Handbook of Operating Procedures 2-2420

Modified Service and Phased Retirement for Faculty

Effective February 13, 2024
Executive Sponsor: Executive Vice President and Provost
Policy Owner: Senior Vice Provost for Faculty Affairs

1. Policy Statement

Retired faculty may hold a part-time appointment at the University when such employment benefits the individual faculty member and the University.

2. Reason for Policy

Part-time employment of a retired faculty member may provide significant benefit to the University in meeting its professional goals and mission.
 

3. Scope & Audience

This policy applies to faculty members who have retired from service at The University of Texas at Austin. It is intended to provide clarity for faculty, chairs, deans and administrative staff who support the mission of the University.

4. Definitions (specific to this policy)

Retiree:

Any faculty member who voluntarily terminates employment with the University and who meets the service requirements to retire from the University and elects to retire under the Teacher Retirement System or the Optional Retirement Program.

Modified Service Appointment:

A partial (part-time) appointment held without tenure by a retiree for a specified period of time after full retirement.

Phased Retirement:

An option for retiring tenured faculty to engage in approved part-time modified service appointments  for a specified period of time after full retirement.

Phased Retirement Contract:

A plan for phasing a 100% tenured faculty appointment to part-time service following full retirement. The plan will include the terms involved, the percentage of appointment, the workload and academic duties, and compensation.

Supervisor:

The head of the relevant faculty unit, such as department chair for a department or dean in a non-departmentalized college or school.

Faculty Governance Committee:

A Budget Council or Executive Committee, whichever is the relevant faculty governance body in an academic unit.
 

5. Website (for policy)

https://secure2.compliancebridge.com/utexas/public/getdoc.php?file=2-2420
 

6. Contacts

7. Responsibilities & Procedures

As provided in Regents’ Rule 30301, no faculty member employed by The University of Texas at Austin shall be required to retire because of age. The age of retirement is at the discretion of the individual.

The University may appoint faculty who have retired to modified service. Recommendation for and appointment to modified service shall be made only if the service of the individual is in the best interest of the University.

Total compensation during Phased Retirement and during modified service will be based on the academic rate at the beginning of the period and determined by the percent effort of the appointment. Increases in compensation, if any, will be based on merit in accordance with regular salary policies for academic appointments.
 

1. Modified Service Appointments

1. Requirements

1. Appointment to modified service shall be without tenure and for no more than half-time, and is dependent upon requirements of the individual faculty member's retirement program.
2. Appointments to modified service may not exceed one academic year and shall terminate at the end of the stated period of appointment without the notification of non-renewal required by Regents’ Rule 31002 for other nontenured faculty.
3. Appointment to modified service may be renewed for successive terms of up to one academic year if the University determines that such an appointment would be of significant benefit to the University.

2. Approval Procedures

1. A retiree who wishes to be considered for appointment to modified service shall make their request in writing to their supervisor. The supervisor shall share their recommendation with the dean, who will decide whether to approve the modified service appointment request. The dean may approve an appointment request if they find that the appointment would be in the University's best interest.
2. Requests for renewals of modified service appointments shall be submitted by the faculty member prior to the start of the year for the renewed modified service appointment. The same recommendation and approval process is required.

3. Restrictions

1. A faculty member on modified service shall not be a member of a Faculty Governance Committee, nor be elected to serve on Faculty Council or any committee of the faculty to which members are elected by the faculty.
2. Voting status in the General Faculty shall be retained, but voting status in the relevant department and college/school shall not be retained. These rules apply to all individuals regardless of the source of funds from which an individual is paid.
3. If the faculty member is retiring under the Teacher Retirement System, they must be removed from the University’s payroll for at least one full calendar month following the effective date of retirement and before commencing their modified service appointment. The faculty member is responsible for completing all necessary Texas Retirement System forms and adhering to all employment limitations for retirees as defined by the Teacher Retirement System.

8. Forms & Tools

 Two Attachments have to be completed including the Phased Retirement Contract (Attachment A) and the Procedures For Waiver Under the Age Discrimination in Employment Act of 1967 and the Older Workers Benefit Protection Act (Attachment B).

Attachment A - Phased Retirement Contract

Attachment B - Procedures for Waiver