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Severance

    Title:

    Severance

    Publication date:

    9/21/2012

    Effective date:

    9/21/2012

    BRIEF

    Policy Summary

    Berkeley Lab provides severance payments based on years of Laboratory service to eligible nonprobationary Career employees. Eligible employees must have completed their probationary period and are laid off from employment for an indefinite period due to lack of work or lack of funds.

    Who Should Read This Policy

    • Career appointment employees (excluding Upper Laboratory Management positions) who have completed their probationary period. Employees in Upper Laboratory Management positions should read the Upper Laboratory Management Appointments policy.
    • This policy does not apply to those employees on a temporary work deferment status, temporarily reduced in time, or permanently reduced in time.
    • Employees who are represented by an exclusive bargaining agent should refer to their collective bargaining agreement (CBA).

    To Read the Full Policy, Go To:

    The POLICY tab on this wiki page

    Contact Information

    For more information, contact your division's Human Resources (HR) Center.
    Feedback on HR policies or procedures is welcomed. Send comments to HRpolicies@lbl.gov.

    Title:

    Severance

    Publication date:

    9/21/2012

    Effective date:

    9/21/2012

    POLICY

    A. Purpose

    In any Laboratory building Berkeley Lab provides severance payments based on years of Laboratory service to eligible nonprobationary Career employees. Eligible employees must have completed their probationary period and are laid off from employment for an indefinite period due to lack of work or lack of funds.

    B. Persons Affected

    • Career appointment employees (excluding Upper Laboratory Management positions) who have completed their probationary period. Employees in Upper Laboratory Management positions should read the Upper Laboratory Management Appointments policy.
    • This policy does not apply to those employees on a temporary work deferment status, temporarily reduced in time, or permanently reduced in time.
    • Employees who are represented by an exclusive bargaining agent should refer to their collective bargaining agreement (CBA).

    C. Exceptions

    Request for exceptions that exceed what is allowed under current policy or that are not expressly addressed by current policy are considered exceptions to policy. A request for an exception to policy requires, at minimum, approval by the Chief Human Resources and Diversity Officer (CHRO).

    D. Policy Statement

    1. Nonprobationary Career employees who are laid off from employment for an indefinite period due to lack of work or lack of funds are eligible for a severance payment in accordance with the following provisions.
    2. Severance Payment Calculations and Method of Payment
      UC-Managed DOE National Laboratories

      UC currently manages Lawrence Berkeley National Laboratory.
      UC ceased managing these DOE national laboratories:
      Lawrence Livermore National Laboratory (LLNL) 10/1/2007
      Los Alamos National Laboratory (LANL) 6/1/2006

      1. Calculation. The severance payment will be made in an amount equal to one week's pay for each year of continuous full-time-equivalent Laboratory service (including service at Lawrence Livermore National Laboratory and Los Alamos National Laboratory while these labs were managed by the University of California). A fractional year of full-time service of six months or more is counted as one year of service. The severance payment is not to exceed a total of 26 weeks' pay.
      2. Method of Payment. Severance will be paid in a lump sum at the time of termination, and will include appropriate taxes and other withholdings deductions.
    3. Conditions
      1. Layoff. Severance payments will not extend the period of employment beyond the date of termination due to layoff.
      2. Previous Severance Payment. A severance payment made to an employee will not include payment for any period of service for which the employee has previously received severance payment(s).
    4. Limitations. Severance will not be made to any employee who:
      1. Is on temporary work deferment status, temporarily reduced in time, or permanently reduced in time
      2. Transfers to another Laboratory position or University Career position
      3. Refuses a transfer to an equivalent position within the Laboratory or another University location
      4. Is offered employment with a successor/replacement DOE contractor
      5. Resigns
      6. Dies, except that severance pay will be provided if an individual dies after receiving notice of layoff
      7. Is dismissed for cause
      8. Elects to retire and has not received notice of layoff
    5. Exceptions for Voluntary Resignations. Exceptions for voluntary resignations upon approval of the Chief Operating Officer (COO) or designee may be made as follows:
      1. An employee who resigns after receiving formal notification of layoff but before the effective date of layoff may be provided a severance payment.
      2. An employee who resigns in lieu of another employee who would have been laid off may be provided a severance payment. Normally, approval of a voluntary layoff will be given only if the resignation will not have a detrimental effect on work in progress and if the employee concerned had not announced plans to resign or retire before the announcement of a layoff within the employee's division.
    6. Re-employment
      1. If an individual who has received severance payment is rehired at the Laboratory before expiration of the number of weeks for which the employee has received severance payment, the amount of the balance will be repaid to the Laboratory at time of hire.
      2. If an individual who has received severance payment is rehired by another University location before expiration of the number of weeks for which the employee has received severance payment, the amount of the balance must be repaid to the Laboratory within 90 days of hire at the new location.

