I. Avoiding Overpayments - Terminations
A person-level Termination (aka Separation in PPS) creates a benefits coverage ending date in the EDB. All employees terminating UC employment (including those with appointment ending dates and students) must be terminated in HCM. In addition to eliminating overpayments, there are many other reasons for termination (proof of termination for savings plan distributions, the ability to rehire an employee through HCM, and the "72-hour rule"). Use HCM to terminate/separate ALL employees when they leave UC employment, regardless of whether or not they were eligible for benefits during their employment.
- If an employee is being transferred, do not enter a termination reason code in HCM at the person level (a termination reason code in this case would inadvertently cancel benefits coverage!). Make sure to add this as a Transfer, Promotion or Demotion.
- From an HCM processing perspective, terminations occur at either the job level or person level. . All actions are TERMINATION; it is the reason code that differentiates ending additional jobs (End Addition Job or Job level layoff) vs. separation reason (all other reason codes).
- If an employee has one or more jobs, the termination occurs (at the job level) as follows:
- When it is one job, the action TERMINATION is coupled with a Reason code for leaving.
- If an employee has multiple jobs (appointments), the HR Administrator must first end the jobs in chronological order of ending. Use the action Termination, and the Reason Code is "End Additional Job." Then the HR Administrator terminates the last job (Primary job) with a Person-level reason code for leaving UCB (e.g. Accept Another Job).
For more information about Terminations in HCM, please visit HCM: Terminations.
When an employee separates, the department is responsible for giving the employee appropriate information as well as meeting certain notification requirements. This includes all faculty, staff, and student appointments, not just career appointments.
It is crucial that employees receive this information in a timely manner so they can make informed benefits decisions within applicable deadlines.
- Appropriate Benefits Checklist: Give to the employee.
Termination of Employment or Indefinite Layoff checklists provide the employee with information as to what happens with each benefit when leaving the University. (See UCnet's Checklists and Factsheets or order from KP Supply House.)
Point out the conversion options for Life Insurance and AD&D insurance on the Benefits Checklist. If the employee is interested in conversion information, contact HR Benefits.
- COBRA - See COBRA Information.
- Retirement Savings Programs Distribution Information
Fidelity Retirement Services is the University’s recordkeeping and account services provider for the UC Retirement Savings Program ( i.e., Defined Contribution Plan Regular and Safe Harbor, Tax-Deferred 403(b) Plan, and 457(b) Deferred Compensation Plan). To learn about your options or request a distribution, contact Fidelity at 1-866-682-7787, press 0, Monday through Friday between 5:00 A.M. and 9:00 P.M., PT. Or go online.
- Unemployment Insurance Information
In the case of layoff or dismissal, you must provide the employee with the EDD booklet (PDF) explaining Unemployment Insurance (Publication #DE2320).
- Vested UCRP members and/or members with PERS Reciprocity (especially if over age 50) should be instructed to Retirement Administration Service Center at 800-888-8267 (option 8) to review available options.
- Employees should update their beneficiaries if they are retiring or becoming an inactive member. Go to At Your Service Online, choose “Your Benefits Online” then under “Your Money” select “View Your Beneficiaries.”
- Credit Unions: Employees must contact the credit union directly regarding options after separation.
- A+/California Casualty: Employees who are members and paying premiums through payroll deduction should contact A+/California Casualty directly to coordinate direct billing.