Retirement Eligibility & Benefits
Policy Number: HR-21
Effective Date: July 2003
Last Revision: January 2015
Responsible Officer: Executive Vice President, Treasurer and Chief Operating Officer
This policy was established to define the eligibility for and benefits provided to retired Faculty and Professional Staff Members of the University.
This policy applies to all eligible Faculty and Professional Staff Members, who have completed ten (10) years of full time consecutive service with Drexel University and are age 55 or older, if hired before September 1, 2013, or who have completed fifteen (15) years of full time consecutive service with Drexel University and are age 60 or older if hired on or after September 1, 2013. Full time consecutive service (10 or 15 years) is strictly services with Drexel University. Consecutive service does not include any subsidiaries, such as Drexel University College of Medicine, Hahnemann, and The Academy of Natural Sciences of Drexel University.
Effective January 1, 2015, actively employed and former College of Medicine Faculty and Professional Staff with 15 years of consecutive full-time service after the age of 45 (and after 1998) who are at least 60 years of age are eligible.
Implementation of this policy is the responsibility of the Department of Human Resources.
The Executive Vice President, Treasurer and Chief Financial Officer is the Drexel University official responsible for the administration of this policy.
Drexel University authorizes special retiree benefits for eligible Faculty and Professional Staff Members.
Faculty Member is defined as an individual employed by Drexel University in a tenured, tenure-track, non-tenured track or adjunct position who teaches at any college, school, center or institute in the University. A Faculty Member also is deemed to be exempt under the provisions of the Fair Labor Standards Act (FLSA) and/or applicable state law.
Full-time Faculty Member is defined as a full-time status which must equal a teaching load of 12 credit hours per term.
Professional Staff Member is defined as an individual employed in any non-faculty category by Drexel University, including an individual who is deemed to be either exempt or non-exempt under the provisions of the FLSA and/or applicable state law.
Eligible retired Faculty and Professional Staff Members will be entitled to receive the following benefits:
- University paid Group Life Insurance in the amount of $4500 payable upon death of the retiree.
- Unused sick leave is not paid upon separation from employment, with the exception that Professional Staff Members retiring from the University at or after age sixty-five (65) will be paid for accrued but unused sick leave up to a maximum of thirty-five (35) days.
- Health Insurance
- If the retirement date is prior to September 1, 2014, Drexel University will pay for Medicare Eligible Faculty or Professional Staff Members (age 65 and older), up to $400 per month, and up to an additional $400 for the spouse of record at the time that the Faculty or Professional Staff Member retires. For those not Medicare eligible at the time of retirement, Drexel University will pay 50% of the premium for the retiree and spouse of record at the time that the Faculty and Professional Staff Member retires, up to a maximum of $400 per month for the retiree and spouse each. Drexel's cost is limited to the premium amount, if that amount is less than $400.
- If the retirement date is on or after September 1, 2014, Drexel University will pay for Medicare Eligible Faculty or Professional Staff Members (age 65 and older), up to $300 per month, and up to an additional $300 for the spouse of record at the time that the Faculty and Professional Staff Member retires. For those not Medicare eligible at the time of retirement, Drexel University will pay 50% of the premium for the retiree and spouse of record at the time that the Faculty and Professional Staff Member retires, up to a maximum of $300 per month for the retiree and spouse each. Drexel's cost is limited to the premium amount, if that amount is less than $300.
If the retiree is under 65 years of age, the plan elected must be the plan that the retiree was enrolled in during the calendar year in which the termination date falls. If the retiree is not enrolled as of the date of retirement, enrollment is available at open enrollment or if the retiree loses coverage with another plan, if enrollment paperwork is completed within 30 days of the loss of coverage.
The retiree and his/her spouse of record have the right to change their election during Open Enrollment, subject to health plan rules and the following limits. The retiree and spouse of record may enroll or disenroll at other times due to certain life events, subject to the limitation in the above paragraph. If a retiree and/or spouse of record does not enroll, or chooses to disenroll at any time, enrollment/reenrollment will be available only if the retiree and/or spouse of record have been continuously covered in another health plan (other than Medicare) in the interim. This rule also applies to enrollment/reenrollment during the Open Enrollment period. Proof will be required.
The spouse of record of a deceased retiree, if enrolled in the plan at the time of the retiree's death, is eligible to continue coverage on the same payment basis as above. After the death of the retiree, if the dependent has never enrolled or drops the coverage (disenrolls), he/she may not re-enroll.
If the spouse of record dies, a new spouse is not eligible for coverage through Drexel University.
Other dependents are not eligible for coverage:
- Dental and Vision coverage – This coverage is available to retirees at their own cost.
- Tuition Remission – Available for the retiree, spouse and dependent children at the level for which the retiree was entitled on the date of retirement.
- Retirees may request a courtesy I.D. Card.
- University Club membership for life for a one time dues payment is available. Retirees are responsible for any charges for services received.
- Retirees may pay for parking at the discretion of the parking office, subject to availability and necessity
RIGHT TO AMEND
The information contained in the policy reflects the current benefits and eligibility for retired Faculty and Professional Staff Members of the University. The University reserves the right to amend or terminate the benefits at any time.
AT-WILL EMPLOYMENT NOT AFFECTED
Notwithstanding anything to the contrary stated in this policy, nothing herein is intended to alter the at-will status of any Professional Staff Member. Drexel University at all times retains the right to terminate any Professional Staff Member at any time for any lawful reason, or for no reason at all.