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Hiring / Job Postings > Hiring Information
Executive Management Appointment and Benefits Summary
July 2007
MICHIGAN STATE UNIVERSITY
Appointment and Benefits Summary
for Individuals Holding
Executive Management Positions
Executive Management positions, approximately 75 in number, are held by all senior level University administrators, including associate and assistant vice presidents and specified directors. Individuals holding Executive Management positions serve at the pleasure of the administrative superior to whom responsibility for personnel actions has been delegated and may be relieved from administrative responsibilities at any time without notice or cause. Neither this summary nor the terms of the policies applicable to Executive Management positions shall be construed to alter an individual’s at-will employment status. An individual’s tenured faculty status, as applicable, is not affected by this at-will provision. Only the President of the University has the authority to enter into any agreement contrary to these provisions, and any such agreement must be in writing. This summary shows appointment policies and benefits--which generally parallel benefit provisions for tenured faculty--in an abbreviated form. These benefit provisions may be changed unilaterally by the University with notice of such changes to be communicated in writing to all executive management appointees. Detailed information is available from the Associate Provost/Associate Vice President for Academic Human Resources (3-5300) and MSU Human Resources Benefits (3-4434, or if out of the Lansing area 1-800-353-4434).
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Benefit |
Who Pays |
Coverage Begins |
Benefit Specifics |
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Compensation Plan |
University |
Upon Employment |
All salary adjustments will be allocated on the basis of merit.
Special merit salary adjustments in recognition of superior performance or expanded responsibilities may be provided in addition to regular salary adjustments.
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Vacation
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University |
Upon Employment |
Eligible for forty-four (44) vacation days biennially on a fiscal year basis. Vacation days are available prospectively; they are non-accruable beyond the biennial fiscal year period.
There is no terminal payoff, although arrangements to take one’s vacation entitlement prior to resignation/retirement usually can be made.
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Holidays |
University |
Upon Employment |
There are nine paid holidays in any calendar year: New Year’s Day, the day preceding or following New Year’s Day, Memorial Day, Independence Day, Labor Day, Thanksgiving Day and the day following Thanksgiving Day, Christmas Day and the day preceding or following Christmas Day, or as otherwise announced by the University.
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Leave Without Pay |
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Upon Employment |
Leave without pay may be granted for up to two years. Extensions beyond two years may be approved by the administrative superior to whom responsibility for personnel actions has been delegated.
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Jury Duty |
University |
Upon Employment |
Individuals who are called to serve on jury duty or to testify pursuant to court-issued subpoena will be compensated for the difference between pay for jury duty and regular pay if absent from work for more than 80 hours. No adjustment is required for jury duty service of 80 hours or less.
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Military Duty
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University |
Upon Employment |
The University cooperates fully with individuals taking part in the reserve program of the military forces which calls for up to 15 days active duty training annually with the National Guard, Officers’ Reserve Corps, or similar U.S military organizations. The University will pay the individual the difference between military pay and allowances and normal take-home pay for the required 15 calendar days of military duty.
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Medical Leave |
University |
Upon Employment |
Up to six months of paid leave is available if health problems prevent the individual from working. Medical leave is non-accruable with no terminal payoff.
Individuals on a Family Medical Leave (FMLA) will have their health and dental benefits continued at the same level and with the same premium contribution as prior to the FMLA leave. Any share of premiums which had been paid by the individual prior to the leave must continue to be paid during the leave, otherwise coverage will be canceled.
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Retirement Eligibility
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Upon Employment |
To be considered a retiree from Michigan State University, an individual must have attained one of the following: 1) 15 years of service in an Executive Management position or equivalent responsibility at the University; 2) at least age 62 with a minimum of 15 years of University service; 3) 25 years of service at any age. If the condition of #1, above, is met, the individual retains eligibility for Michigan State University retiree status if assigned subsequently to a non-Executive Management position.
An individual entering executive management status from an MSU position in which service credits toward retirement status have been earned shall be given immediate credit toward the fifteen year Executive Management retirement requirement in proportion to the ratio that such prior service bears to the 25 year vesting requirement for all other University employees, rounded up to the next half vesting year.
Employees meeting the minimum University retirement requirements will remain eligible to maintain group health and dental coverage and receive the University contribution based on their full-time equivalent (FTE) service month accumulation.
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Retirement
Program |
University & Employee |
Offered upon employment. Individual enrollment is necessary. Enrollment must occur prior to the first of the month the application is to be effective. Failure to apply prior to the first of the month eligible could result in lost University contribution without retro-active recovery. Required at age 35 or after 24 FTE service months, whichever is later.
