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Faculty Offered Two Retirement Packages

November 30, 2002

Nick Marinello

mr4@tulane.edu

Late last month, the Tulane administration notified faculty of two retirement packages that will give eligible members new retirement options. We haven't offered an early retirement plan since 1996, says Anne Banos, vice president and chief of staff. We wanted to make these plans available to faculty who want to retire and would do so if they had an attractive option.

According to Banos approximately 195 members of the faculty are eligible for one or both of the plans. The terms of the phased retirement plan option were e-mailed to all eligible faculty on Oct. 31. This option provides an opportunity for tenured faculty, age 55 or older and with at least 10 years of continuous academic service, to reduce up to 50 percent of their normal workload over a period of time on their way toward retirement.

The phase-out period can be no longer than three years and the terms of the workload and compensation must be negotiated with each retirees dean. This is an ongoing plan that faculty can take advantage of, says Anne Banos, who is the administrative coordinator of the plans. It is an option that every faculty member will be able to consider when he or she reaches 55.

A second option, sent out via campus mail, notified all faculty age 60 and older with at least 10 years of full-time service of an immediate early retirement plan. Unlike the phased retirement plan, this option is a limited-time offer that will award a lump-sum payment on the date of retirement. Faculty members with 10 to 15 years of service will receive a sum worth one-and-one-half times the amount of their base salaries, while those with more than 15 years will receive twice the amount of their base salaries. Both options include a benefits package.

Faculty enrolling in the phased plan will receive their current health, retirement and other benefits for a specified period, based on their salary during the phased period. Those opting for the immediate plan can continue to participate in the universitys health plan until they are eligible for medical coverage through either another employer or Medicare. Implementation of the ongoing phased retirement plan begins July 1, 2003. Faculty eligible for the immediate retirement plan can choose an effective date of either July 1, 2003, or June 30, 2004.

In the case of either option, a written letter of intent must be presented to the appropriate dean and senior academic officer by Jan. 31. According to Banos, the Administrative Council and the President's Academic Advisory Council approved both plans, in consultation with the University Senate. Any eligible faculty member who has not been notified of the plan should contact his or her dean.

Nick Marinello can be reached at mr4@tulane.edu.

Citation information:

Page accessed: Wednesday, September 03, 2014
Page URL: http://tulane.edu/news/releases/archive/2002/faculty_offered_two_retirement_packages.cfm

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