Phased Retirement
The University of North Carolina Phased Retirement Program is designed to provide an opportunity for eligible full-time tenured faculty members to make an orderly transition to retirement through half-time (or equivalent) service. The goals of the Program are to promote renewal of the professor in order to ensure institutional vitality and to provide additional flexibility and support for individual faculty members who are nearing retirement. The Program is entirely voluntary and will be entered into by a written agreement between an Eligible Faculty Member and the institution.
Faculty members who enter the Phased Retirement Program retain their professional rank and the full range of responsibilities and rights associated with that rank as described in the Faculty Code (except for the status of permanent tenure). In addition, departments and schools are encouraged to extend full departmental rights and benefits to faculty in the program on those matters not specified in the Faculty Code. Enrolling Eligible Faculty Members may elect to begin receiving the benefits they have accrued under either the Teachers’ and State Employees’ Retirement System or the Optional Retirement System, but they are not required to do so.
Phased Retirement FAQ Application and Reemployment Agreement Program Policy Phased Retirement Voting Rights MemoThe policy concerning the review of vacant positions by the Provost is unaffected by this program. However, consideration of the effect of this program on resources to address instructional and research needs will be taken into consideration.
After the department chair has reviewed the applications received and examined other resources available to address department needs, the department chair should discuss the situation with the dean. The dean will examine the needs across the school/college and address this issue with the Provost. In all cases, the department will have one-half of the retiring faculty member’s salary to pay that person at half salary for three years. The residual one-half salary is subject to review by the dean and Provost.
The department chair cannot deny an application for phased retirement. If more than 25% of tenured faculty members in a department elect to enter the Phased Retirement Program, the dean should be consulted and will be responsible for making a recommendation to the Provost.
Half-time salary is one-half of a faculty member’s base salary for the fiscal year immediately preceding the fiscal year in which the Phased Retirement Plan is implemented for that individual. It does not include supplements for administrative assignments, overloads, or similar payments to which the faculty member is not legally entitled.
For the School of Medicine full-time tenured faculty subject to the terms of the Clinical Faculty Compensation Plan, a faculty member’s “base compensation” under the Phased Retirement Plan shall be that individual’s Total Projected Salary (Academic Base Salary + Negotiated Component of Salary + estimated Bonus Salary) for the fiscal year immediately preceding the fiscal year in which the Phased Retirement Plan is implemented for that individual.
A faculty member in phased retirement may teach in summer session. Summer teaching cannot be part of the “half-time” work plan negotiated with the department chair.
Salary earned during the summer is calculated by the state retirement system toward the maximum earnings to remain eligible for retirement benefits. This would not affect someone not on the state retirement system.
The University or the faculty member’s department is under no obligation to offer summer teaching, i.e., such an appointment must have the approval of the department chair and the dean of Summer School. The faculty member should not assume that payment for summer teaching would be calculated on the same basis as that for full-time faculty.
A “phased retirement” faculty is a part-time employee and the Summer School dean establishes pay schedules for such people, i.e., only the dean of Summer School can answer the question as to what the compensation would be for such a person teaching a course.
| 2021 - 2022 Timeline | Phased Retirement Program for Tenured Faculty |
|---|---|
| Dec 4, 2021 | 2022 Phased Retirement letters and informational packets sent to eligible faculty |
| Dec 4, 2021 - Jan 28, 2022 | Interested faculty can schedule a phone consultation regarding the PR program with Frank Lewis |
| Dec 4, 2021 - Jan 28, 2022 | Interested faculty can schedule a phone consultation regarding the PR benefits with HR Benefits |
| Jan 28, 2022 | Deadline for PR applications to the Academic Personnel Office 218 South Building CB 8000 |
| Feb 4, 2022 | Decisions made by Executive Vice Chancellor and Provost on received applications |
| Feb 11, 2022 | Eligibility verification complete; agreement and releases mailed to approved faculty members |
| Mar 31, 2022 | Deadline for submission of signed releases to the Academic Personnel Office 218 South Building CB 8000 |
| March/April 2022 | Faculty schedule appointments with OHR Benefits to complete retirement paperwork |
| July 1, 2022 | Phased Retirement begins |