Campus Closure Dates, Changes to UC Retirement Plan

The closure period includes four paid holidays (Dec. 24, 25, 31 and Jan. 1) and three non-holiday work days (Dec. 28-30). Staff employees must charge any non-holiday work days to accrued vacation, accrued compensatory time off or leave without pay. Academic employees eligible for vacation time must charge the time off to accrued vacation or leave without pay.

Non-represented employees who do not have accrued vacation or compensatory time off to cover the three work days during the closure may take vacation days in advance of actual accrual in accordance with Personnel Policies. For exclusively represented employees, the closure days will be handled in accordance with existing contract provisions or collective bargaining where applicable.

UC Regents Approve Several Changes to Retirement Plan

The UC Board of Regents recently approved several recommended changes to the UC Retirement Plan (UCRP) based on findings from an “experience study” of the plan presented at the September Regents' meeting. An experience study is conducted for UCRP every three to five years to determine if revisions are needed to the actuarial assumptions.

The approved changes that will go into effect in 2016 include the following:

• Capital Accumulation Payment (CAP): Starting Jan. 1, the earnings rate on balances resulting from CAP allocations in 2002 and 2003 will change from 7.5 percent per year to 7.25 percent per year.
• Lump sum cashout (LSC): The new actuarial basis, effective for LSCs on or after July 1, 2016, will result in higher LSC amounts than under the current basis, with increases ranging from about 3 percent to about 5 percent, depending on the member’s age. LSCs at age 60 will be about 4 percent higher under the new basis.
• Monthly payment options: For retirements starting July 1, 2016, the payment option amount under the new actuarial basis for members with a contingent annuitant of a similar age will increase slightly — up to about 2 percent. There may be a smaller increase or possibly a slight decrease for members with contingent annuitants that are much older or younger than they are.

Note: No changes are being made to UCRP benefits that are payable as basic retirement income.

To learn more, contact Human Resources' benefits office or a retirement counselor, or call the Retirement Administration Service Center at 800-888-8267.