2025 VSIP Guidelines


University of Kansas - Lawrence and Edwards Campus 

Voluntary Separation Incentive Program for Faculty Retirement

 

VSIP Commencement Date: Oct. 30, 2025

Introduction

The University of Kansas – KU Lawrence and Edwards campuses (“KU”) is currently facing a challenging financial situation, which requires implementing a wide variety of measures to facilitate the ongoing fiscal health of the University. Consequently, KU has adopted the Voluntary Separation Incentive Program (“VSIP”), effective Oct. 30, 2025, for qualified faculty who are retirement eligible under the University’s policies. The VSIP is designed to provide eligible KU faculty who voluntarily elect, and are approved, to separate employment from KU with a VSIP retirement date on May 22, 2026, with the separation benefits described in this document. Each application will be reviewed individually. The intention is to allow as many eligible faculty as possible to participate, although each approval will be granted based on the best interest of the University. 

Description

1. Eligibility

The VSIP is available only to eligible KU-Lawrence and Edwards Campus faculty who are active participants in the KBOR Mandatory retirement plan who:

  1. Are 62 years of age or older at the Date of Separation (retirement);
  2. Hold a tenured position at the rank of Associate Professor, Professor, Distinguished Professor, Associate Librarian or Librarian;
  3. Hold a state-funded position;
  4. Have completed at least ten (10) years of service in a benefits-eligible position at KU or a State of Kansas agency at the date of separation; and
  5. Are not otherwise ineligible, as set forth below. 

Eligibility will be determined by KU Human Resources. 

Funding of VSIP is provided through one-time savings to reduce ongoing costs. Support cannot be provided for positions funded by research grants, self-funded budgets, endowment funds, federal funds, or any other external funding.   

2. Ineligibility 

The following employee groups are ineligible:  

  1. Individuals who already have an active phased-retirement agreement or are scheduled to begin phased-retirement at a future date,
  2. Employees who have already identified and communicated a specific date for separation from the University and their unit has acknowledged the decision,
  3. Employees whose positions are funded entirely (100%) through grants,
  4. Current KU retirees who have been rehired at KU,
  5. Individuals residing in a state where the VSIP is prohibited by law, and
  6. Individuals approved to receive or receiving long-term disability benefits, and
  7. Individuals on sabbatical leave during Spring 2026, unless revoked.

3. Voluntary Program 

Each eligible employee is encouraged to consider the program and determine whether it is the right opportunity. No one can require eligible employees to apply for the VSIP or prohibit them from doing so. Submitting an application to participate in the VSIP shall be on a voluntary basis for all eligible employees. The VSIP application does not in any way change one’s current employment relationship with KU nor may be used in retaliation in respect to future terms and conditions of employment.

The opportunity for eligible faculty to apply for participation in the VSIP is limited. The application period begins on Oct. 30, 2025 and ends on Dec. 1, 2025. Approved employees will be required to separate (retire) from KU on May 22, 2026 (“Retirement Date” or “Separation Date”). Approved employees will be required to sign a Separation Agreement with a release of claims, described later in this document, in order to receive the VSIP incentive payment. Additional information can be reviewed on the VSIP Overview webpage.

In general, each eligible employee who separates from KU in accordance with the VSIP will receive a lump-sum cash payment of an amount equal to their FY 2026 budgeted nine-month base salary (or 12-month base salary), minus required payroll deductions. Deductions include applicable federal and state taxes and any other legally required deductions. Base salary is the annual budgeted salary for the faculty member not including payments for summer sessions, overloads, or other one-time payments; endowed or distinguished professor supplements; research or external funding; endowment income; or any other administrative payments.

Individuals on sabbatical leave in Fall 2025 are subject to a pro rata reduction of the VSIP benefit equivalent to the reimbursement of one semester of pay in accordance with Section 10 of the University Sabbatical Leave Policies and Procedures.

This document shall serve as the program document governing the terms of the VSIP. Eligibility and payments for the VSIP are governed by the terms of this document. Please refer to this document for information concerning any rights and obligations you may have under the VSIP. 

The VSIP is not an entitlement and any approvals under the VSIP must be consistent with the needs of KU. A fundamental requirement of the VSIP is that any approvals to participate in the VSIP must result in a benefit to the KU community, such as significant cost savings as determined by their unit and campus administration. Therefore, not every eligible employee’s application to participate in the VSIP will necessarily be approved. 

The University of Kansas will not allow rehire of VSIP participants, except with the approval of the Provost after a dean’s recommendation is submitted and other conditions are met. There will be a 12-month waiting period before a participant may be rehired. The faculty member retiring under this VSIP may only be rehired to a limited-term position that is fully externally funded. There are other important stipulations of the rehiring of retirees outlined within the University’s Retiree Rehire policy that would also apply.  

4. VSIP Application Procedure 

The application period begins on Oct. 30, 2025 and ends on Dec. 1, 2025. Applications submitted later than 5:00 p.m. CST on Dec. 1, 2025 will not be considered. To apply for the VSIP, an eligible employee must complete and submit an online VSIP Notice of Interest application form.

A sample draft of the Separation Agreement is available on the VSIP Forms webpage. In order to receive the VSIP benefits, employees will be required to execute the Separation Agreement. By signing the Separation Agreement, employees are giving up their right to sue the University as set forth in the Separation Agreement.

The VSIP Notice of Interest application form is behind KU’s secure Single Sign-on and must be completed and submitted electronically no later than 5:00 p.m. CST on Dec. 1, 2025. VSIP Notice of Interest application forms sent by any other delivery method will not be accepted.

The Notice of Interest application form indicates the employee desires to voluntarily separate employment (retire) with KU effective on May 22, 2026, in exchange for the VSIP payment and other consideration described herein. The Provost Office will acknowledge receipt of the Notice of Interest application forms via email.

The Notice of Interest application form may be withdrawn any time prior to submitting an executed Notice of Retirement described below. To withdraw the Notice of Interest application form, the applicant must complete and electronically submit the online Withdrawal Form.

VSIP applicants will be notified electronically whether an application has been approved or denied on or before Dec. 9, 2025. In agreement with UAKU, university administrators agree to discuss decisions with individuals whose applications are denied. If approved, notification will include instructions on how to execute the Notice of Retirement form and the Separation Agreement.

Applicants who have questions regarding the amount they are eligible to receive as a VSIP Incentive Payment, should request that information via email to vsip@ku.edu. 

5. Notice of Retirement

If a VSIP Application is approved, the employee will receive an electronic Notice of Retirement form for signature. The completed Notice of Retirement form must be submitted no later than 5:00 p.m. CST on Dec. 23, 2025, or the application will be automatically withdrawn. 

The employee may not revoke a signed Notice of Retirement form once it has been received.

6. Timeline

The VSIP timeline is summarized below.  

ActionDate
VSIP announced/commencesOct. 30
VSIP application deadline (Notice of Interest)Dec. 1
Employee notified whether their application has been accepted and, if approved, receive Notice of Retirement form and Separation Agreement (without signature block) via emailDec. 9
Employee completes and submits the online VSIP Notice of Retirement form via email to vsip@ku.edu Dec. 23
Employee receives electronic Separation Agreement document (with signature form) via email  Jan. 12, 2026
Includes employee’s mandatory 45-day review period to review the Separation AgreementJan. 13 – May 22, 2026
Retirement dateMay 22, 2026 (Friday following KU Commencement)
Deadline to submit signed and notarized Separation AgreementMay 29, 2026

Please be aware that it may take several weeks after your retirement and the execution of the Separation Agreement before the VSIP payment processes. You will be notified of the exact date your payment will be received once the Separation Agreement is executed.

7. VSIP Selection Criteria 

While it is the intention of KU to allow as many eligible faculty as possible to participate in the VSIP, KU reserves the right to limit the total number of participants in order to preserve the viability of programs and the integrity of financial resources. Decisions to deny an application will not be made arbitrarily or unreasonably. Prior to denying an application, University administrators agree to meet with the applicant and representatives of UAKU to discuss the decision.

Decisions to fund a voluntary separation package are made by the Chancellor and the Provost with recommendations from unit leaders, based upon the following criteria: 

  1. Meets VSIP eligibility requirements.
  2. Unit’s operational and accreditation needs are served. Separation must not hinder the unit’s current ability to achieve its strategic and organizational mission. The Dean/Provost/Chancellor may limit the number of individuals approved in any one unit.
  3. The needs and best interests of the university community are served.

