Judy Ridinger, Director Staffing and Employee Relations Kelly Oaks, Director for Equity Initiatives

1. Judy Ridinger, Director Staffing and Employee RelationsKelly Oaks, Director for Equity Initiatives Virginia Tech Human Resources: Information Session for Conversion to Administrative and Professional categories

2. Purpose of the Session Overview of the Resolution to expand use of Administrative and Professional (A/P) categories to allow for conversion Comparison of benefits and policies and programs for classified staff and A/P Process for Conversion Timeline

3. Resolution: Administrative and Professional Faculty Appointments • The human resources restructuring initiative approved by the state includes the opportunity for redefining the administrative and professional faculty. • Resolution proposed by the Commission for Administrative and Professional Faculty Affairs. • Approved by University Council and BOV.

4. Reasons for change • Equity • Recruiting

5. Who is eligible to convert? University staff whose positions are determined eligible to be converted Classified staff whose positions are determined eligible to be converted and who elect to make the change

6. Which positions are eligible? • Staff positions in pay bands 6 and 7 and the majority of positions in pay band 5 are now eligible to become part of the Manager/Professional category in the Administrative and Professional (A/P) structure. • Organizational management has been involved in reviewing positions to determine eligibility for change to A/P status.

7. Changing from classified to A/P Classified employees will have the opportunity to move to Administrative and Professional faculty at least every 2 years. The election to move from classified staff to managerial/professional status is permanent. 

8. Overview of the Resolution Expands the use of the Administrative and Professional Faculty categories Defines Categories Senior Administrators Managers and Professionals

9. Managers and Professionals Managers (Directors) • Leadership and supervision of a significant number of staff and/or professional faculty, and budgetary responsibility • Exercises discretion and independent judgment and must perform managerial or director functions at least 50% time • Typically reports to a senior administrator

10. Managers and Professionals Professionals • Provide direct service to students, other university constituencies, or clients external to the university. • May direct or provide support for academic, administrative, extension, outreach, athletic, or other programs. • Must regularly exercise professional discretion and judgment.

11. Examples of positions Previously included • Librarians, counselors, coaches, lawyers, physicians, dentists, veterinarians, student affairs program coordinators/managers Now includes • Architects, engineers, and senior level professionals in human resources, information technology, budget/finance, public relations, and development

12. Managers and Professionals • Qualification Criteria • Must have an advanced degree OR equivalent training and work experience • May require certification or license in professional field

13. Implementation Plan/Timeline for Conversion • Review of positions eligible for conversion—Summer 2008 (completed) • Board of Visitors approval in August 2008 • Information Sessions September 2008 • Effective for classified staff who choose to convert—January 2009

14. No change in annual pay with conversion • First merit cycle 2009 (normally begins July but this year would be January) • Faculty annual report (FAR) due in summer 2009 • Depending on availability of funds and merit (payout November 2009)

15. Comparison of Policies and Programs(except benefits) See handout • Family Medical Leave Act • Telework and Alternate Work Policy • Tuition Waiver Policy • Educational Leave with pay • Layoff • Severance • Ability to teach classes and be paid

16. Comparison of Policies and Programs(except benefits) cont’d See handout • Probationary Period • Appointment Period • Performance Planning and Evaluation • Compensation • Grievance Policy/Process • Employee Relations/Conflict Resolution

17. Benefits and Leave • Angela King – Associate Director of Benefits • Carolyn Pratt – Benefits Manager • Lynett Cruise – Leave Supervisor

18. Benefit programs and policies remaining identical for Classified and University Staff and Managers and Professionals See handout • Healthcare • Flexible Reimbursement Account • Voluntary Accidental Death and Dismemberment Insurance • Group Life and Optional Life Insurance • Tax Deferred Plans

19. Benefits Same for Faculty and Staff • Converting to Faculty is not a qualifying event • Can’t make changes at time of conversion to Faculty

20. RETIREMENT • Once the position is changed to faculty status, the individual has the choice of the Virginia Retirement System (VRS) or an Optional Retirement Plan (ORP) • 60 days to choose from effective date of status change • Retirement is employer paid

