Voluntary FTE Reduction Program

Examples

• Reduce hours each day
  Reduce hours worked from 8 to 6 hours per day. Change from 40 to 30 hours per week, and 1.00 FTE to 0.75 FTE.
• Reduce hours one day each week
  Reduce hours worked from 8 to 0 on Friday. Change from 40 to 32 hours per week, and 1.00 FTE to 0.80 FTE.
• Reduce hours several days each week
  Reduce hours worked from 8 to 4 on Tuesday and Thursday. Change from 40 to 32 hours per week, and 1.00 FTE to 0.80 FTE.
• Reduce hours as needed during the work week, while committing to the same total hours each week
  Reduce hours worked from 40 to 32, with a day off each week based on a schedule as approved by a supervisor in advance. Change from 40 to 32 hours per week, and 1.00 FTE to 0.80 FTE.

Considerations:

• This is meant to be regular weekly schedule, therefore hourly paid employees may reduce their schedule on an as-needed basis, thereby changing scheduled hours each week. Using an average schedule over time is not allowed, as the schedule must remain at the new FTE each week.
• If the following scenarios are requested, please speak with Human Resources prior to approval.
  ⚬ allowing employees to be off work for one week per month
  ⚬ allowing employees to take one or two days off per month
• Monthly paid salary exempt employees may not be approved to reduce FTE (hours worked) each week below the Fair Labor Standard Act (FLSA) weekly salary requirement (currently $684 per week) as it would change exemption status and require tracking hours worked.

Benefits Impact:

While the employee is on the reduced work schedule, the employee will remain eligible for insurance benefits under the same terms as if the employee was a full-time employee, except for Long Term Disability premiums and coverage which is based on annual salary. The employee's salary, holiday vacation and sick leave benefits, and retirement contributions, however, will be adjusted to correspond with the reduced FTE.

For this special program, there is no option to take consecutive/summer months off and be paid all year long.

Examples

• 3 months off (Mid May – Mid August, or June - August)
  Bi-weekly Hourly Paid: Change from working 12 months per year, 40 hours per week for 52 weeks per year, to 9 months, 40 hours per week, 40 weeks per year. 2080 hours per year to 1600, and 1.00 FTE to 0.77 FTE. Employees will not be paid during the time off. Employees will work 40 hours per week during working months and be paid for hours worked.
  Monthly Paid: Change from working 12 months per year, 40 hours per week to 9 months per year, reducing FTE from 1.0 to 0.75. Employees will not be paid during the time off. Employees will work 40 hours per week and be paid during working months at 1.0 FTE.
• 2 months off (Mid June – Mid August, or June – July, or July – August)
  Bi-weekly Hourly Paid: Change from working 12 months per year, 40 hours per week for 52 weeks per year, to 10 months, 40 hours per week, 44 weeks per year. 2080 hours per year to 1760, and 1.00 FTE to 0.85 FTE. Employees will not be paid during the time off. Employees will work 40 hours per week during working months and be paid for hours worked.
  Monthly Paid: Change from working 12 months per year, 40 hours per week to 10 months per year, reducing FTE from 1.0 to 0.83. Employees will not be paid during the time off. Employees will work 40 hours per week and be paid during working months at 1.0 FTE.
• 1 month off (June, or July, or August, or some other consecutive one month timeframe
  Bi-weekly Hourly Paid: Change from working 12 months per year, 40 hours per week for 52 weeks per year, to 11 months, 40 hours per week, 48 weeks per year. 2080 hours per year to 1920, and 1.00 FTE to 0.92 FTE. Employees will not be paid during the time off. Employees will work 40 hours per week during working months and be paid for hours worked
  Monthly Paid: Change from working 12 months per year, 40 hours per week to 11 months per year, reducing FTE from 1.0 to 0.92. Employees will not be paid during the time off. Employees will work 40 hours per week and be paid during working months at 1.0 FTE.

Considerations:

• Bi-weekly employee reduction in FTE for consecutive months should coincide with a pay week begin/end, in order to easily administer benefits and payroll processes.
• Because of the start date of this program being after mid-May for this summer 2020, the approved 2020 schedule may be different than the approved future schedule. For example, an employee may be off July 1 – Mid August in 2020 and then off Mid May – Mid August for 2021 and thereafter.
• The FTE calculations in these examples are approximate and rounded. Actual FTE will be calculated once a schedule is agreed upon.

Benefits Impact:

Employees who are in an unpaid status will write a check to the university for their portion of the employee contributions each month while not working. The employee contribution amount will be the same terms as if the employee was a full-time, except for Long Term Disability premiums and coverage which is based on annual salary Under this special program, there is no option to deduct benefits throughout the year or by other deduction methods as may be available in other work schedule arrangements. If payment is not received by the benefits office, benefits will be cancelled.