- Effective: 06-15-2016
- Last Revised: 06-23-2026
- Responsible University Administrator: Vice Chancellor for Business and Finance
- Responsible University Office: Human Resources
- Policy Contact: Rachel Radel, Manager, Employee Relations, Development & Talent Acquisition • rradel@unomaha.edu
Scope
This policy applies to all benefits-eligible faculty and staff of the University of Nebraska at Omaha (“UNO”). It provides guidance for employees and supervisors regarding voluntary separations from employment through resignation or retirement.
Policy Statement
UNO recognizes that employees may voluntarily separate from employment through resignation or retirement. To ensure proper processing, equitable treatment, and compliance with University of Nebraska System (“University System”) policies, this policy establishes consistent expectations for notice, final payments, and eligibility for leave payouts.
Payment Upon Separation
Employees who resign or retire will be compensated for accrued leave balances as follows:
- Vacation Leave: Paid for unused accrued vacation leave up to a maximum of two hundred eighty (280) hours.
- Floating Holidays: Paid for unused floating holidays up to a maximum of thirty-two (32) hours.
- Compensatory Time: Paid for any compensatory time earned, if applicable.
- Sick Leave: Not paid upon separation, except as provided for certain Office/Service employees (see below).
Vacation leave may not be used to extend the employee’s separation date. The effective date of separation is recorded as the last day the employee was physically present at work or on the job.
Retirement Criteria
Employees are eligible to retire from the University System under one (1) of the following conditions:
- At age sixty-two (62) or older with no minimum years of service requirement; or
- At age fifty-five (55) or older with at least ten (10) years of University System service.
An employee may also retire due to a qualifying physical or mental disability that prevents the employee from satisfactorily performing the essential functions of their position, as supported by one (1) of the following:
- Receipt of a Social Security Disability Award; or
- Approval for disability benefits under the University System’s group long-term disability insurance plan.
In exceptional cases, UNO and/or University System administration may approve a disability retirement when good cause is otherwise established.
Sick Leave Payout for Eligible Office/Service Employees
Office/Service employees (or their beneficiaries) hired prior to July 1, 2019, and retiring before July 1, 2035, will receive a supplemental payment equal to one-fourth (1/4) of their accumulated sick leave, up to a maximum of three hundred sixty (360) hours. The payment is calculated using the employee's hourly rate of pay at the time of separation and will be included in the final paycheck.
Managerial/Professional employees do not receive payment for unused sick leave upon separation or retirement.
Rehires and Restoration of Leave
- Employees who separate from a regular, benefit-eligible position with the University System and are rehired within three (3) years into a regular, benefit-eligible position with the University System will have their sick leave balance restored and their former accrual rates for vacation and sick leave reinstated.
- For employees who retired and received a sick leave payout, sick leave is not reinstated upon their rehire.
- Employees rehired to a leave-eligible position within three (3) years of the date of separation (including those who return to UNO after retirement) will be credited with prior years of employment. The leave accrual date will be adjusted to reflect the break in service.
- Employees transferring to another University System position within twelve (12) months will not receive payout of leave; instead, balances will transfer with the employeeto the new unit, unless the employee is subject to a reduction in force or transfers to a non-leave eligible position.
Notice of Resignation or Retirement
Employees are expected to provide written notice of their intent to resign or retire as early as possible, but no less than two (2) calendar weeks prior to separation.
The notice must include:
- The employee’s final working day,
- The reason for separation, and
- The employee’s signature and date
The notice should be submitted to the employee’s supervisor, who must promptly forward it to Human Resources – Employee Relations and Benefits for processing.
Reason for Policy
This policy ensures that resignations and retirements are managed consistently, in compliance with University System policies and federal and state laws. It provides clarity on leave payouts, rehire eligibility, and retirement criteria while supporting fair and efficient transition processes for separating employees.
Procedures
- Employee Action: Provide written notice to supervisor with final working date and reason for separation.
- Supervisor Action: Forward notice to Human Resources immediately for processing.
- HR Processing: Confirm eligibility for leave payouts and retirement benefits, ensure final payroll adjustments, and notify relevant departments (IT, Payroll, Benefits).
- Exit Steps: Departing employees should complete required offboarding actions, including return of UNO and/or University System property and completion of exit interview or survey
Definitions
Resignation: A voluntary separation initiated by the employee, typically with at least two weeks’ written notice.
Retirement: A voluntary separation meeting age and service criteria established by the University of Nebraska System.
Disability Retirement: Retirement due to a medically documented physical or mental condition that prevents satisfactory job performance, as supported by Social Security or long-term disability approval.
Additional Contacts
Benefits and retirement processing
Stacey Simpson, Manager, Benefits402.554.3660
unobenefits@unomaha.edu
History
This policy was developed and approved prior to the implementation of the campus policy development and approval process approved by the Chancellor’s Cabinet in October 2015. It was updated to ensure compliance in January 2026.
Revised policy approved by the Senior Executive Leadership Team on June 23, 2026.