21. Virginia Retirement System(VRS) • Defined Benefit Plan based on highest 36 months of salary, age, and service • 5 years to be vested • Vesting – Minimum period of time needed to qualify for service retirement with VRS • Benefit is 1.7% of average final salary x years of service. Reduction factor applied for early retirement

22. Virginia Retirement Systemcont’d • Cost of Living Adjustments are available after the first full calendar year of retirement • Guaranteed benefit for lifetime • www.varetire.org

23. Optional Retirement Plan(ORP) • Defined Contribution Plan – Benefits based on money accumulated in the account • University contributes 10.4% of pay • Faculty member controls the investment options • Companies: AIG Retirement; Fidelity; TIAA-CREF

24. At Retirement • Can continue health care (both) • Life Insurance continues (both) • Health Insurance Credit (both) • Selection of payout options with VRS • Ex: survivor option, basic benefit

25. Points to Remember • 60 days from change to faculty status to change to an ORP • Irrevocable decision • Retirement is employer paid

26. Long Term Care • Staff and Faculty enrolled in the Virginia Sickness and Disability (VSDP) plan have Long Term Care • All Staff and Faculty may purchase an additional long term care plan at time of employment • After 60 days requires approval of coverage

27. If Changing to Faculty • If choosing the Faculty sick leave plan the Long Term Care policy under VSDP would end • Optional Retirement Plan participants are not eligible for VSDP so not eligible for the Long Term Care • Optional Long Term Care with Aetna will continue

28. Factors to Consider • Is my position regular or restricted? • Do I plan to stay with state employment until retirement? • Do I want a defined benefit versus defined contribution plan?

29. QUESTIONS? • Carolyn Pratt – Benefits Manager Email: cpratt@vt.edu Phone:1-7776 • Angela King – Associate Director of Benefits Email: aking1@vt.edu Phone:1-7774

30. LEAVE OPTIONS • Annual • Holidays • Sick

31. Leave Options (see handout) • Annual leave accruals and pay out/carryover limits for staff and faculty • Holidays • School Assistance and Volunteer Service Leave • Faculty Family Leave

32. Restricted and AY AP Appointments • Restricted Faculty are not eligible to be compensated for unused annual leave at time of separation. • Restricted Staff are eligible to be compensated for unused annual leave at time of separation

33. Sick Leave Plans (see handout) STAFF • VSDP – staff employees employed after January 1, 1999 • Classified Standard Plan – if employed prior to January 1, 1999 FACULTY • Plan A – accrue 10 hours per month • Plan B – 1040 hours – Sick leave is rapidly accrued back to 1040 • VSDP – if already in this plan and remaining in VRS (cannot switch during conversion)

34. Sick Leave Options for VSDP Participants • If remaining in VRS, you may remain in VSDP or change to sick leave Plan B (1040) • If selecting ORP, you will be placed in Plan B • If going to Plan B – Banked sick leave cannot be converted to retirement credit.

35. Sick Leave Options for Standard Sick Leave Participants • You may continue to earn 10 hours per month - Plan A • Select Plan B – 1040 hours

36. Long Term Disability • Staff – • VSDP or • Optional LTD • Faculty • VSDP or • Faculty LTD Plan

37. QUESTIONS? • Lynett Cruise – Leave Supervisor Email: lcruise@vt.edu Phone:1-1237

38. Need More Information? • Contact HR Service Center for information or to schedule an appointment: • 540-231-9331 • Perserv@vt.edu • Chat online at www.hr.vt.edu

39. General Terms and Conditions of A/P Appointments • See Faculty Handbook http://www.provost.vt.edu. (subject to change at any time by the Board of Visitors) • See policies at http://www.policies.vt.edu.

40. Enrollment/Effective date • Enrollment Period • October 1 to December 31, 2008 • Via HR website or in person • Effective Date of conversion • January 10, 2009

41. Once Enrolled • Will receive a Terms of Offer • To be signed and returned to HR • Must provide a college transcript • Will complete benefits paperwork • Will receive a faculty handbook

42. Questions