Layoff Effects on Benefits
Medical, Dental and Prescription Coverage
If currently enrolled, the university will continue health, dental, and prescription contributions through the end of the month of layoff.
An employee may continue benefits coverage by making timely premium payments to MSU during their layoff. Employees who allow coverage to lapse due to non-payment will automatically be reinstated to the coverage in effect, prior to the leave, upon their return to an eligible status.
For detailed information on premium amounts, please visit Open Enrollment and review the Special Guide for individuals who are on an Unpaid Leave of Absence (LOA).
Life Insurance
Expanded Life: Coverage ends 180 days from the last day paid.
Supplemented Employee-Paid Life: If enrolled, you will receive a premium notice indicating the payment required for continuation.
Accidental Death and Dismemberment: If enrolled, you will receive a premium notice indicating the payment required for continuation.
Retirement Plans
Your contributions and university contributions will end with your last paycheck.
Flexible Spending (Dependent Care and Health Care) Accounts
If enrolled, salary deduction will cease with your last paycheck.
Long Term Disability, Workers Compensation, Travel Accident
Coverage ends with the last day worked. Part-time employees are not eligible for Long Term Disability.
Educational Assistance
Full-time employees who have 12 continuous full time service months with the university may apply for the Educational Assistance Program. If eligible, laid off employees have extended access to the Educational Assistance Program for up to six months after the layoff effective date. Through this program, employees may access approved education programs, subject to annual limits, to enhance employability
For more detailed policies and application procedures, please see the Support Staff Educational Assistance Program Policy.
Course Fee Courtesy
If your spouse and/or dependent child(ren) are already enrolled at MSU using course fee courtesy, their eligibility will be extended for the upcoming full semester (fall, spring, summer) after the employee's layoff effective date.
For more detailed information, please review the Course Fee Courtesy Policy.
Vacation/Holiday/Personal/Sick Leave
Vacation, personal and sick leave accruals and holiday pay will stop while on layoff status. For Clerical-Technical Union employees, holiday pay is paid if the employee is receiving pay the day before and the day after a holiday while on layoff status.
Payments
Vacation time accrued as of the layoff date, will be paid in the payroll cycle, either bi-weekly or monthly, until vacation accruals have been exhausted.
Personal time not used will not be paid while on layoff status.
Sick leave is not payable while on layoff, however, a portion of accrued sick leave is payable upon university retirement or termination in the following circumstances:
1. Employee meeting the university minimum retirement requirements upon retirement.
2. Employees who do not meet the university minimum retirement requirements, but have at least five years of service, and who have attained the age of 65 at the time of separation.
The amount of sick leave payable varies in each circumstance as specified in the current labor contract.
For additional information on how your benefits are affected by your layoff, please contact MSU HR at 517-353-4434 or email H R.TalentManagement@hr.msu.edu.
