Chapter IV

EMPLOYEE BENEFITS– TIME, MONEY, AND INSURANCE

Faculty members with appointments of half time or more during any contract year are eligible for most employee benefits. Exceptions to this general rule are normally set out in the appointment contract. However, faculty members with questions about their eligibility for any employee benefits should contact the benefits section in the Office of Human Resources (346-2967).

A. Salary and Salary Administration

Normally, nine-month faculty members receive ten paychecks from the university. One-half month's salary is paid on September 30, a full month's salary is paid on the last working day of the month in October through May, and another half month's salary is paid at the end of June. Twelve-month faculty members receive salary at the end of each of the twelve months.

Nine-month faculty members may arrange for their salaries to be paid out in installments throughout the twelve-month year. Twelve-month pay information and enrollment forms are available in the benefits section of the Office of Human Resources. Enrollment forms must be submitted to the Payroll Office no later than September 20 if employees want approximately equal gross monthly payments for the remainder of the year. Employees may enter the plan no later than October 15 of the plan year, but such late enrollment will result in an unequal monthly distribution. There is no provision for the payment of interest on the deferred salary. Such arrangements may lead to some administrative difficulty if summer income becomes available from another university source–summer session or grant or contract funds, for example.

Nine-month faculty members with research or contract support available for this purpose may arrange to continue having their salaries paid during the three summer months. For information, contact your department or division head or administrative assistant.

Nine-month faculty members are eligible to teach during the summer session, based upon departmental, school and college priorities and faculty availability. Summer session offers a separate contract to the faculty, and summer session pay is not based upon the nine-month salary rate.

According to university policy, salary increases go into effect on July 1, unless the president or the state board declares a different salary increase date. Summer-session pay is not affected by regular year salary increases that go into effect during the summer session. Summer salaries paid from grants and contracts are affected.

General salary increase guidelines for the faculty are set by the State Board of Higher Education, which allocates funds to the various institutions for this purpose. The board often delegates authority to the institution presidents to determine the details of the salary increase process. If a salary increase is allocated "across-the-board," a percentage of salary is allocated to all faculty members whose service has been fully satisfactory.

If a salary increase is to be based upon merit, the merit factors will be the same as those set by university policy and state board rules for other evaluation purposes. These factors are described in later sections of this document.

Salary increase funds are also allocated from time to time to deal with inequities and market factors. When this is the case, the board or the institution sets fairly precise definitions of the salary system problems these funds are designed to address.

B. Draws on Salary

Under certain emergency situations, employees may request an advance of up to 60 percent of their gross pay earned up to the day in the month on which the advance is requested. Requests should be made by completing a payroll assignment request form and a disbursement request form, available in most department offices, and delivering these forms to the university's Payroll Office. Employees requesting a draw on salary should expect to wait a few days before an advance salary check is processed.

On rare occasions, individuals have been erroneously omitted from the payrolls, and so do not receive the paycheck to which they are entitled. In such situations, the Payroll Office will process on request a salary draw of 60 percent on an emergency basis. An emergency check for prior earnings not paid can be prepared within twenty-four hours.

C. Working Hours, Holidays, Vacations, and Sick Leave

Working Hours The state board has delegated the responsibility for determining workloads to the president in its rule on working hours. The president has further delegated this responsibility to the various vice presidents. The state board's rule (OAR 580-21-020) reads as follows:

"Working Hours: The varied nature of the work of faculty members whose duties are administrative, instructional, research, or extension makes it impractical to define the exact number of working hours. All such faculty members are required to give the institution their undivided efforts. Determination of time of service is the responsibility of the president."

As a further guide, the state board has adopted a rule (580-21-025) on professional activities and outside employment that reads as follows:

"Outside Employment: No full-time employee of the Department or of any of the institutions or divisions shall engage in any outside employment which substantially interferes with duties."

(Note: Oregon state agencies often spell "employee" with only one ‘e.’)

As a matter of policy, the University of Oregon has adopted the "one-day-in-seven" rule which places an upper limit on the amount of time a faculty member may spend on non-university related activities, whether paid or unpaid. As the state board's rule says, full-time faculty members are expected to give the institution their undivided effort, but recognizing that faculty members are often called upon as experts and consultants to other organizations and that this kind of activity often redounds directly or indirectly to the benefit of the University of Oregon, the university permits the faculty to participate in outside professional activity that does not exceed one day in seven. This maximum time allowance presupposes that the faculty member's officially assigned responsibilities such as meeting classes and holding office hours will be met, and that approval from the direct supervisor has been obtained.

