Policy 53 - Retirement Allowances

Approved Executive Committee of the Board of Governors X2007.3

RETIREMENT ALLOWANCES

PRINCIPLE

1. This policy defines the eligibility requirements and payment conditions governing support staff retirement allowances.
 
SCOPE OF POLICY

2. This policy applies to all non‑unionized support staff members holding a regular position at the time they retire. Other support staff members are governed either by their employment contract or by their collective agreement.
 
ELIGIBILITY
 
3. Clinicians hired in “geographic full‑time positions” are not eligible for retirement allowances.
 
4. Term employees (including those participating in the pension plan) are not eligible for retirement allowances.
 
5. Support staff members paid through research grants do not automatically receive a retirement allowance. They may be offered an allowance if the grant conditions permit and if the budget can cover the allowance amount.
 
6. Support staff members who are on long‑term disability leave at the time they retire are not eligible for retirement allowances.
 
7. Support staff members who are on unpaid leave at the time they retire are not eligible for retirement allowances.
 
DEFINITIONS
 
8. a) Standard salary of the position
 
The standard salary for the salary class to which the retiring employee's position belongs, based on the pay scale in effect as of May 1, 2003 (see Appendix A of this policy).
 
      b) Multiplication factor
  • Figure equaling .004 for staff under 60 years old or not having reached “factor 90”
  • Figure equaling .006 for staff 60 and over or having reached “factor 90” between age 55 and 60
       c) Factor 90

When adding the employee's age (expressed in years, months and days) and his or her years of contribution in the pension plan (expressed in years, months and days) gives a total of at least 90.  

       d) Number of years of service at the University

Total number of years of active service at the University of Ottawa (expressed in years, months and days). The total excludes pension‑credit years from other employers, years spent on unpaid leave and years of service previous to continuous service at the University.
 
       e) Number of years of service remaining before normal retirement age

Number of years of service the employee has left before reaching age 65, that is, normal retirement age (expressed in years and months). This figure always equals 5 (and no more) for staff between the ages of 55 and 60; it then goes down progressively between the ages of 60 and 65, finally dropping to zero at age 65.
 
ALLOWANCE FORMULA
 
9. Eligible employees retiring between the ages of 55 and 65 receive a retirement allowance whose amount is determined according to the following formula:
 
[Standard salary of the position] x [multiplication factor] x [number of years of service at the University] x [number of years of service remaining before normal retirement age]
 
PROCESS
 
10. In compliance with Policy 9a), staff members who take one or more unpaid leaves while employed at the University have their number of years of service adjusted accordingly.
 
11. Retirement allowances are paid through faculty and service budgets.
 
12. According to the Income Tax Act, a portion of the allowance may be tax‑exempt.
 
13. To receive their retirement allowance, employees in salary classes I through 9 must give at least three months' notice of their departure, while employees in classes 10 through 17 must give at least six months' notice. The notice is irrevocable. That said, all employees are encouraged to provide the longest possible notice, to help their faculty or service with both financial and succession planning.
 
14. Retirement allowances are paid within one month of the employee's departure.
 
INTERPRETATION AND APPLICATION
 
15. The Director of the Human Resources Service is responsible for interpreting this policy. Faculty and service authorities are responsible for its application, together with the Director of Human Resources.
 
EXCEPTION
 
16. Any exceptions to this policy require written approval from the Administrative Committee.

Published January 16, 2007
 
(Human Resources Service)

APPENDIX A

SALARY STRUCTURE 2003-2004
35 HOURS/WEEK
Support Staff
 
GRADE
PTS
%
MINIMUM $
STANDARD $
MAXIMUM $
PTR 2%
1
92-108
90%
22,746
25,273
27,800
505
2
109-127
89%
23,948
26,908
29,598
538
3
128-147
88%
25,196
28,631
31,494
573
4
148-177
86%
26,311
30,595
33,654
612
5
178-209
85%
28,373
33,380
36,718
668
6
210-244
84%
30,605
36,435
40,078
729
7
245-286
83%
33,073
39,847
43,832
797
8
287-335
81%
35,552
43,891
48,280
878
9
336-399
80%
39,211
49,013
53,914
980
10
400-459
80%
43,815
54,768
60,245
1,095
11
460-540
80%
49,253
61,566
67,723
1,231
12
541-634
80%
55,444
69,305
76,235
1,386
13
635-745
80%
62,407
78,009
85,810
1,560
14
746-875
80%
69,679
87,099
95,809
1,742
15
876-1025
80%
76,989
96,236
105 859
1 925
16
1026-1200
80%
84,126
105,157
115 673
2 103
17
1201-1405
80%
90,023
112,528
123 781
2 251
 
