Rutgers University Faculty Reinvestment Program

Rutgers University Faculty Reinvestment Program

PROGRAM ELIGIBILITY

Eligible participants in the Faculty Reinvestment Program must meet each of these criteria:

  • They must be fulltime tenured faculty members with at least 25 years of service to Rutgers University as of June 30, 2010.

  • They must be at least 65 years of age as of June 30, 2010.

  • They must be a member of the Alternate Benefit Program (a 403(b) program, analogous to 401(k) programs in the private sector). Rutgers faculty who participate in the PERS state pension system are not eligible to participate in this program.

Approximately 300 Rutgers University faculty from all three campuses are eligible to participate in the Faculty Reinvestment Program.

HOW THE PROGRAM WILL WORK

  • Eligible faculty will voluntarily relinquish their tenure and vacate their positions effective July 1, 2010.

  • In exchange, the university will provide each of these faculty members with lump-sum payments based on his or her years of service to Rutgers.

  • Faculty members who volunteer to participate in the program will receive:
  • Approximately one week’s pay for every year of service up to 25 years.
  • Approximately two-and-a-half week’s pay for every additional year of service.
  • Payment will be based on the faculty member’s salary as of July 1, 2010.
  • Salary payments will be made to participating faculty members either in one lump-sum payment or in two installments.

  • This program will be offered for a specified period of time. Eligible faculty have until May 15, 2010, to decide if they will participate.

HOW THE PROGRAM WILL BENEFIT THE UNIVERSITY COMMUNITY

Rutgers University will be able to recruit full-time faculty to fill positions that have been relinquished by faculty who voluntarily participate in the Faculty Reinvestment Program.

This will give the university more flexibility to meet the educational needs of Rutgers students by providing new instructional and research opportunities in emerging disciplines.

PROGRAM COSTS/SAVINGS

This program will not cost the State of New Jersey any money. In addition, the program will have no impact on tuition.

There will be upfront costs as the university makes these lump-sum payments. Each school at the university will absorb the cost of payments to its own faculty within its own budget.

In time, the program can save the university a great deal of money while these positions are vacant and where senior faculty are replaced by junior appointees.

The program will not further burden the state pension system. Rutgers faculty who participate in the PERS state pension system are not eligible to participate in this program.

 

Media Contact: Greg Trevor
732-932-7084, ext. 623
E-mail: gtrevor@ur.rutgers.edu