Holidays The state board has declared the following days as holidays on which the university will be closed and no classes will be held:

Independence Day, July 4

Labor Day, the first Monday in September

Thanksgiving Day, the last Thursday in November

Christmas Day, December 25

New Years Day, January 1

Martin Luther King, Jr. Day, the third Monday in January

Memorial Day, the last Monday in May.

The president may require those employees whose responsibilities are necessary to the continued functioning of the institution to report to work on holidays, but because classes are not held, faculty members are rarely required to be present on holidays.

The president has the authority to declare a holiday and close the institution on Veteran's Day and President's Day. The president traditionally uses allocated discretion to extend the Thanksgiving holiday through the following Friday in lieu of a campuswide February celebration of President's Day.

The governor of Oregon has the authority to declare a "Governor's Holiday" for state employees. When this happens, the president usually uses discretion to require that the faculty and staff use this holiday in connection with the Christmas and New Year's holidays. In all situations in which the president declares a holiday as a discretionary matter, the details of the holiday are well publicized, giving everyone time to make appropriate plans.

Vacations Only faculty members appointed at half-time or more on twelve-month appointments accrue vacation. Vacation is not a benefit accorded to faculty members on less than twelve-month appointments. The state board defines vacation and the allocation of vacation time in its rule OAR 580-21-030. For details about vacation eligibility, see that rule.

Full-time twelve-month faculty members earn vacation on a monthly accrual system at a rate of 15 hours of vacation monthly credited at the end of the month. Eligible part-time twelve-month faculty members earn a proportional amount.

New faculty members start accruing vacation the first of the month following date of hire or the first working date of the month if that is the date of hire, but must wait six months before using accrued vacation.

The maximum accrual allowed is 260 hours, and hours earned beyond that will be lost.

Vacations must be scheduled in consultation with the faculty member's supervisor, who has the authority to deny a faculty member the privilege of taking vacation at any particular time, if the work of the unit would be disrupted. However, all employees are entitled to take their earned vacations, and must be given reasonable opportunities to do so.

Faculty members who are eligible for vacation may wish to consult with the staff in the university's Payroll Office, or the Office of Human Resources/Benefits Section when planning to resign or retire from the university. Earned and credited vacation can make a difference in the final paycheck.

Sick Leave Faculty members appointed at half-time or more are eligible for sick leave. The state board has set out its sick leave policy for the faculty in OAR 580-21-040. A faculty member facing a prolonged period of illness will want to get advice from the staff in the benefits section, Office of Human Resources since the rule is complex and it may be difficult to determine its application to the faculty member’s situation.

The sick leave policy is designed to work with the university's optional long-term disability policy to assure that faculty members appointed at half-time or more can protect themselves against major financial losses due to a long illness. The sick-leave policy has two parts. First, all full-time faculty members accrue sick leave at a rate of eight hours each month during the appointment. Eligible part-time faculty members accrue sick leave proportionally. Full-time nine-month faculty members earn seventy-two sick leave hours each year, and full-time twelve-month faculty members earn ninety-six. Unused sick-leave hours accumulate throughout the period of appointment at the university. There is no limit on how many hours may be accumulated over a lifetime of service.

Long-term disability policies may go into effect after 90 days or 180 days of incapacitating illness. These policies provide coverage for both partial and total disability. While long-term disability insurance is not required, the university urges every member of the faculty to exercise the option of enrolling in the available group policy.

A relatively new member of the faculty will not have had the opportunity to accumulate sufficient sick leave to cover the period of time before disability policies go into effect. Therefore, the university allows faculty members the right to borrow sick leave hours up to a total of 520 hours in a seven-year period, to maintain a salary over the initial period of illness. When the faculty member returns to work, earned sick leave goes to repay the hours loaned.

Unused sick leave continues to accumulate until resignation or retirement. When an employee resigns, sick leave has no monetary value. When an employee retires, the accumulated sick leave may make a difference in the amount of retirement pension one receives. When nearing retirement, faculty members should take advantage of the planning resources available in the Office of Human Resources/Benefits.

