WEBSTER UNIVERSITY 2017 VOLUNTARY RETIREMENT INCENTIVE PROGRAM FOR STAFF Purpose The purpose of the 2017 Voluntary Retirement Incentive Program for Staff ( Staff Program ) is to provide eligible non-faculty staff personnel and administrators with a limited time, voluntary program to help facilitate voluntary separation from employment from Webster University ( University ). Eligibility A full-time, actively-employed employee who is classified as a staff member or administrator is eligible to elect participation if he or she meets certain combined age and service requirements by May 31, 2017: At least age 60 with at least 15 years of service At least age 65 with at least 10 years of service At least age 70 with at least 5 years of service A year of service for purposes of eligibility to participate shall mean a continuous 12-month period in which the employee was employed by the University. A non-faculty staff member or administrator who meets the above requirements ( Eligible Staff Member ) may not participate if he or she is currently participating in a Retirement Transition Program with the University. In order for an election to be effective, the staff member or administrator must comply with the Election Procedure and Release Requirements described below. In addition, an election to participate in the Program must be approved by the Chief Human Resources Officer. Election Procedure An Eligible Staff Member must correctly complete and timely submit an executed Voluntary Retirement Incentive Program Agreement ( Agreement ), in substantially the same form as attached hereto as Exhibit A, no later than 4:00 p.m. CST on April 15, 2017. The Agreement must be delivered to the University s Human Resources department by the deadline. Documents delivered to a supervisor will not be accepted. If a staff member or administrator has not completed and submitted the Agreement by the deadline, the Eligible Staff Member will not be eligible to participate in the Program. Release Requirements In order to receive benefits under the Program, an Eligible Staff Member must sign and not revoke two releases in such form as required by the University. The first release must be submitted with the Agreement, and the second release must be submitted no later than seven (7) 1
days following the Eligible Staff Member s last day of employment with the University, as determined below, and no earlier than fifteen (15) days before such date. No cash payments or other benefits will be provided under the Program until both releases are signed, received by Human Resources and not revoked. An Eligible Staff Member will have at least forty-five (45) days to consider whether to participate in the Program, the terms of the Agreement and each release. In addition, an Eligible Staff Member will have seven (7) calendar days after signing each release to revoke the release pursuant to the terms of the release. Each Eligible Staff Member should consult with his or her attorney before deciding whether to sign the release. An Eligible Staff Member who revokes either release will not participate or receive any payment or benefits under the Program. Program Options and Benefits An Eligible Staff Member must elect in his or her Agreement between Option A and Option B. Option A: The Eligible Staff Member shall remain employed full-time through May 31, 2017. He or she shall retire on May 31, 2017 ( Option A Separation Date ). Option B: The Eligible Staff Member shall remain employed full-time through December 31, 2017. He or she shall retire on December 31, 2017 ( Option B Separation Date ). The Option A Separation Date and the Option B Separation Date will be collectively referred to as the Separation Date. Within thirty (30) days after the Eligible Staff Member s Separation Date, he or she will receive a lump sum cash payment equal to 50% of such Eligible Staff Member s annualized base compensation in effect on May 31, 2017. Required withholding taxes and any other debts or financial obligations owed to the University by the Eligible Staff Member will be deducted from such payment. In addition, in accordance with the terms of the Webster University Group Benefits Plan, an Eligible Staff Member shall be permitted to continue his or her participation and the participation of his or her otherwise eligible dependents in the medical, dental and vision insurance offered under that plan by timely paying the premium otherwise payable from time to time by actively-employed staff members for such coverage. Such continued coverage shall be available until the earliest of (1) the date such Eligible Staff Member becomes eligible for Medicare, (2) the date such Eligible Staff Member becomes eligible for coverage under another group plan of the same type (i.e., medical, dental or vision), whether through his or her active employment or as a dependent