H7 – Vacation Carryover for Retirement Purposes
Originator: Vice President, Human Resources & Sustainability
Approver: President’s Council
Effective: January 12, 2011
Replaces: May 21, 2004
This policy outlines the conditions under which employees may carry over unused vacation entitlement for pension purposes.
Civil Service Superannuation Act Section 35 (12)
Collective Agreement Article 26:05 (e)
Terms and Conditions of Employment for Staff Excluded from the Bargaining Unit 16:03 (a)
This policy applies to all staff.
Employees approaching retirement should consider the impact of this policy on their retirement plans.
- The Civil Service Superannuation Act permits employees to apply a maximum of two (2) years vacation accrual cash-out to a maximum of fifty (50) days for purposes of calculating their final average earnings.
- Final approval for such carryover rests with the relevant Vice President.
- When deciding whether or not to authorize vacation carryover, the following will be considered:
- An employee may request to carryover up to fifteen (15) days of vacation prior to providing a confirmed retirement date. When employees request to carryover more than fifteen (15) days, they are required to provide written notice of the retirement date.
- The maximum time period for carryover is five (5) years prior to the retirement date.
- An employee may only carryover a maximum of one year’s vacation entitlement from one year to the next, example(s):
- a non instructional employee’s annual vacation entitlement is twenty five (25) days, total vacation carryover cannot exceed twenty five (25) days.
- an Instructor’s annual vacation entitlement is forty four (44) days, total vacation carryover cannot exceed 44 days. In this example if an Instructor is retiring at the beginning of July, they would only need to carry over 6 days from the previous year to add to their 44 day entitlement at July 1st
- The combined total of carryover and earned vacation credits to be cashed out at retirement must not exceed fifty (50) days in total.
- Management shall review the employee’s actual retirement date, the number of vacation days to be taken by the employee in the retirement year and the vacation accrual rate of the employee to ensure carryover is kept to the minimum necessary to achieve the fifty (50) day cash out.
- The Vice President must approve all carryover to be used for cash out at retirement. In the case of direct reports to the President, the President must approve the request.
Human Resource Services will send an annual request for vacation carryover early in each calendar year. All requests for vacation carryover must be sent to Human Resource Services through the Dean/Director. Human Resource Services will seek the Vice President’s approval.
Questions on this policy should be directed to Human Resource Services.