D. Parental and Family Leave and Family Support Services

The university’s family support policy complies with the federal Family and Medical Leave Act. It encourages consideration and reasonable accommodation for employees seeking to balance their work, educational, and family responsibilities. Deans, directors, and department heads and supervisors are asked to recognize the existence and importance of family responsibilities, work with employees and students to understand and accommodate their needs, and establish and implement flexible and responsive practices whenever possible to accommodate employee needs in ways that remain consistent with unit goals.

Parental (maternity or paternity) leave is granted upon request as a leave of absence without pay to care for a new baby or child. A minimum of twelve weeks of unpaid leave must be granted if requested. Application for leave without pay should be made in writing to the appropriate department head. Faculty members with sufficient accumulated vacation and sick leave have the option of using these benefits before applying for leave without pay.

OAR 580-21-040(2) describes the appropriate use of sick leave for academic employees. Essentially, sick leave may be used during the time of actual disability due to pregnancy, just as it is used for any temporary disability, and may include pre-birth difficulties, delivery, and post-delivery healing. An employee who is an immediate family relation of a new mother may use accrued sick leave to care for her while she is disabled due to pregnancy or delivery. It is also possible to use sick leave to care for a sick child for a reasonable period of time. By request and with approval, time taken as parental leave normally does not count as probationary service time accumulated toward tenure. Members of the faculty concerned about the potential conflict between the demands of new child raising and the requirements for tenure should contact the provost's office for information about parental leave.

The university's parental and family leave policy also permits faculty members to take leave to care for others in the faculty member's family or household. Requests for reasonable accommodation due to family responsibilities may also include but are not limited to reasonable accommodation in committee meeting times and assignments, flexible work schedules, reserved parking permits, children occasionally in the classroom and workplace, accommodation of space and times for nursing mothers, adjustments to student and faculty deadlines and allocation of resources.

It is possible for those faculty members eligible for employee benefits (such as health, dental, and life insurance) to continue these coverages while on leave without pay. More information on benefits continuation while on parental or family leave and on the federal Family and Medical Leave Act is available from the benefits section of the Office of Human Resources.

E. Military Leave

Military leave with pay, not to exceed fifteen calendar days in any one calendar year, will be granted upon written application and those so serving will not lose any of the rights and benefits to which they are entitled. (For further information see ORS 408.290.) Members of the faculty called to military duty in a national emergency will be granted a leave without pay for the duration of the emergency or for two years, whichever is less.

F. Sabbatical Leave

A faculty member at the University of Oregon is normally eligible to request a sabbatical leave after accumulating six or more full-time years of service. Part-time service of half-time or more may also count in accumulating time toward the sabbatical. Individuals with part-time appointments or those whose appointments have included a mixture of full and part-time service should read the state board's rules on eligibility for sabbatical leave set forth in OAR 580-21-200 through OAR 580-21-240. The text of the rules is set forth on the back of the sabbatical leave application form. If you have questions about your eligibility for sabbatical leave, check with the staff in the Office of Academic Affairs at 346-2041. Academic Affairs has been charged with monitoring the entire sabbatical leave program and can help the faculty with their questions about the program and its requirements.

Sabbatical leave is a paid period of released time designed to reinvigorate and restore one's academic energies, and to provide a base for future intellectual development and achievement. During the leave period, a faculty member may receive between 50 and 100 percent of salary depending on the length of the leave and the school, college or other administrative affiliation.

Sabbatical leave is not a right of employment, nor is it a reward for excellent performance and services rendered. Sabbatical leave is a privilege awarded based upon an assessment of the contribution that will be made to the university (and hence to the state) as a result of the leave. If the work to be conducted while on leave will strengthen the eligible faculty member’s ability to serve the mission and purpose of the university in the future, a teaching faculty member's application for sabbatical leave will usually be approved. Applications for sabbatical from members of the administrative and research faculty are more rarely approved.

Even when an eligible faculty member has an excellent sabbatical plan that meets all of the recognized criteria, the leave may be denied should the faculty member's absence at that particular time cause dislocation within the program. It is up to deans and department heads to assure the continued high quality of the academic program, and it is up to directors to assure the smooth operation of administrative units. Therefore, a request for sabbatical might be denied to assure that a solid contingent of continuing faculty members is available on an ongoing basis. When a faculty member is requested to postpone a leave that would otherwise be approved, some adjustment in accumulating eligibility for future leaves is possible.

Applicants for a sabbatical leave must present a careful statement of plans for the leave period, and a justification of the leave in terms of the criteria stated above. The request should be accompanied by an official application form (available in departmental offices or from the Office of Academic Affairs), a curriculum vita, and a description of current teaching, research, and other professionally relevant activities.

