Reclassification and Your Benefits

A job reclassification will bring some changes to your benefits if it results in a change to your employee group. Choose your reclassification scenario in the dropdowns below for more information on changes to employee benefits. 

Eligibility and accrual rates are based on full-time appointments; if you do not have a full-time appointment, refer to the specific webpage or policy for each benefit.

Expand all

Labor-represented or Civil Service to Professional & Administrative (P&A)

Retirement savings

You have a one-time opportunity to choose whether to continue participating in the Minnesota State Retirement System (MSRS) pension or begin participating in Faculty Retirement Plan (FRP). You’ll receive an email from the Benefits Administration team with a form to return to OHR.

You must take action by the deadline in order to continue participating in the MSRS pension. Please note that you will be automatically switched to the FRP if you do not return the form by the deadline indicated in your letter. This decision cannot be changed at a later date, so make sure to review the plans carefully.

You remain eligible for the University’s voluntary retirement plans through Fidelity.

Plan comparisons
Minnesota State Retirement System (MSRS) pension planFaculty Retirement Plan (FRP)
Administered by MSRSAdministered by Fidelity
Defined-benefit plan with lifetime paymentDefined-contribution plan
You contribute 6% (temporarily reduced to 5.5% 7/1/23–6/30/25); University contributes 6.25%You contribute 5.5%; University contributes 10%
Three-year vesting period (also called a three-year service credit)Immediately vested
You do not choose where funds are investedYou choose where funds are invested
Pension payments based on years of service credit, highest five consecutive years of salary, and age you start collecting your pensionBenefit payout based on account balance; participant chooses withdrawal options

Considerations for making your decision:

  • Pension vesting period (3 years)
  • Career outlook in Minnesota public employment
  • Household finances, including partner’s retirement savings
  • Your risk tolerance and comfort level with the different types of plans
  • Pension benefit estimates from MSRS
  • Potential account balance in the FRP

You may want to consult a financial professional to help you make the best decision for your personal financial situation. MSRS, Fidelity, and University benefits consultants are available to help you:

Vacation

Your P&A classification comes with the following: 

  • Earn 22 days/year (pro-rated for appointments for less than 100%)
  • Max balance: 27 days (216 hours)
  • Max balance that can be paid out at end of employment: 22 days (176 hours) 

At the time of reclassification:

  • For Civil Service employees moving to P&A: Up to 120 vacation hours will remain in your bank and any hours above 120 will be paid out 
  • For Labor-represented employees moving to P&A: Up to 80 vacation hours will remain in your bank and any hours above 80 will be paid out
  • All compensatory (comp) time is paid out

See University policy for more information on Faculty/P&A vacation leave.

Sick time

As P&A, you are covered in the Paid Medical Leave and Disability Benefits policy. You will no longer track sick time in MyU. If you are ever reclassified as Civil Service or Labor Represented, you will have access to your accrued sick time again. 

Disability insurance

As of the date of your reclassification, you are automatically enrolled in the Academic Disability Plan at no cost to you. About the plan:

  • Income replacement depends on years of service and length of leave
  • Benefits are taxable since premiums are employer-paid
  • If you have voluntary short-term disability, you may cancel within 30 days of the date of the reclassification or choose to keep it
  • If you have voluntary long-term disability, that coverage will be automatically canceled as of the date of the reclassification

Learn more about the Academic Disability Plan, including how to submit a claim.

What benefits stay the same?

Reclassification does not count as a qualifying life event for the following benefits, so your next chance to make changes to the benefits below will be Open Enrollment (held every year during the month of November) or due to a qualifying life event such as a birth, marriage, or divorce.

  • Medical insurance
  • Dental insurance
  • Life insurance
  • Flexible Spending Accounts

Professional & Administrative (P&A) to Civil Service

Retirement savings

You have a one-time opportunity to choose whether to continue participating in the Faculty Retirement Plan (FRP) or begin participating in the Minnesota State Retirement System (MSRS) pension. You’ll receive an email from the Benefits Administration team with a form to return to OHR. 

Please note that you will continue to participate in the FRP if you do not return the form by the deadline indicated in your letter. This decision cannot be changed at a later date, so make sure to review the plans carefully.

You remain eligible for the University’s voluntary retirement plans through Fidelity. 

Plan comparisons
Minnesota State Retirement System (MSRS) pension planFaculty Retirement Plan (FRP)
Administered by MSRSAdministered by Fidelity
Defined-benefit plan with lifetime paymentDefined-contribution plan
You contribute 6% (temporarily reduced to 5.5% 7/1/23–6/30/25); University contributes 6.25%You contribute 5.5%; University contributes 10%
Three-year vesting period (also called a three-year service credit)Immediately vested
You do not choose where funds are investedYou choose where funds are invested
Pension payments based on years of service credit, highest five consecutive years of salary, and age you start collecting your pensionBenefit payout based on account balance; participant chooses withdrawal options

Considerations for making your decision:

  • Pension vesting period (3 years)
  • Career outlook in Minnesota public employment
  • Household finances, including partner’s retirement savings
  • Your risk tolerance and comfort level with the different types of plans
  • Pension benefit estimates from MSRS
  • Potential account balance in the FRP

You may want to consult a financial professional to help you make the best decision for your personal financial situation. MSRS, Fidelity, and University benefits consultants are available to help you:

Vacation

Your Civil Service classification comes with the following vacation accrual: 

Years of University service Vacation days earned per year
0 to 5 13
5 to 8 16.25
8 to 12 22.75
12 to 20 25.48
20 to 25 26
25 to 30 27.62
30+ 29.25

Note: vacation days based on 100% appointment; lower full-time appointments are pro-rated. Your maximum balance is two years of vacation accrual. For example, if you’ve worked at the University for seven years, your maximum balance is 32.5 days of vacation, or 260 hours.