APPENDIX A

SALARY STRUCTURE 2003-2004
36.25 HOURS/WEEK
Support Staff
 
GRADE
PTS
%
MINIMUM $
STANDARD $
MAXIMUM
$
PTR 2%
1
92-108
90%
23 558
26 176
28 793
524
2
109-127
89%
24 803
27 869
30 655
557
3
128-147
88%
26 095
29 654
32 619
593
4
148-177
86%
27 251
31 687
34 856
634
5
178-209
85%
29 386
34 572
38 029
691
6
210-244
84%
31 698
37 736
41 509
755
7
245-286
83%
34 255
41 271
45 398
825
8
287-335
81%
36 822
45 459
50 005
909
9
336-399
80%
40 611
50 764
55 840
1 015
10
400-459
80%
45 380
56 724
62 397
1 134
11
460-540
80%
51 012
63 765
70 141
1 275
12
541-634
80%
57 424
71 780
78 958
1 436
13
635-745
80%
64 636
80 795
88 875
1 616
14
746-875
80%
72 168
90 210
99 231
1 804
15
876-1025
80%
79 738
99 673
109 640
1 993
16
1026-1200
80%
87 130
108 913
119 804
2 167
17
1201-1405
80%
93 238
116 547
128 202
2 331
 
APPENDIX A

SALARY STRUCTURE 2003-2004
37.5 HOURS/WEEK
Support Staff
 
GRADE
PTS
%
MINIMUM $
STANDARD $
MAXIMUM
$
PTR 2%
1
92-108
90%
24 370
27 078
29 786
542
2
109-127
89%
25 658
28 830
31 713
577
3
128-147
88%
26 995
30 676
33 744
614
4
148-177
86%
28 191
32 780
36 058
656
5
178-209
85%
30 399
35 764
39 340
715
6
210-244
84%
32 791
39 037
42 941
781
7
245-286
83%
35 436
42 694
46 963
854
8
287-335
81%
38 091
47 026
51 729
941
9
336-399
80%
42 011
52 514
57 766
1 050
10
400-459
80%
46 944
58 680
64 548
1 174
11
460-540
80%
52 771
65 964
72 560
1 319
12
541-634
80%
59 404
74 255
81 681
1 485
13
635-745
80%
66 865
83 581
91 939
1 672
14
746-875
80%
74 656
93 320
102 652
1 866
15
876-1025
80%
82 488
103 110
113 421
2 062
16
1026-1200
80%
90 135
112 669
123 936
2 253
17
1201-1405
80%
96 453
120 566
132 622
2 411
 
APPENDIX A

SALARY STRUCTURE 2003-2004
40 HOURS/WEEK
Support Staff
 
GRADE
PTS
%
MINIMUM $
STANDARD $
MAXIMUM
$
PTR 2%
1
92-108
90%
25 995
28 884
31 772
578
2
109-127
89%
27 369
30 752
33 827
615
3
128-147
88%
28 795
32 721
35 994
654
4
148-177
86%
30 070
34 965
38 462
699
5
178-209
85%
32 426
38 148
41 963
763
6
210-244
84%
34 977
41 640
45 804
833
7
245-286
83%
37 798
45 540
50 094
911
8
287-335
81%
40 631
50 161
55 178
1 003
9
336-399
80%
44 812
56 015
61 617
1 120
10
400-459
80%
50 074
62 592
68 852
1 252
11
460-540
80%
56 289
70 361
77 397
1 407
12
541-634
80%
63 364
79 205
87 126
1 584
13
635-745
80%
71 323
89 153
98 068
1 783
14
746-875
80%
79 633
99 542
109 496
1 991
15
876-1025
80%
87 987
109 984
120 982
2 200
16
1026-1200
80%
96 144
120 180
132 198
2 404
17
1201-1405
80%
102 883
128 604
141 464
2 572
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