of a spouse, or (3) the date on which the Eligible Staff Member fails to timely remit his or her required payment for the coverage. Termination of Employment An Eligible Staff Member who elects Option A must terminate employment on the Option A Separation Date. An Eligible Staff Member who elects Option B must terminate on the Option B Separation Date. An Eligible Staff Member who dies or becomes eligible for benefits under the University s long-term disability plan prior to his or her Separation Date shall not be eligible for the cash payment or other benefits under the Program. While no payments or benefits will be paid or made available under the Program, such staff member s surviving dependents, beneficiaries or estate shall be entitled to the other payments and benefits available to him or her 2
at the time of the Eligible Staff Member s death under the other plans and program made available by the University. In addition, an Eligible Staff Member whose employment is terminated for cause by the University prior to his or her Separation Date shall not be eligible for the payments and benefits under the Program. Other Benefits Upon an Eligible Staff Member s termination of employment as of a Separation Date, all benefits other than those specifically included as part of the Program shall end. Any right to continue these other benefits shall be only such rights as are otherwise available under the terms of the Webster University Group Benefit Plan for such coverage due to termination of employment. Administration The University is the administrator of the Program and has sole and absolute discretion to interpret and construe the terms and provisions of the Program. Such discretion shall include, but not be limited to, the authority to determine eligibility for participation in the Program and the receipt of benefits under the Program. All decisions of the University shall be final, binding and conclusive. Claims Procedure If a staff member or administrator believes that he or she is being denied a benefit to which he or she is entitled under this Program, he or she ( Claimant ) may file a written claim with the Chief Human Resources Officer. Within 90 days of the receipt of such claim, the Chief Human Resources Officer shall determine and notify the Claimant as to whether he or she is entitled to such benefit. Such notification shall be in writing and, if denying the claim for benefit, shall set forth the specific reason or reasons for the denial, make specific reference to the pertinent Program provisions, and advise the Claimant as to the steps to be taken if the Claimant wishes to submit the claim for review. A Claimant who receives notice of a denial of benefits may appeal to the Provost within 60 days of the receipt of the written notice. If the Claimant does not request a review of the initial determination within such 60-day period, he or she shall be barred and estopped from challenging the determination. The final decision of the Provost with respect to the claim being reviewed shall be made within 60 days of receipt of the written appeal by the Claimant. If the appeal is denied, the Claimant will receive a written notice specifying the reasons for the denial and the pertinent Program provisions upon which such decision is based. The final decision of the Provost shall be conclusive and binding upon all parties having or claiming to have an interest in the matter being reviewed. ERISA Information The Plan Name is the Webster University Group Benefit Plan 2017 Voluntary Retirement Incentive Program for Staff. The Plan Number is 511. The plan is a welfare benefit plan providing benefits upon severance from employment. The Plan Year is the calendar year, and the Program is self-administered by the University: Webster University, 470 E. Lockwood 3
Avenue, St. Louis, Missouri 63119, EIN: 43-0662529. The agent for service of legal process is the Chief Human Resources Officer, and the University is the plan administrator. As a participant in this Program, an individual is entitled to certain rights and protections under the Employee Retirement Income Security Act of 1974 ( ERISA ). ERISA provides that all participants shall be entitled to: Examine, without charge, at the plan administrator's office and at other specified locations, such as worksites, all documents governing the plan, including insurance contracts, and a copy of the latest annual report (Form 5500 Series), if any, filed by the plan with the U. S. Department of Labor. Obtain, upon written request to the plan administrator, copies of documents governing the operation of the plan, including insurance contracts and collective bargaining agreements, and copies of the latest annual report (Form 5500 Series) and updated summary plan description. The plan administrator may make a reasonable charge for the copies. Receive