Civil Service V-class employees (a small number of employees) earn additional six days per year.

Vacation and ending employment

For eligible Civil Service employees (10 years service and 200 or more hours of accrued vacation), your balance will be put into the Health Care Savings Plan (HCSP) through MSRS.

For all other employees, the balance will be paid out in a lump sum less taxes. 

For more information, view University employee contracts

Sick time

  • Accrual rate: 13 days/year
  • No maximum balance
  • Upon end of employment, sick time is not paid out

Disability insurance

As of the date of your reclassification you are no longer eligible for the Academic Disability Plan. However, you have 30 days from the date of your reclassification notification to add voluntary short-term or long-term insurance without evidence of insurability. (You can enroll anytime during the year with evidence of insurability.) Cancellations can only be made due to a qualifying life event or during Open Enrollment, which is held each year in November. 

More details about short-term and long-term disability insurance:

  • You pay premiums
  • Benefits are not taxed (premiums are paid on post-tax basis)
  • Coverage available:
    • Short-term: up to 66.67% of pay
    • Long-term: up to 60% of pay

Click here for more information on disability insurance options. 

What benefits stay the same?

Reclassification does not count as a qualifying life event for the following benefits, so your next chance to make changes to the benefits below will be Open Enrollment (held every year during the month of November) or due to a qualifying life event such as a birth, marriage, or divorce.

  • Medical insurance
  • Dental insurance
  • Life insurance
  • Flexible Spending Accounts

Professional & Administrative (P&A) to Labor Represented

Retirement savings

You are required to participate in the Minnesota State Retirement (MSRS) pension. As of the date of your reclassification, you will begin contributing to MSRS and stop contributions to the Faculty Retirement Plan (FRP). 

You remain eligible for the University’s voluntary retirement plans through Fidelity. 

About the MSRS pension plan:

  • Administered by MSRS
  • Defined-benefit plan with lifetime payment
  • You contribute 6% (temporarily reduced to 5.5% 7/1/23–6/30/25); University contributes 6.25%
  • Three-year vesting period
  • You do not choose where funds are invested
  • Pension payments based on years of service credit, highest five consecutive years of salary, and age you start collecting your pension

Learn more about the MSRS pension plan.

You may want to consult a financial professional to help you navigate the transition. MSRS, Fidelity, and University benefits consultants are available to help you:

Vacation

Your Labor Represented classification comes with the following vacation accrual: 

Years of University service Vacation days earned per year
0 to 5 13
5 to 8 16.25
8 to 12 22.75
12 to 20 25.48
20 to 25 26
25 to 30 27.62
30+ 29.25

Note: vacation days based on 100% appointment; lower full-time appointments are pro-rated. Your maximum balance is two years of vacation accrual. For example, if you’ve worked at the University for seven years, your maximum balance is 32.5 days of vacation, or 260 hours.

Vacation and ending employment

For eligible Teamsters employees (10 years of service and 80 or more hours vacation), your balance will be put into the Health Care Savings Plan (HCSP) through MSRS.

For all other labor-represented employees, the balance will be paid out in a lump sum, less taxes. 

For more information, view University employee contracts

Sick time

  • Accrual rate: 13 days/year
  • No maximum balance
  • Upon end of employment, sick time is not paid out

Disability insurance

As of the date of your reclassification you are no longer eligible for the Academic Disability Plan. However, you have 30 days from the date of your reclassification notification to add voluntary short-term or long-term insurance without evidence of insurability. (You can enroll anytime during the year with evidence of insurability.) Cancellations can only be made during Open Enrollment, which is held each year in November. 

More details about short-term and long-term disability insurance:

  • You pay premiums
  • Benefits are not taxed (premiums are paid on post-tax basis)
  • Coverage available:
    • Short-term: up to 66.67% of pay
    • Long-term: up to 60% of pay

Click here for more information. 

What benefits stay the same?

  • Medical insurance
  • Dental insurance
  • Life insurance
  • Flexible Spending Accounts

Reclassification does not count as a qualifying life event, so your next chance to make changes to the benefits above will be Open Enrollment (held every year during the month of November). 
 

Labor-represented to Civil Service or Civil Service to Labor-represented

What benefits stay the same?

  • Medical insurance
  • Dental insurance
  • Life insurance
  • Flexible Spending Accounts (FSAs)
  • Retirement savings (MSRS pension)
  • Vacation and sick time accrual
  • Disability insurance (voluntary short- or long-term)

Vacation and end of employment

For eligible Civil Service employees (10 years of service and 200 or more hours of accrued vacation) and Teamsters employees (10 years of service and 80 or more hours of accrued vacation), your balance will be put into the Health Care Savings Plan (HCSP) through MSRS.

For all other employees, the balance will be paid out in a lump sum less taxes. 

More Information

If your reclassification situation is not captured above or if you’d like more information, email ohradmin@umn.edu to request an appointment with an OHR benefits consultant.