At separation of employment, there are many questions employees have regarding their final pay, benefits continuation, and other topics. The following information should assist in providing guidance on the most commonly asked questions. Because the University participates in benefits plans through Public Employee’s Benefits Board (PEBB), Public Employees Retirement System (PERS) and the Oregon University System (OUS), there may references in this information to one of these organizations for additional details of benefits upon separation.

Final Pay

Resignation Notice: The University prefers to receive a minimum of two weeks notice of an employee's resignation (one month for management level employees) whenever possible. You may either complete a letter of resignation stating the effective date and reason for leaving or complete the Employee Status Change form. Both the direct supervisor and Human Resources should receive notice of an employee's resignation. Before an employee leaves PSU, it is important that the supervisor and employee complete the Supervisory and Employee Exit Checklist and forward it to HRC.

Time sheet or leave roster: To ensure timely final pay, a final time sheet or leave roster must be received in the Office of Human Resources no later than 5:00 p.m. one day prior to your last day with the University.

Vacation Leave: Balances paid out on vacation leave are paid according to your employment status as follows: Twelve-month faculty members are paid earned, unused vacation leave up to a maximum balance of 180 hours. Classified employees are paid earned, unused vacation leave up to a maximum balance of 250 hours. As required by the IRS, these payouts are subject to special tax withholding rates of 25% Federal, 9% State, 6.2% Social Security and 1.45% Medicare.

Compensatory Leave Accounts: If you are overtime eligible, you are entitled to full payment of all earned, unused compensatory time.

Other Leave Accounts: Sick Leave, Personal Leave and Exchange Time balances are not paid upon separation. Employees' sick leave balance will be reinstated if rehired within 2 years of the effective date of separation.

Twelve-Month Payroll Redistribution Account Balances: The twelve-month redistribution account balance of nine-month faculty who chose to redistribute their pay over a twelve-month period will be paid upon separation.

Healthcare and Other Benefits

If you work at least 80 hours of the pay period in which your employment ends, your group insurance coverage will continue until the end of the following month. If you work less than 80 hours in the pay period in which your employment ends, your group insurance coverage will stop at the end of the month in which you separate employment.

Medical, Dental, and Vision: Under the Consolidated Omnibus Budget Reconciliation Act of 1985 (COBRA) covered employees and their dependents may be eligible to continue medical and/or dental coverage generally for a period of up to 18 months at the employees own expense. You will receive information about the COBRA program by mail to the home address we have on record from BenefitHelp Solutions (BHS). You will have 60 days from the date on the notice from BHS to enroll in COBRA coverage. You will be required to pay the premiums plus an additional 2% administrative fee during the months you continue coverage. You must maintain a consistent, timely payment of insurance premiums in order for coverage to continue. For additional information, you may call BenefitHelp Solutions at 1-800-822-3173. You can also find additional information and the COBRA rates on the PEBB website.

The Standard Life and Disability Coverage: Continuation coverage is available for life insurance through portability and conversion options. Application for the portability and conversion options must be made directly to The Standard (formerly Standard Insurance Company) within 31 days of the date your insurance ends. Application forms are available from PEBB at http://pebb.das.state.or.us/DAS/PEBB/forms.shtml. Scroll down to The Standard forms section. For information about your right to continue coverage, contact The Standard at 1-800-242-1888. The portability and conversion options are summarized below.

Portability Option: If you are separating for reasons other than total disability, you may continue or "port" your optional employee and spouse/domestic partner life insurance coverage (not the basic $5,000 or dependent life policies.) Porting allows you to continue the group term life coverage available through The Standard at the same group rates plus a billing fee. Premiums are adjusted annually based on your age.

Conversion Option: If separation of employment is due to a disability, you have the right to convert your basic life, optional life, spouse/domestic partner life and dependent life insurance to whole life insurance without evidence of insurability. You may also qualify for a lifetime premium waiver.

Disability coverage and Accidental Death and Dismemberment coverage is not portable and cannot be continued after separation from PSU.

Minnesota Mutual: Covered employees under Minnesota Mutual life insurance benefits may continue coverage at the same rates by paying the company directly within 31 calendar days of the date the coverage ends. To continue this coverage, please call 1-800-252-5152. Employees who separate employment due to disability may be eligible for a premium waiver from Minnesota Mutual.

