44  ·  Survey Results:  Survey Questions And Responses
Early retirement options are not consistently offered. The current option is an “Early Retirement Incentive Plan” (ERIP),
and has been offered the last two years in an effort to address budget issues.
ERIP is in the form of limited offer for enhanced benefit for voluntary layoff for those who would retire normally in the
near future.
ERIP sometimes via buyouts, but not every year.
ERIs were offered in 2009 for both exempt and non-exempt employees. Non-exempt ERI: The retirement incentive
plan, announced in March, was offered to biweekly salaried employees, on the university’s defined benefit retirement
program. To be eligible to receive the early retirement offer, an employee had to be at least 50 years old and have at
least 10 years of service. The incentive to take the buyout gave the employee, among other benefits, an additional five
years of service, thus increasing monthly pension payments, which are driven by the number of years of employment.
Exempt ERI: Staff who work in those positions and meet the following criteria will have the opportunity to enroll for
enhanced retirement benefits: Must be in a benefits-eligible position that has been identified by a school or department
as one that could potentially be eliminated or restructured. Must meet the Rule of 75 (Age + Years of Continuous
Service = 75) by December 31, 2009. Position must not be funded by more than 50 percent by grants or contracts.
Eligible staff members who enroll for the Monthly Staff Retirement Incentive will receive a lump-sum payment of two
weeks of pay for each full year of service with Duke (up to 52 weeks of pay). Staff would also receive payment for any
accrued and unused vacation, up to a maximum of 40 days.
Not formally called DROP program but rather rehired annuitant. You may be hired back at same salary (or less or more
negotiable). You collect your pension, receive your pay, vacation time, sick leave, holidays. You cannot add to your
seniority, your pension, or receive any insurances. You also have no guaranteed job security in this type of appointment.
On occasion, employees have been offered retirement incentives as a means to reduce staff.
Phased retirement is available to faculty. ERIP is available only to faculty who are tenure-track or tenured.
The early retirement incentive has been offered twice in the past twenty-five years, most recently in 2009, and has only
been available to faculty, including library faculty. The incentive is half the participant’s annual salary at the beginning of
the next two fiscal years. So those who elected in spring 2009 to take the offer received half their salary in a lump sum
on July 1, 2009, and will receive that amount again on July 1, 2010. The libraries had 3 faculty take the offer.
The phased retirement does not apply to classified staff clerks, secretaries, etc.
The phased retirement program is offered only to academic employees.
The retirement options included as part of this policy are: Advance Retirement Declaration and Voluntary Early Partial
Retirement Program. These options are available to regular faculty and administrative/professional staff members
who are covered under the university’s defined contribution retirement plan. To participate in any of the retirement
alternatives, the individual must be at least 55 with a combination of age and years of service that equals or exceed 70.
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