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Voluntary Separation Incentive Program

As part of a strategic plan to create opportunities for organizational adjustments to meet future needs, ´ó·¢ has implemented a Voluntary Separation Incentive Program (VSIP), which is intended to encourage employees to voluntarily separate or retire from the University on June 30, 2025, or no later than August 31, 2025 based on institutional need and by mutual agreement, and thus receive a severance package. This program is not generated by, nor does the University anticipate, implementing layoffs in connection with the program. This is a one-time, non-precedent setting program. 

Program Overview

Employees who voluntarily separate or retire from the University as part of the Voluntary Separation Incentive Program will be offered severance pay in accordance with the ´ó·¢ VSIP Terms and Conditions.

In exchange for voluntarily separating and executing separation agreements, which include a general release of all claims, employees (not including faculty who elect to FERP) will be paid six months' salary or a minimum of $35,000 (whichever is higher) up to a maximum cap of $100,000. Faculty who elect to FERP will receive an amount equal to 3 months salary. 

  • Who is eligible?
    Employees must meet all of the criteria listed below:
    • Employee Status: As of the application deadline on April 18, 2025 and continuing up until the date and time of the employee's separation determined in accordance with the VSIP, an employee must be a current ´ó·¢ state-side non-faculty employee in a permanent position OR in a Management Personnel Plan ("MPP") position, OR a tenured faculty employee, OR a full-time lecturer, counselor, or librarian faculty employee with a 3-year appointment.
    • Years of Service: As of the date of their separation, employees must have at least five (5) years of consecutive ´ó·¢ service, excluding student employment.  
  • Who is not eligible?
    • Non-faculty temporary employees
    • Other faculty temporary employees
    • Probationary employees
    • Faculty employees who are currently in FERP
    • Retired annuitants
    • Employees, other than those who have submitted an intent to FERP, who have already submitted a signed Resignation/Separation form with CalPERS with a Resignation/Separation date, or have otherwise agreed with the University to a retirement date, but have not yet retired are not eligible for this Program. 
  • Application Period

    The application period opens at 8:00 a.m. on April 7, 2025 and will end no later than 12:00 p.m. noon on April 18, 2025. 

    Completed applications will be processed on a first come, first served basis. The date and time that the employee submits the completed application is tracked in AdobeSign and will be used to determine the order in which applications are submitted.

  • When would I need to resign or retire?
    • Separation must occur on June 30, 2025. By exception, separation can occur later than June 30, based on institutional need and by mutual agreement, but no later than August 31, 2025.  
    • Those that intend to FERP, however, must separate no later than June 30, 2025.  
    • In the event an eligible employee who has existing retreat rights elects to participate in the VSIP, their separation may be modified to be consistent with the terms of their appointment letter and the election to FERP provisions of this agreement; the University shall, as necessary, confer with the employee regarding the separation date, transition period, and/or election to FERP. 

    In participating in the program, employees acknowledge that their resignation is voluntary and permanent and will be irrevocable as of the date of the execution of the first separation agreement and release. Further, the employee will be required to waive any right they may have under any applicable law, regulation, collective bargaining agreement, or policy to revoke or rescind the employee's resignation.

  • Application Process

    The 2025 VSIP Application Form must be filled out completely and signed via AdobeSign by the employee.  

    A separation date must be on June 30, 2025, or no later than August 31, 2025 based on institutional need and by mutual agreement. If the employee intends to retire, it is highly recommended that the employee contact CalPERS as soon as possible as retirement processing may take up to 3 or 4 months. It is the employee's responsibility to collect all pertinent information prior to submitting the application. Employees needing assistance with the VSIP application or process may contact the Office of Human Resources at vsip@csusm.edu.  