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A contributory tax deferred annuity program is provided. The individual contributes 5% and the University contributes 10% of the annual base salary. Several base retirement program and supplemental retirement program options are available. An MSU Human Resources Benefits orientation provides detailed information about retirement programs. |
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Health Care Coverage
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University and employee make a monthly contribution toward the premium |
Date of employment if enrolled within 60 days of appointment.
Spouses or other eligible individuals who have access to coverage elsewhere must purchase single coverage through their own employer if the annual premium contribution toward that coverage is $750 or less. |
Employees have the option of choosing either Community Blue or Physician’s Health Plan (PHP) for themselves, spouse or an other eligible individual and their eligible dependents within 60 days of employment or during annual open enrollment. Coverage through the traditional Blue Cross Blue Shield of Michigan plan is available only to those enrolling a sponsored dependent with Medicare.
The coverages are briefly described below:
Community Blue:
A Preferred Provider Organization (PPO) which allows you to choose whether you receive health care services from an in-network provider or an out-of-network provider. Coverage includes hospitalization, surgery, x-ray and laboratory services, office visits ($15 co-pay) and preventative services.
Physician’s Health Plan (PHP):
A Health Maintenance Organization (HMO), which allows you to choose whether you receive health care services from an in-network provider or an out-of-network provider. PHP is only available in the following counties: Clinton, Eaton, Gratiot, Ingham, Ionia, Isabella, Montcalm, Saginaw and Shiawassee. Coverage includes hospitalization, surgery, x-ray and laboratory services, office visits ($15 co-pay) and preventative services.
Caremark Prescription Drug Plan
The prescription drug plan is a four tier co-pay plan for generic and brand drugs and is administered through Caremark. Caremark has a large network of over 55,000 participating retail pharmacies, including some of the largest drug store chains. Employees may choose to purchase their prescriptions at a participating retail pharmacy, at an MSU pharmacy (Olin Health Center or the MSU Clinical Center pharmacies) or through Caremark’s mail
order program:
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Tier |
Type of Drug
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At a Network Pharmacy
(up to 34-day supply) |
Through Mail Order
(90-day supply) |
At an MSU Pharmacy
(up to 34-day supply) (90-day supply)
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1 |
Generic |
$10
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$20 |
$10 $20
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2 |
Brand name on Caremark’s Custom Drug List |
$20 |
$40
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$20 $40 |
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3 |
Brand name not on Caremark’s Custom Drug List |
$40 |
$80 |
$40 $80 |
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4 |
Bio-Tech Drugs |
$50 |
$100 |
$50 $100 |
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Benefit |
Who Pays |
Coverage Begins |
Benefit Specifics |
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Waiver of
Health Care
Coverage |
University based on total number of points accrued by July 1 of the following year |
Date of employment if enrolled within 60 days of appointment. |
If currently covered by another health plan, employee may waive MSU’s coverage in exchange for a cash payment ($600 maximum). Employees have 60 days to enroll or during annual open enrollment. The waiver is not an option when both the employee and spouse or other eligible individual are employed by MSU.
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Dental Coverage
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University |
Date of employment if enrolled within 60 days of appointment. |
Employees may choose dental plan coverage through Delta Dental or Aetna Dental Maintenance Organization for themselves and their dependents within 60 days of employment or during open enrollment. The University currently pays the full cost of the premium for individuals working full-time.
The coverage is briefly described below:
The Delta Dental plan pays 50% of the usual reasonable and customary costs of most dental services up to a maximum payment of $600 per person per calendar year. Orthodontia is covered for persons under age 19 with a 50% co-payment and has a $600 lifetime maximum.
The Aetna Dental Maintenance Organization (DMO) utilizes primary care dentists to lower the cost – it is a managed care dental plan. Members select a primary care dentist (PCD) from the provider network and visit their PCD as needed for treatment and care. There are fixed co-pays for services and there is no annual or lifetime benefit maximum or an annual or lifetime deductible.
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Long-Term
Disability
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University |
Upon employment |
Individuals determined by the plan administrator to be medically disabled after six months on medical leave receive, including Social Security and other income benefits, 60% of their basic monthly earnings. In addition, the program will pay both the individual’s and the University’s contribution to the Base Retirement Plan. The Expanded Life Plan will continue for up to 180 days from the last day paid by the University. MSU will continue the premium contribution for health plan and dental coverage and make premium payments for the Employee-Paid Life program, if enrolled at the time disability occurs as determined by the plan administrator.
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Long Term Care Insurance |
Employee |
Eligible employees may enroll any time for Long Term Care insurance. If enrollment occurs within the first 60 days of employment, a medical evaluation will not be necessary and enrollment is guaranteed; coverage is effective the first of the month after John Hancock receives/approves the application.
