Layoffs

Layoff Policy

Please note: In order to use and apply this policy you must first consult and obtain authorization from Human Resources.

To view this policy in a printable PDF, please download the Non-Faculty Staff Layoff policy.

Policy Intent

This policy has been adopted to replace existing policies covering these issues.

There may be times when the University deems it appropriate to reduce the number of staff positions in order to reduce, reorganize or reallocate financial resources or because of reduced work for the positions in question.

Reason for Policy

The purpose of this policy is to provide guidelines for non-faculty staff layoffs.

Who Should Read This Policy

This policy applies to regular full-time and regular part-time staff.

Staff within University collective bargaining units should also refer to their collective bargaining agreements and may wish to discuss with their steward or union representative. In addition, some collective bargaining agreements reference University policies that cover non-unit employees and this policy qualifies as such a reference policy.

Policy Text

Definitions

Layoff

Wherein the position in question is eliminated or the position in question is to be changed as to essential needs or functions.

Layoff

Payments Made on Layoff

Whatever accrued and unused vacation time remain will be paid as a lump sum payment and will include applicable federal and state tax deductions.

Whatever unpaid wages remain will be paid on the date of layoff/termination in accordance with University policy. Additionally, severance payouts as salary continuation may be provided to staff who have satisfactorily completed their probationary period. Laid off employees who have completed a general release agreement as provided by HR and are in good standing will be eligible for severance according to the schedule below. Severance will be paid in equal amounts during the “subsequent pay periods”.

*Healthcare Consolidated Omnibus Budget Reconciliation Act (COBRA) includes medical, dental, vision, and EAP.

RE-EMPLOYMENT ELIGIBILITY AFTER LAYOFF

In addition, staff who receive severance may thereafter apply for posted vacant University positions in the regular course of the position application process. There is no preference or guarantee. Laid off staff who are rehired within six months from their last day of work will retain the previous date of hire from their last position. Staff who are rehired thereafter must complete a probationary period of one year. Staff who return to work after a break in service exceeding six months will not be considered rehires and will be given a new date of hire. These staff must complete a probationary period. All rehired staff must fulfill applicable waiting periods for benefits eligibility.

Benefits information after layoff

Staff who are subject to layoffs are eligible for certain benefits during the severance period as follows:

Medical, Dental, Vision, and EAP:

Employee coverage in group medical, dental, vision and Employee Assistance Program (EAP) plan(s), and employee contributions, will terminate as of the last day of the month of the layoff date. Thereafter, USF will subsidize a staff member's medical, dental, vision and EAP benefits, as applicable, via COBRA during the healthcare continuation period as mentioned in the above table.

Staff will automatically receive a COBRA packet in the mail from the University’s COBRA vendor. Staff must complete the COBRA Election Form and submit it back to the vendor. The vendor will reinstate coverage and the subsidy will be applied. Coverage cannot be reinstated until the COBRA Election Form is completed and returned to the vendor. Staff must ensure that their address is up to date in USFWorks prior to their last day of work so that they receive their COBRA packet and all other mailed documents. When the COBRA subsidy (healthcare continuation period) ends, staff may continue COBRA coverage by making monthly premium payments directly to the vendor for up to the remainder of their COBRA eligibility period.

If the staff member was enrolled in the medical waiver plan, this will end on the last day of work.

Dependent Care Flexible Spending Account (FSA) and Childcare Subsidy

Employee contributions to Dependent Care FSA and University Childcare Subsidy contributions will end on the last day of work. Staff can continue to incur expenses until the end of the plan year based on their year-to-date balance on their last day of work. They have until March 30 of the following year to submit claims for eligible childcare expenses incurred between their effective date in the plan and the end of the plan year.

Healthcare Flexible Spending Account (FSA)

Healthcare FSA benefits end on the last day of work. Staff have 60 days from their last day of work to submit healthcare claims for previously incurred eligible expenses. Staff who have underspent* the funds in their Healthcare FSA account will be offered to continue with Healthcare FSA under COBRA. If they have overspent, they will not be offered to continue with Healthcare FSA under COBRA. COBRA subsidy does not apply to Healthcare FSA.

*’Underspent’ means that based on a staff member’s last day of work, they have contributed more to their Healthcare FSA through payroll deductions than the amount that has been reimbursed to them from their Healthcare FSA.

Retirement

University contributions to the 401(a) Defined Contribution Plan end as of the last day of work. Staff contributions to the 403(b) Voluntary Retirement Plan end as of the last day of work. Retirement Healthcare Savings Plan employer/employee contributions end as of the last day of work. Per plan documents, there are vesting requirements to retain access to employer contributions made to the 401(a) Defined Contribution Plan and Retirement Healthcare Savings Plan.

Life and Accidental Death & Dismemberment (AD&D) Insurance

Basic life and AD&D, voluntary term life, and voluntary AD&D insurance coverage ends on a staff member’s last day of work. Staff may convert to an individual policy by completing the conversion application and remitting payment directly to the University’s life/AD&D insurance vendor. Conversion paperwork will automatically be mailed to the employee by the vendor. The vendor must receive the conversion application and payment by the deadline noted in the conversion packet.

Long-Term Disability (LTD)

LTD insurance will end on last day of work. LTD is not eligible for conversion.

Tuition Benefits

You or your dependents are eligible to complete the semester in which the layoff occurs. If you or your dependents are enrolled in graduate courses, you will still be responsible for any remaining taxes for the semester. For questions, contact tuitionremission@usfca.edu.

Commuter Benefits

Employer and employee contributions to Commuter Benefits will end as of the last day of work.

Unemployment Benefits

Visit File for Unemployment to learn how to apply for benefits. 

Contact Information

Benefits Vendors: