As a cost-cutting measure and an employee benefit, Shepherd University has introduced a program to allow full-time classified or non-classified staff to voluntarily elect a reduction in FTE (Full Time Equivalent) – with a corresponding reduction in pay – from the normal 37.5 hours per week to 33.75 hours, which is equivalent to a half day off per week. The options, with the approval of the employee’s supervisor and vice president, would be (1) to work four and a half days a week, or (2) to work a little longer for four days and take off one day. A work reduction of this amount would be equal to going from 1.0 FTE to .90 FTE.
To illustrate option 2, for staff members who normally work 8 a.m. to 4:30 p.m. with an hour-long lunch break, a four-day work week might look like the model below. Staff who work other schedules would adjust accordingly, based on the same concept.
Frequently Asked Questions (FAQs)
Would reducing my FTE affect my annual and sick leave accrual?
Yes. Annual and sick leave accruals would be reduced when the FTE is reduced. An employee with an FTE of .90 would accrue sick and annual leave at 90% of their full 1.0 FTE accrual rate.
Would a reduced FTE affect my TIAA retirement account?
Yes. An FTE reduction and corresponding decrease in pay would cause less money from the employee and from the University to be deposited into your TIAA retirement account. With an FTE of .90 the deposits would be 90% of what they were at a full 1.0 FTE.
Would my holidays be affected by a reduced FTE?
Yes, as reflected in the Staff Handbook, a reduction in FTE can impact holiday pay. Employees below 1.0 FTE whose normal work schedule is fewer than 7.5 hours a day are paid for holidays at the number of hours they normally work per day.
Is FTE connected to health insurance benefits?
Employees who work at least .53 FTE are eligible for employee benefits. Reducing a 1.0 FTE position to .90 FTE does not cause health insurance to be canceled. As long as the FTE remains at .53 or higher, the employee is eligible for the state health plan.
If my FTE is reduced would my PEIA insurance premiums be impacted?
An FTE reduction would not cause any personal health plan premiums to increase. It is possible that a reduced salary would lower someone’s PEIA premiums since those are based on pay. Without looking at specific numbers, a prediction cannot be made as to whether that would happen. Absent an individual analysis, it should not be assumed that it would.
If I volunteer to have my FTE reduced can I change my mind later and go back to 1.0 FTE?
Yes, but not right away. You would have the option of returning to a full 1.0 FTE at the end of the 2023-24 fiscal year, which means the change could be made at the start of the next work period after July 1, 2024. Until then you would be required to remain at the reduced FTE that you have elected.
Can I choose to have my FTE reduced to less than .90 FTE?
You can request that of your supervisor. Approval by the supervisor and vice president is required for that to be implemented.
Can I skip my lunch entirely and leave work earlier (or come to work later)?
No. As the Staff Handbook states, when an employee works a shift of five hours or less, it is at the supervisor’s discretion whether the employee takes an unpaid meal break of 30-60 minutes. However, when an employee works a shift of longer than five hours, an unpaid meal break of 30-60 minutes is required. The supervisor can decide whether the meal break will be 30 minutes or 60 minutes. Meal breaks are not compensated and may not be used to leave work early or arrive late.
Is the voluntary FTE reduction program open to all departments?
Yes.
If my FTE were reduced would I still be eligible for an employee tuition waiver and/or dependent tuition waiver?
This change in FTE would not impact the employee or dependent waivers. As long as the employee’s FTE remains at .53 or higher, eligibility for tuition waivers would continue.
If my FTE were reduced could I still take a class during my work day?
Yes, as long as it is consistent with the existing Staff Handbook policy language about taking classes during work hours. These arrangements always require the supervisor’s permission.
As a supervisor, do I have the right to turn down a request from an employee to participate in the voluntary FTE reduction program?
No, supervisors cannot prevent employees from participating in the voluntary FTE reduction program.
As a supervisor, can I decide what schedule a participating employee will work?
Supervisors and vice presidents can decide whether employees can work a four-day work week. They also can make judgments about whether the particular schedule the employee is requesting (for example, which half day in the work week will be taken off) is reasonable for the department.
As a supervisor, how am I supposed to manage the work in my area if multiple employees elect to participate in the voluntary FTE reduction program?
Supervisors have the right and responsibility to coordinate the work of their departments. If more than one employee participates in the voluntary FTE reduction program the supervisor can schedule them at alternate times in a way that allows the department to continue to function.
How can I sign up to participate in the voluntary FTE reduction program?
Complete and sign the Voluntary FTE Reduction Agreement Form below. Get your supervisor’s and vice president’s signatures and then submit the completed, signed form to Human Resources.