This policy has been developed to support a staff members’ transition to retirement and to assist the University implement effective succession planning.
2. Policy Statement
ACU recognises that every staff member’s transition to retirement is both personal and unique. As part of ACU’s work and life balance strategy, the University seeks to support staff members that are transitioning to the next stage of their life through providing a range of pre-retirement arrangements.
3. Policy Purpose
The University recognises that there may come a time when a staff member may wish to plan their transition to retirement. This policy outlines a range of pre-retirement arrangements which can be tailored within a framework to achieve mutually beneficial outcomes for the staff member and the University.
4. Application of Policy
4.1 This policy applies to all Academic Staff and Professional Staff employed on a 0.5 fraction or greater who are eligible to access their superannuation at the end of the pre-retirement agreement.
4.2 A staff member may enter into mutually agreed pre-retirement arrangements to set a future retirement date and either:
4.2.1 For a period of 1 to 5 years prior to retiring, reduce their employment fraction to normally not less than a:
0.6 fraction, if full-time or
0.4 fraction, if part-time and employed on a 0.5 fraction or greater.
During this period the University and the staff member will continue to contribute to the respective superannuation schemes at the salary rate applicable to the staff member’s full-time or part-time salary rate prior to the commencement of this arrangement; or
4.2.2 For a period of 1 to 3 years prior to retiring, maintain their current fraction and receive a salary loading. The amount of salary loading received will be equivalent to the additional University superannuation contributions the staff member would have received if they reduced their fraction under section 4.2.1; or
4.2.3 In circumstances where a Superannuation Fund does not accept employer contributions made on behalf of staff members, the University will make contributions to salary equivalent to the amounts referred to under 4.2.1 or 4.2.2.
A staff member’s employment fraction, the duration of a pre-retirement agreement, the workload and the loading determined as part of a pre-retirement agreement will be negotiated between the staff member and the University to achieve mutually beneficial outcomes.
4.3 A staff member may negotiate a phased reduction in their fraction as part of their pre-retirement agreement.
4.4 Complementing arrangements may be negotiated as part of the pre-retirement agreement period such as the taking and/or cashing out of Annual Leave and/or Long Service Leave, periods of Leave Without Pay and refocusing of the staff member’s career pathway, workload and working hours.
4.5 In cases where a staff member who has entered into a pre-retirement agreement reaches the prescribed age at which employer contributions must cease, then the University’s superannuation contribution will be paid as salary.
The relevant Executive member is authorised to approve the arrangements of a pre- retirement agreement following advice from Human Resources.
6. Policy Review
The University may make changes to this policy and procedures from time to time to improve the effectiveness of its operation. In this regard, any staff member who wishes to make any comments about this Policy is welcome to forward their suggestions to the Human Resources Advisory Service.
7. Further Assistance
Any staff member who requires assistance in understanding this Policy should first consult her/his nominated supervisor. Should further advice be required staff should contact the Human Resources Advisory Service, HR@acu.edu.au or extension 4222.