Post Retirement Employment
1. PURPOSE
This policy addresses the hiring by Brigham Young University–Hawaii (“BYU–Hawaii” or “university”) of individuals who have retired from employment with organizations affiliated with The Church of Jesus Christ of Latter-day Saints (“Church”). This policy applies to all faculty, staff, and administrative positions at the university, and the individuals who seek employment in those positions, regardless of the position funding source.
2. POLICY
An individual who has terminated employment with a Church-affiliated employer and is eligible to receive benefit payments under a retirement plan offered by Desert Mutual Benefit Administrators (“DMBA”) (hereinafter, “Retiree”) may not be hired, either in a part-time or a full-time capacity, by the university unless: (i) there is a clear need demonstrated by the university to employ the Retiree, as determined on a case-by-case basis; and, (ii) the Retiree meets certain employment eligibility criteria, as outlined in ¶3.1.2 below. A department who desires to hire a Retiree must have prior authorization from the university’s director of Human Resources, Administration Vice President, and the Commissioner of the Church Educational System.
3. IMPLEMENTATION
3.1 Retiree Employment Requirements
In order to comply with applicable law and to protect the university’s defined benefit and defined contribution plans, the following requirements must be met in order for the university to employ a retiree:
3.1.1. Demonstrated Need
The university may hire a retiree only if the university can demonstrate a clear need to employ the individual in a particular position. Such a need may include, but is not limited to:
- After conducting a reasonable search, the university cannot find a suitable candidate for the position; or
- The Retiree has unique and/or specialized knowledge, skill, or expertise that is germane to a core function of the university.
3.1.2. Retiree Employment Eligibility Criteria
In order for a Retiree to be hired by the university, all of the following eligibility criteria must be satisfied:
- At the time of the retiree’s retirement from a Church-affiliated employer, both the Retiree and the employer must have intended that a permanent separation from service with the employer occur. A reduction in the number of hours (i.e., working part-time) or a transfer to a different location or another Church-affiliated employer is not sufficient.
- The Church-affiliated employer and the retiree must have completely severed their employment relationship, and the employer must have processed the termination of employment of the retiree as if he/she had separated from service. For example, a COBRA election or information on retiree medical should have been provided to the employee upon retirement, and other fringe benefits not available to anyone other than active employees should have terminated.
- Upon termination of employment with the Church-affiliated employer, the retiree must have surrendered some value, such as seniority or access to any benefits not available to anyone other than employees of the Church-affiliated employer.
- At the beginning of the retiree’s retirement from the Church-affiliated employer, there must not have been any agreement or understanding that the university would hire the Retiree.
- The university may not hire the retiree until 26 weeks after the retirement of the retiree from the Church-affiliated employer.
Documentation substantiating compliance with the requirements of this Section 3.1 should be maintained by the university Human Resources department and be included in the employee’s (Retiree’s) employment file.
3.2 Continuation of Benefits
Retirees reentering employment with BYU–Hawaii should consult with DMBA and/or BYU–Hawaii benefits personnel regarding the availability of various employee benefits (e.g., defined contribution/benefits plans, medical benefits, retiree DMBA Allegiance plan benefits, etc.)