  • Application Approval Timeline
    1. HR will review each timely submitted VSIP application to confirm the employee's eligibility to participate based on the ´ó·¢ VSIP Terms and Conditions, and approve the application.   
    2. HR will notify the employee and their appropriate administrator of the conditional approval by e-mail and send the employee the first separation agreement ("First Separation Agreement and Release") and Voluntary Resignation Letter via AdobeSign.  The First Separation Agreement and Release will include, among other provisions, a general waive and release of all claims. 
    3. The employee will have 14 calendar days from the date the employee receives notice of conditional approval to return the fully executed first separation agreement, including a voluntary resignation letter, to HR via AdobeSign. The employee acknowledges that their resignation is voluntary and permanent and will be irrevocable as of the date of execution of the first separation agreement. Failure to return the fully executed first separation agreement and signed voluntary resignation letter to HR via AdobeSign within this specified time period will result in the University rescinding the conditional approval of the employee's application to participate in the VSIP. 
    4. HR will acknowledge receipt of the First Separation Agreement and Release and accept the voluntary resignation letter.  
    5. The initial payment of $10,000 will be issued within 30 days of HR acknowledgement of the completed First Separation Agreement and Release and voluntary resignation letter. 
    6. HR will send the final separation agreement ("Final Separation Agreement and Release") at least 14 calendar days before the employee's final date of employment. Participating employees must sign the fully executed final separation agreement no later than the employee's final day of employment. Failure to timely return a fully executed Final Separation Agreement and Release will result in the employee not being eligible for the remaining severance payment and being responsible to fully repay the $10,000 initial payment in accordance with the ´ó·¢ VSIP Terms and Conditions. 
    7. The remainder of the severance package shall be paid in a lump sum within 30 calendar days after the separation date, as indicated on the first separation agreement and final separation agreement. 
  • Severance Payments

    The severance package will be divided into two (2) parts. Employees will receive $10,000 of the calculated severance package in exchange for signing the first separation agreement ("First Separation Agreement and Release"), which shall include a signed letter of voluntary resignation as explained above, within thirty (30) calendar days of receipt of the fully executed first separation agreement. 

    Employees will receive the remainder of the calculated severance package within thirty (30) calendar days of receipt of the fully executed final separation agreement ("Final Separation Agreement and Release").

    NOTE: The severance package is taxable income and is to be paid through the State Payroll System. This income is not considered compensation earnable for purposes of calculating CalPERS retirement benefits. Moreover, the severance pay cannot be deferred to the following tax year nor into a defined contribution plan, defined benefit plan, brokerage account, or an annuity of any kind.

  • How is the severance package calculated?

    In exchange for voluntarily separating and executing separation agreements (which will include a general release of all claims), employees (not including faculty who elect to FERP) will be paid six months’ salary or $35,000 (whichever is higher) up to a maximum cap of $100,000. Faculty who elect to FERP will receive an amount equal to three months’ salary.  

    Severance pay is calculated using an employee’s monthly base salary (prorated for employees appointed for less than full time) at the time of separation.  

  • Program Limitations
    • Submission of an application is not an entitlement and does not guarantee participation in the VSIP.  
    • Employees who have signed the First Separation Agreement and Release are subject to the same University policies and standards of conduct as all other University employees who have not elected to participate in the VSIP. 
    • Applications will be processed on a first come, first served basis in the order in which the employee signs and submits the EEP application. Incomplete applications will be sent back to employee and will not be considered. 

Need Assistance?

If you are having technical issues accessing the form, please contact the AdobeSign team: esign@csusm.edu.

If you have questions about how to complete the application, please contact Human Resources: vsip@csusm.edu. 

Other Resources

 
´ó·¢ Benefits Office Questions regarding benefits, general retirement

hrbenefits@csusm.edu

(760) 750-4418

CalPERS Retirement eligibility

(888) 225-7377

Fidelity 403(b) Supplemental Retirement Program

(877) 278-3699

Savings Plus 457(b) and 401(k) Supplemental Retirement Program

(855) 616-4776

Social Security Administration Social Security questions and application process

1-800-772-1213

Medicare Federal health insurance for retirees

1-800-633-4227

Empathia Employee Assistance Program

1-800-367-7474