Short-term Disability (STD), Long-term Disability (LTD), Accidental Death & Dismemberment (AD&D) Insurance and PERS Disability Benefits: These policies do not offer continuation or conversion rights to separating employees. Please note: If you are separating your employment due to disability and you are a covered employee under these insurance protections, contact Joanne Clancy at 503-725-3749 for the STD and LTD claim forms to apply and begin payment for benefits. In addition, if you are a PERS member and are separating due to disability, please contact PERS at 1-888-320-7377 as you may qualify for disability benefits as well as early retirement benefits.

Long Term Care Insurance: Employees who are participating in the Unum Long Term Care Insurance plan may elect converted coverage. This means that the same coverage you had while employed can be continued on a direct pay basis. Employees who wish to continue this coverage must request converted coverage within 60 days of the date the group coverage ends and pay premiums directly to Unum. To apply and begin premium payments or to get answers to other questions contact Unum at 1-800-227-4165. For additional information, visit the PEBB website.

Dependent Care or Health Care Flexible Spending Account: Monthly amounts that have been deducted to fund the Flexible Spending Accounts (FSA) will stop at separation. Funds remaining in a separated employee’s account can be withdrawn to cover qualified expenses that were incurred as an active employee. You will have 90 days beyond the end of the calendar year to submit claims for reimbursement from your account. Any money left in your account(s) will be forfeited because of the IRS "Use It or Lose It" rule. If you have questions or concerns, please contact ASIFlex at 800-659-3035.

Important: If you do not want your Dependent Care FSA contribution to be taken from your last paycheck, your request to stop the final deduction must be submitted to Human Resources at least 2 weeks before your last day of employment.

Employee Assistance Plan (EAP-Reliant Behavior Health): This University sponsored confidential counseling provides services for you that may help you in coping with this transition as well as other issues facing you, family members and other living in your household. This program is available to benefits eligible employees while your benefits are in effect. You may contact them at 1-866-750-1327.

Retirement Plans

If you are separating from PSU due to retirement, you may call Joanne Clancy to schedule a meeting to discuss your retiree health plan options at 503-725-3749. You may also wish to refer to the Worksheet for Considering Retirement.

Public Employees' Retirement System (PERS): For information about retiring as a PERS covered employee, contact PERS at 1-888-320-7377 and/or refer to their web site at http://oregon.gov/PERS. If planned retirement is within 90 days, an employee may sign up for a Retirement Application Assistance Session by visiting the PERS web site at http://oregon.gov/PERS and scheduling an individual Retirement Application Assistance Session (RAAS) with a PERS counselor.

Optional Retirement Plan (ORP) – 401(a): Vested employees may leave employee and employer account funds in the ORP and the accounts will continue to realize investment gains or losses; or vested employees may choose to withdraw their employee and employer account balances. The Oregon University System (OUS) Controller's Office notifies the ORP companies of employees who have separated employment.

Non-vested employees forfeit the employer account, but may leave their employee account balance in the ORP, where it will continue to realize investment gains or losses; or they may withdraw the employee account balance. For more information about vesting and distributions upon termination, refer to “Choices: Retirement Plan Decision-Making Guide (PDF file)” at this web site http://www.ous.edu/about/redesign/orp.php.

Oregon Savings and Growth Plan: If you have been making payroll deductions for the Oregon Savings Growth Plan, contact the program coordinator at 1-800-365-8494. For more information, you may check this web site http://oregon.gov/PERS/OSGP/index.shtml.

Tax-Deferred Investment (TDI) Plan – 403(b): Contributions to the TDI plan end when your pay ends. Contact your ORP Fund Sponsor regarding your distribution options. Before deciding whether or not to withdraw your funds from your accounts, you may wish to consult your tax adviser for information regarding tax implications and penalties.

Other Information at Separation

Unemployment Benefits: Based on the circumstances of your separation from PSU, you may be eligible to receive benefits through the State of Oregon Employment Department. You will need to apply for these benefits at the local Employment Department office. The downtown Portland office is located at 1433 SW 6th Ave. (503-731-3429). A list of the local State of Oregon Employment Department Offices is available online at www.emp.state.or.us.

Exit Interviews: You are invited to participate in an exit interview. This will be an opportunity to offer your comments about PSU as a place to work. Please call the Human Resources Front Desk at 503-725-4926 for information on exit interviews.