    E. Roles and Responsibilities

    Role

    Responsibility

    Chief Human Resources and Diversity Officer

    Has the functional responsibility for this policy

    Employees

    Have the responsibility to adhere to the provisions of this policy

    Human Resources Department

    Has the responsibility to advise management and employees on how to comply with this policy

    Managers and Supervisors

    Have the responsibility to adhere to the provisions of this policy

    Payroll

    Has the responsibility for the severance-payment calculation

    Roles, responsibilities, authority and accountability are documented in applicable procedures (See Section H, Implementing Documents, below).

    F. Definitions/Acronyms

    Term

    Definition

    CBA

    Collective bargaining agreement

    CHRO

    Chief Human Resources and Diversity Officer

    Continuous Service

    Service is continuous if an employee is on pay status each month without a break in service.

    For severance-pay purposes, a break in service occurs when there is a separation from Laboratory employment status for any reason, except that a separation from employment for the purposes of transferring an employee to another University location is not a break in service.

    • Periods on an approved leave without pay for military service, illness or injury compensable by workers' compensation, assignment to another research organization at the direction of the Laboratory, or an approved leave without pay for any period of 30 calendar days or less are counted as periods of continuous service for the purposes of severance pay, as are periods on pay status before and after any other approved leave without pay.
    • Periods of employment before a break in service are not counted as periods of continuous service for purposes of severance pay.
    • Periods of employment as a University of California Graduate Student Research Assistant (GSRA), student assistant, or other trainee position are not counted as periods of continuous service for purposes of severance pay.
    • Periods of employment on variable time (once called indeterminate time) are not counted as periods of continuous service for purposes of severance pay.
    • Time spent as a postdoctoral fellow is counted toward calculating severance payment if the postdoctoral fellow continued his or her employment in a Career appointment without a break in service.
    • When a Limited appointment has been designated as a Career appointment after attaining 1,000 hours of qualifying service in any 12 consecutive months without a break in service of at least 120 consecutive calendar days, these hours on pay status will be counted for purposes of severance pay. Qualifying service includes all time on pay status in one or more Limited appointments at the University. However, only those hours worked at the Laboratory will be counted toward calculation of the severance payment.

    Equivalent Job

    An equivalent job is any Career position with the Laboratory or the University at a beginning salary at least equal to the salary paid the employee in the job from which that employee was laid off, regardless of salary range.

    One Week's Pay

    One week's pay for nonexempt hourly rated employees is defined as the basic hourly rate (excluding shift differential and overtime) times 40 hours or the specifically approved workweek. One week's pay for full-time exempt employees is defined as the hourly equivalent of the monthly rate times 40 hours (or, for part-time exempt employees, times the percentage time equivalent).

    University

    University in this section refers to any University of California location, including a UC-managed DOE national laboratory.

    G. Recordkeeping Requirements

    Role

    Responsibility

    Human Resources Department

    Is responsible for maintaining all employee records.

    Payroll Department

    Is responsible for maintaining severance calculation records.

    H. Implementing Documents

    Audience

    Document Number

    Document Title

    For HR Staff

    02.12.004.013

    RIF Letter Template – Nonrepresented

    For HR Staff

    02.12.004.014

    RIF Letter Template – Represented

    I. Contact Information

    For information regarding this policy contact your Division's HR Center.
    Do you have feedback regarding this policy? Contact the HR Policies Analyst, HR Department, hrpolicies@lbl.gov

    J. Revision History

    Date

    Revision

    By whom

    Revision Description

    Section(s) affected

    Change Type

    1/2/2012

    0

    M. Bello

    Re-write for wiki (brief only).

    All

    N/A

    9/21/2012

    1

    M. Bello

    Re-write for wiki. Reduction in Force policy was revised. Recall and Preferential Rehire policy was archived.

    All

    Major + 30 days

    DOCUMENT INFORMATION

    Title:

    Severance

    Document number

    02.06.009.000

    Revision number

    1

    Publication date:

    9/21/2012

    Effective date:

    9/21/2012

    Next review date:

    9/21/2015

    Policy Area:

    Compensation and Work Hours

    RPM Section (home)

    Human Resources

    RPM Section (cross-reference)

    none

    Functional Division

    Human Resources

    Prior reference information (optional)

    RPM Chapter 2.06(C)(3)

    Source Requirements Documents

    Source

    Document Number & Effective Date

    Document Title

    Department of Energy (DOE)

    DE-AC02-05CH11231, Mod No. M046, Sec. J, App. A

    Advanced Understandings on Human Resources

    Department of Energy (DOE)

    FAR 31.205-6(g)

    Compensation for Personal Services (Severance)

    University of California

    PPSM 60

    Layoff and Reduction in Time from Professional and Support Staff Career Positions

    Implementing Documents

    Audience

    Document Number

    Document Title

    Type

    For HR Staff

    02.12.004.013

    RIF Letter Template – Nonrepresented

    Template

    For HR Staff

    02.12.004.014

    RIF Letter Template – Represented

    Template

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