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Long Term Care Insurance provides coverage
for one or more necessary or medically
necessary diagnostic, preventive, therapeutic,
rehabilitative, maintenance or personal care services provided in a setting other than an acute care unit of a hospital, such as in a nursing home, in the community or in the home.
You will automatically be accepted for coverage (other than SharedCare), regardless of health status if you are newly hired or newly eligible, actively-at-work applying within 60 days of first becoming eligible for benefits.
All full-time and part-time Executive Managers on U.S. payroll, actively working 50% time or more with a 9-month or longer appointment are eligible to apply.
Eligible family members may apply whether or not the active Executive Manager applies.
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Employee-Paid
Life Plan |
Employee |
Date of employment if enrolled within 60 days of appointment. Enrolling after 60 days requires Statements of Insurability and waiting until the annual open enrollment period to apply. |
Decreasing term life coverage may be selected in amounts ranging up to $500,000 depending upon age and plan selected. Optional dependent coverage for spouse, other eligible individual and/or children is also available.
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Expanded Life
Plan |
University |
Upon employment |
In the event of death of an active employee (including leaves of absence for up to 180 days from the last day paid), the University provides life insurance equal to one year’s annual base salary ($50,000 maximum).
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Accidental Death & Dismemberment |
Employee |
Date of employment if enrolled within 60 days of appointment. |
Accidental Death and Dismemberment coverage is available within 60 days of employment or during annual open enrollment. Coverage options range from $10,000 to $250,000 with a dependent option also available. |
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Travel Accident |
University |
Upon employment |
While traveling on University business or an approved activity on or beyond the campus limits, the University provides accidental death and dismemberment coverage in the principal amount of $50,000.
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Course Fee
Courtesy |
University |
Upon employment |
Dependent children and spouses admitted to Michigan State University to pursue a curriculum leading to a first baccalaureate degree or to a certificate in the Agricultural Technology Program are entitled to Course Fee Courtesy, providing credit of an amount equal to one-half of the applicable Michigan resident on-campus undergraduate course fee.
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Flexible Spending
Accounts (FSA) |
Employee
(Pre-tax basis) |
The first of the month following the month of enrollment. |
Employee may enroll in a FSA by designating an amount of pre-tax dollars to be set aside for health related and/or dependent care expenses. This results in a tax savings on federal, state, city (if applicable) and social security taxes.
Employees have 60 days to enroll or during an open enrollment.
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COBRA |
If employment terminates or a position is reduced to less than 50% time, coverage under the health and/or dental plans may be continued in accordance with the Consolidated Omnibus Budget Reconciliation Act (COBRA) of 1986, for up to 18 months (29 months if disabled and receiving Social Security Disability (SSD) or deemed disabled by SSD any time during the first 60 days of COBRA coverage) by paying 102% of the monthly premium cost.
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______________________
Footnote:
* Other Eligible Individual (OEI) for Non-Union/Non-Represented Employees:
Revised: April 18, 2007
MSU intends to implement a pilot program effective July 1, 2007 that changes the eligibility criteria for enrollment in its health/dental plan(s). If implemented, this temporary program will be reviewed at least annually to determine if it will be continued for the next plan year. The pilot program is scheduled to end at the conclusion of the 2009-2010 plan year. Individuals are strongly encouraged not to forego health and/or dental coverage that may be available to them from other sources. The University reserves the right to suspend this pilot program, and to determine how the below-listed eligibility criteria will be applied during the pilot program.
Under the pilot program a non-represented MSU employee who does not already enroll a spouse for health and/or dental benefits may enroll one (1) individual for health and/or dental coverage (“OEI” or “other eligible individual”), but only if ALL of the following eligibility criteria are met:
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The OEI currently resides in the same residence as the employee and has done so for the last 18 continuous months,
other than as a tenant;
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The OEI is not a “dependent” of the employee as defined by the IRS: and
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The OEI is not eligible to inherit from the employee under the laws of intestate succession in the State of Michigan (see below).
Children who are qualified and claimed as IRS-defined dependents by an employee’s OEI are also eligible for health and dental benefits if they are members of the employee’s household or a full-time student and they are unmarried and under the age of 19 (up to age 23 if an IRS-defined dependent).
Eligibility to continue coverage for an OEI ceases at the end of the month in which the above criteria are not met. Employees must immediately notify MSU Human Resources Benefits of a change in eligibility status. The following individuals do not fall within the eligibility criteria for this pilot program;
Spouse
Children and their descendents (i.e., children, grandchildren)
Parents
Parents’ descendents (i.e., siblings, nieces, nephews)
Grandparents and their descendents (i.e., aunts, uncles, cousins)
Renters, boarders, tenants, etc.
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