a summary of the plan's annual financial report. The plan administrator is required by law to furnish each participant with a copy of this summary annual report. In addition to creating rights for plan participants, ERISA imposes duties upon the people who are responsible for the operation of the employee benefit plan. The people who operate this plan, called "fiduciaries" of the plan, have a duty to do so prudently and in the interest of the participant and other plan participants and beneficiaries. No one, including the University, or any other person, may fire a participant or otherwise discriminate against him or her in any way to prevent him or her from obtaining a plan benefit or exercising his or her rights under ERISA. If a participant s claim for a benefit is denied or ignored, in whole or in part, the participant has a right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial, all within certain time schedules. Under ERISA, there are steps that a participant can take to enforce the above rights. For instance, if a participant requests a copy of plan documents or the latest annual report (if any) from the plan and does not receive them within 30 days, he or she may file suit in a Federal court. In such a case, the court may require the plan administrator to provide the materials and to pay the participant up to $110 a day until he or she receives the materials, unless the materials were not sent because of reasons beyond the control of the plan administrator. If a participant has a claim for benefits which is denied or ignored, in whole or in part, he or she may file suit in a state or Federal court. If it should happen that the plan fiduciaries misuse the plan's money, or if a participant is discriminated against for asserting his or her rights, the participant may seek assistance from the U.S. Department of Labor, or he or she may file suit in a Federal court. The court will decide who should pay court costs and legal fees. If the participant is successful, the court may order the person he or she has sued to pay these costs and fees. If the participant loses, the court may order him or her to pay these costs and fees, for example, if it finds the participant s claim is frivolous. If a participant has any questions about his or her plan, the participant should contact the plan administrator. If a participant has any questions about this statement or about his or her rights 4
under ERISA, or if he or she needs assistance in obtaining documents from the plan administrator, the participant should contact the nearest office of the Employee Benefits Security Administration, U.S. Department of Labor, listed in your telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue N.W., Washington, D.C. 20210. 5
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WEBSTER UNIVERSITY 2017 VOLUNTARY RETIREMENT INCENTIVE PROGRAM FOR STAFF POSITION TITLE AGE # ELIGIBLE # NOT ELIGIBLE Academic Advisor 69 1 0 65 1 0 64 1 0 Accounting Assistant 62 1 0 Administrative Assistant 70 1 0 Assistant Bursar-Billing 62 1 0 Associate Director 72 1 0 Assistant Director 63 1 0 Assistant Registrar 60 1 0 Associate Vice President 64 1 0 60 1 0 Community Relations Coordinator 71 1 0 Coordinator 1 63 2 0 Coordinator 2 63 1 0 62 2 0 Coordinator 3 68 1 0 67 2 0 64 1 0 63 1 0 61 2 0 60 0 1 Dean 80 1 0 68 1 0 62 1 0 Department Assistant 68 1 0 65 1 0 Department Associate 64 1 0 62 1 0 Director 76 2 0 68 2 0 66 1 0 64 1 1 62 2 0 60 0 1 Financial Aid Counselor 63 1 0 7
Graphic Designer 60 1 0 Instruction - Liaison Librarian Interlibrary Loan Coord 66 1 0 Library Asst Circulation Coord 62 1 0 Library Tech Services Assistant 64 1 0 62 1 0 Manager 71 1 0 64 1 0 Media Center Technician 1 72 1 0 Media Services Specialist 63 1 0 Music And Curriculum Cataloger 66 1 0 Office Manager 65 1 0 Project Manager 2 66 1 0 Public Safety Officer 2 64 1 0 Registrar 60 0 1 Representative 70 1 0 65 1 0 62 1 0 Service Clerk 65 1 0 Supervisor 1 63 1 0 60 1 0 Web Manager 63 1 0 8
EXHIBIT A 2017 Voluntary Retirement Incentive Program Agreement Staff Program I was provided with a copy of the 2017 Voluntary Retirement Incentive Program for Staff ( Program ). I have read and understand the terms of the Program. In accordance with the terms of the Program, I elect to participate in the following Option: Option A Separation Date of May 31, 2017 Option B Separation Date of December 31, 2017 Webster University advised me to consult with an attorney of my choosing regarding the terms of the attached Release I and Release II. I voluntarily elect to participate in the Program in accordance with the above election and to execute the attached releases. I understand that my election will be effective only if I execute and do not revoke both releases. Eligible Staff Member Signature Printed Name: Date: Received in Human Resources: Name: Date: /Time: 9