Before the beginning of a sabbatical leave, faculty members are strongly urged to contact the Office of Human Resources benefits section about coverage while away from campus. This is particularly important for faculty members planning to travel abroad.

After returning from leave, the faculty member must submit a written report of what was accomplished during the leave. This report is needed both for the record and as a justification of the value of the sabbatical leave program. A report is to be filed promptly upon return in the office of the appropriate vice-president.

Taking advantage of the privilege of sabbatical leave incurs an obligation on the faculty member to continue to serve on the university's faculty for one year after returning from the leave.

G. Leaves Without Pay

A faculty member may apply for a leave without pay for either personal or professional reasons. Leaves of one year or less are routinely approved so long as the faculty member's absence does not cause real dislocation within the program. However, some schools and departments within the university have more stringent requirements than others.

A period of approved leave without pay does not break the continuity of appointment, but time spent on leave without pay does not count toward eligibility for sabbatical leave and retirement.

Insurance benefits are not provided to members of the faculty on leave without pay unless special arrangements are made before the leave commences. Contact the Office of Human Resources benefits section to determine whether your coverage can be maintained.

When a faculty member is successful in winning grant support for a period of research leave, it is sometimes possible to channel the grant funds through the university, and thereby continue paid appointment, rather than taking the funds directly from the granting agency or foundation and spending the time on leave without pay. Check with the staff in the research office (346-5131) to see if your grant award would be eligible for this treatment.

Winning certain prestigious but low-paying fellowships may qualify faculty for a university subsidy of up to 30 percent of annual salary and for a continuation of fringe benefits while on leave. Check with the appropriate dean’s office for more information about this special benefit.

H. Workers’ Compensation

University of Oregon employees, including faculty, are covered by workers’ compensation insurance through the State Accident Insurance Fund (SAIF) Corporation. This coverage is for occupational injury or illness that arises out of, or in the course and scope of employment.

The university has procedures for reporting and filing workers’ compensation claims. If an accident occurs, your department head should immediately complete the Supervisor’s Accident/Incident Report (SAIR). If the accident requires immediate medical care, a workers’ compensation claim form (801) should be filed as soon as possible. Your department office manager can provide you with these forms.

Benefits provided by SAIF Corporation include temporary total disability payments, which are computed as two-thirds of the average weekly wage up to a maximum established by the legislature each July. Medical expenses (with some exclusions) as well as mileage and prescription costs will be reimbursed.

An injured employee may not receive both salary compensation from workers’ compensation and sick leave pay when such payment results in the claimant’s receiving more than the regular monthly salary. If through error you should receive payments from both sources, you will be required to repay any over-payments.

Upon receipt of a claim form, the Office of Human Resources will provide you with an information packet regarding workers’ compensation benefits and provide answers to the most commonly asked questions.

Insurance coverage for volunteers is administered as a separate program through the business affairs office.

I. Insurance Coverage

The university offers all its employees appointed for at least 90 days, or one academic term at half-time, or more, a comprehensive package of employee benefits and services. New employees will receive a package of benefits information that describes the options and coverage available. New faculty members must enroll in the benefits programs within 60 days of the beginning of their appointments.

The benefits package includes health, dental, life, accident, and disability insurance, retirement programs, tax-deferred programs, automatic savings, and pre-tax deductions for dependent care. In many cases, coverage is also available for dependents. Because there are so many choices, faculty members are encouraged to attend the regularly offered benefits orientations to ensure that they are making the best selections. New faculty members and faculty members with special questions should discuss the available programs with the professionals in the Office of Human Resources benefits section (346-3085). Members of the faculty nearing retirement should also contact the benefits staff and attend one of the regular retirement planning seminars sponsored by the university.

The Public Employee Benefits Board (PEBB) is the state agency authorized to develop insurance plans for the faculty. The PEBB benefits program offers faculty a menu of plans and options. Benefit choices and options are regularly adjusted with program changes announced in the fall for the future calendar year.

Each employee enrolled for benefits receives a state-contributed budget that may be used to purchase a set of insurance coverage or to provide various forms of dependent care. An employee might select a portfolio of insurance that costs more than the state contribution, in which case the difference will be deducted from salary. If a faculty member's appointment drops below half-time in any academic term or ninety-day period, he or she will lose insurance coverage and the state's contribution.

