Dear colleagues, we are delighted that the CFA and Capilano University administration have agreed on a voluntary separation incentive package for faculty who have had regular status for 5 or more years.
The input we received from members at our GM on Tuesday, 20 October, was helpful. We weren’t able to get everything that our members would like, but we think this is a good package–the best incentive package that we are aware of in CapU’s history. We recommend it to faculty who are considering retiring or resigning, and would like to take advantage of an incentive.
Unfortunately, as you will see in the joint bulletin from the administration and CFA, the administration will not offer this incentive to faculty on reduction. Reduced faculty members continue to have the rights of reduction including the option of taking severance. Please get in touch with your stewards if you have concerns regarding voluntary separation and reduction.
The details of the incentive options are in the joint bulletin and on Frontlines (top of page). That bulletin will include a “calculator” tool so you can figure out an approximate separation payment and pro rata PD and vacation entitlement. This tool is for planning purposes only.
We have a few notes as a supplement to the joint bulletin:
This is a separation incentive, not a retirement incentive. That means you would not be treated as a retiree. There are advantages and disadvantages to this. To help you compare retirement versus taking voluntary separation, we have prepared a table below (and see bullet 4 below).
The lump-sum payment that is part of this package is not pensionable, but all of your earnings up to the “Separation date” are pensionable, including the pro-rated payments for professional development and vacation that are part of the package.
To help you with tax options:
Faculty may allocate the lump-sum payment in a retirement savings account. Proof of RRSP contribution room per your 2025 Notice of Assessment is required.
Those who opt to separate as of 31 December 2026 or 31 December 2027: We understand that you can choose to receive the lump-sum payment in January (the next tax year), to help you with tax options.
Retro pay for our wage increase (3% more per year, starting 1 April 2025), which is negotiated through bargaining, will apply to the lump-sum payment, but only for those who separate after the date the administration and government ratify our new CA. Although the CFA is hoping to finish bargaining by the end of this calendar year (see our bargaining bulletins), we can’t guarantee this and we don’t have control of the timing of admin/government ratification.
As shown in the table above, only retirees have the right to stay on the CapU benefits plan (for a limited period). There are, however, several other benefits plans that you can sign up for after separation or retirement such as the Ontario Teachers plan. If you want help with your options, the stewards are available to talk with you.
We will go over the details of the package with area stewards and coordinators/chairs/convenors in our regular monthly meetings this coming Tuesday.
In solidarity,
Your CFA president and chief stewards
Michael Begg, Doug Alards-Tomalin, Diana Twiss, and John Molendyk