UPDATE: The university will open up voluntary separation incentive as well as optional retirement incentive programs for eligible employees, University of Idaho President C. Scott Green said in a memo sent to faculty and staff Nov. 22.
Voluntary Separation Incentive Program (VSIP) will be available for employees who have worked at the university for 10 years without an already-approved resignation or retirement announcement. Employees would receive 33% of their budgeted salary for Fiscal Year 2020. The separation payments would begin at the start of Fiscal Year 2021, according to the memo.
Optional Retirement Incentive Program (ORIP) is an option for employees 55 years or older, have worked a minimum of 20 consecutive years for the university and do not have an approved retirement plan, among other criteria. This option would pay the retiree 20% of their Fiscal Year 2020 budgeted salary (from any source except ARES, FUR, IGS, WWAMI, WIMU-VetMed) annually for five years, Green said in the memo. Retirement separation payments would be begin after the start of Fiscal Year 2021.
Applications for the VSIP and ORIP programs are due Dec. 13, 2019.
Green said the university is continuing to look into other areas of savings, including program prioritization in academics, among others in non-academic areas.
“There is no expectation or pressure that employees apply for these programs, but it is important to provide options for those of you who decide voluntary separation or retirement makes sense,” Green said in the memo. “We appreciate your hard work and leadership as we continue to unite in our purpose — bringing our expenses in line with our revenue and creating a sustainable financial model that will carry our great university well into the future.”
ORIGINAL: The university will open up voluntary furloughs to eligible employees in response to an additional $1 million in cuts, Green said in a memo sent to faculty and staff Wednesday.
The addition $1 million in cuts comes from a request from Gov. Brad Little for all state-agencies to reduce their budgets in Fiscal Year 2020 by 1% and 2% by Fiscal Year 2021, Green wrote in the memo.
The university’s Fiscal Year 2020 shortfall now adds up to $15 million. The initial $14 million in reductions for Fiscal Year 2020 go to the university, while the added $1 million go to the state.
Green said the decision to move forward with voluntary furloughs comes following repeated suggestions from the community.
“While volunteering for furlough is no small thing, it is an expedient and immediate way for employees to help the university reduce costs and there appears to be strong interest from our employees to contribute,” Green wrote.
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Voluntary furlough is taking leave without pay, but retaining insurance benefits. Green said in his memo the furlough is not mandated and there will be no repercussions for those who do not take it. Employees who chose to take the voluntary furlough can take as many as five days between now and late spring, Green said.
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The possibility of furloughs was initially mentioned in Green’s Oct. 30 memo sent out addressing the overall budget challenges and potential solutions.
“There is no requirement to participate, nor are there repercussions for those who decide not to participate,” Green wrote. “This is a very personal decision and we respect whatever choice you make.”
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Green said he and the majority of his cabinet will also be taking five furlough days as well.
As the university continues to look into options to address the deficit, Green said the university is also looking into a voluntary separation incentive program and an optional retirement incentive program, but there is currently no information on either.
Green said as he and his team continue to look into cost-saving options, UI community members are encouraged to submit ideas on the online community feedback page.
The Argonaut will continue to follow this story as more information becomes available.
Meredith Spelbring can be reached at [email protected] or on Twitter @mere0415