Health Insurance The program offers health insurance through an indemnity plan and several health-maintenance organizations (HMOs). Various degrees of coverage are available and employees may insure only themselves, themselves and their spouses, or themselves, their spouses and their children. Employees are required to have health-insurance coverage for themselves.

Dental Insurance Faculty members have several choices for dental coverage as well. Spouses and children are also eligible. There are dental health-maintenance organizations (DMOs) as well as insurance reimbursements to individual practitioners. Some of the plans offer coverage for some orthodontia.

Faculty members are required to have dental insurance for themselves.

Life Insurance Each faculty member is required to purchase $5,000 of life insurance. Employees may purchase up to $400,000 worth of term life insurance through the university's benefits program. Life insurance is also available for spouses and other dependents.

Disability Insurance The university offers both short- and long-term disability insurance. Employees can choose from various benefit amounts calculated as a percentage of monthly salary. Disability protection is optional, but the university urges all its eligible employees to consider enrolling for disability protection.

Accidental Death and Dismemberment Insurance is available to provide lump-sum payments in the case of accidental death or the accidental loss of body parts and major functions. Employees may choose from a variety of levels of coverage.

J. Retirement and Other Savings Programs

Oregon Public Employees Retirement System (PERS)/Optional Retirement Plan After six months of employment, university faculty members who meet the eligibility requirements must make a one-time, irrevocable decision to enroll in one of two retirement plans. New faculty members can elect to participate in the Oregon Public Employees Retirement System (PERS) or an Optional Retirement Plan (ORP) as an alternative to PERS.

The ORP is intended to give faculty members more choice and portability in their retirement plans and greater control over how retirement funds are invested. ORP retirement funds can be invested with four companies (two insurance and two mutual funds) available nationwide.

It is mandatory that faculty members participate in either the PERS or the ORP plan. When eligible, faculty members are encouraged to attend the PERS/ORP meeting offered by the benefits section of the Office of Human Resources (346-3085) to help them choose the plan that best fits their needs.

Benefits paid from the ORP and PERS are funded by both employee and employer contributions and earnings. The 1981 Legislature set employee contributions at 6 percent of salary. The university currently pays the 6 percent employee contribution for its faculty members, meaning there is no reduction in pay. In addition, the university also pays an employer contribution which can vary depending on the amount actuaries determine is needed to fund the retirement system.

Faculty members are vested in the retirement plans once they make contributions in any part of five calendar years or if they are age fifty. Faculty members who leave state employment before they are vested are entitled only to a reimbursement of their employee contributions plus earnings (employer money would be forfeited). Members who leave after they are vested will be eligible to receive retirement benefits from both the employee and employer accounts if certain requirements are met.

The Office of Human Resources sponsors regular retirement planning seminars for faculty members who are several years from retirement and for those nearing their planned retirement date. Personal consultations with staff in the benefits section of the Office of Human Resources are available and recommended.

Other Money Management Options: A number of savings and investment organizations offer employees the option of deferring taxation on some compensation while building savings for retirement or other future needs through the university. The plans and their past performance vary, and a decision about participating should be made only after investigating the various programs available. The Office of Human Resources benefits section has information available on all options, but leaves the decision to participate strictly up to the employee.

K. Dependent Care Flexible

Spending Accounts

Employees with children needing day care or other dependents who need care while the employee is at work may set up a Flexible Spending Account (FSA). Under IRS regulations, up to $5000 per year of an employee's pre-tax salary may be set aside to cover the costs of eligible dependent care. The funds are held centrally and employees with such accounts are reimbursed for their dependent-care expenses from the funds in their accounts. For employees with significant eligible dependent-care responsibilities, the FSA can be of real money saving assistance. Because the plan is based upon Internal Revenue regulations, the uses to which the FSA funds are put must meet federal requirements. Check with the benefits section to find out if an FSA makes sense in your situation.

L. Liability Coverage

If someone alleges that he or she was injured because of the acts or omissions of a faculty member or other university employee undertaken in the normal scope of employment, the state of Oregon normally will provide legal assistance and indemnification for damages up to certain limits. Liability coverage is not available for activities outside the scope of employment, or for any willfully inflicted injuries.

A little warning: Serving alcohol to students, regardless of age, or to anyone else at a departmental or class function does not fall within the normal scope of employment. In Oregon, injuries resulting from intoxication are the responsibility of the person serving the alcohol.