Eligibility

Must be eligible to retire by retirement date chosen, as defined by the plan to which the employee is a member — either MOSERS or CURP
For all eligible faculty and staff on all campuses (Springfield, West Plains, Mountain Grove)

Post retirement engagement

Limited to half-time engagement for up to three years in separate contracts for faculty, and 1,000 hour engagement for staff on a case by case basis
Restrictions are sometimes placed on the amount of work an employee can perform for a covered institution and still remain eligible for retirement benefits under MOSERS or CURP. In some instances, MOSERS may prohibit additional benefits if an employee returns to work in a MOSERS benefit eligible position. Eligible employees are responsible for knowing and complying with any such prohibitions and restrictions.