8. VSIP Incentive Payment 

VSIP approved participants who have not exercised a request to revoke a Separation Agreement will receive a lump‐sum cash payment of their FY26 budgeted base salary, minus legally required deductions. Base salary is defined either as (i) academic-year salary for those budgeted on a less than 12-month schedule; or (ii) fiscal-year salary for those budgeted as 12 months as of August 25, 2025, less required deductions. The base salary is the academic-year or 12‐month salary in effect at Aug. 25, 2025, and does not include any other payments such as faculty payments for summer sessions, overloads or other one‐time payments; endowed or distinguished professor supplements; endowment income; research grants; or any other administrative or external funding. VSIP approved participants will not be eligible for future merit or cost of living increases that may be announced prior to retirement. 

The incentive payment shall be made based on the payroll period in which the retirement date falls and paid according to the payroll calendar established by the State of Kansas.

Employees who wish to confirm the amount of their VSIP payment should e-mail vsip@ku.edu.

9. Maximum Payment  

The lump sum cash payment described above is the maximum VSIP payment made upon approval of the employee’s application for voluntary separation. The VSIP payment available may be coordinated with and reduced by the amount of any benefits related to any temporary-total, temporary-partial or similar benefits based on a worker’s compensation claim to the fullest extent permitted by law. 

10. Retirement Status 

The KU process for determining emeritus status and associated privileges will be followed for all VSIP approved retirees. The policy is available in the KU policy library.  

 

11. Other Benefits at Retirement 

Employees accepting a VSIP Retirement will be eligible for benefits KU provides to retirees. Those approved for the VSIP who do not sign the Separation Agreement will not receive the incentive payment BUT will still have to retire.  All retirees are eligible for the benefits listed on the Human Resources website. Compensable accrued sick and/or vacation leave payments due to an employee at the time of separation and other retirement benefits will be administered in accordance with established University policies, plans, and procedures. Retirees will receive a payment for those compensable payments regardless of whether they execute the Separation Agreement.

12. Forfeiture of Tenure and Notice Rights   

Tenured faculty relinquish their indefinite tenure status upon their voluntary Date of Separation. 

 

13. Information to be Furnished 

Upon request, employees who apply for participation in the VSIP shall furnish to KU such documents, data or other information as KU considers necessary for the purpose of administering the VSIP.

 

14. Separation Agreement with Waiver and Release 

If a VSIP Application is approved and a signed Notice of Retirement form is received, the employee will receive an individual Separation Agreement for review and signature. The signed Separation Agreement must be signed on or within seven days after the date of separation, or they will not receive their incentive payment.

Separation Agreements must be signed, notarized and emailed to vsip@ku.edu. By signing the Separation Agreement, the employee will release all claims and agree not to sue the University of Kansas, the Board of Regents and the State of Kansas for claims as set forth in the Separation Agreement. This Separation Agreement will cover any claims arising under federal, state and local laws, including, but not limited to the Age Discrimination in Employment Act.   

The Separation Agreement does not apply to rights or claims that arise after an employee retires and signs the Separation Agreement. Employees will also be provided with information on the group of individuals covered by the program, the eligibility factors considered, the time periods involved in the program, and a list of all job titles and ages of the employees eligible and selected for the program and the job titles and ages of all the employees eligible and not selected. 

The employee may revoke a submitted Separation Agreement on or within seven (7) calendar days of the date on which the agreement is executed. Revocation of the submitted Separation Agreement will constitute automatic withdrawal of the employee’s application for payment in the VSIP. Retirement of the employee will still occur. Revocation of the Separation Agreement must be clearly stated in writing and signed by the employee. 

Revocations must be emailed to vsip@ku.edu. Revocations sent by any other delivery method will not be accepted. If the employee does not revoke the submitted Separation Agreement on or within seven (7) calendar days of the date the Agreement is executed, the employee’s incentive payment will be made in accordance with the VSIP and the Separation Agreement. Those who are selected to participate in the VSIP and sign the required paperwork are encouraged to return the Separation Agreement on the applicable retirement date. 

Signing the Separation Agreement before your actual retirement date may require you to re-sign the agreement after you retire. Failing to promptly submit the signed agreement may cause the VSIP payment to be delayed. 

15. Recommendation of Attorney Review 

Pursuant to the Older Workers’ Benefit Protection Act of 1990 and the Age Discrimination in Employment Act, eligible employees are advised to contact an attorney of their own choosing at their own expense to discuss the VSIP and to review documents provided as part of the program. Participants are also encouraged to consult a tax advisor of their own choosing if they so desire. 

16. Recovery of VSIP Payments Made in Error  

An eligible employee shall return to KU the VSIP payment or other consideration, or portion thereof, made by a mistake of fact or law or paid contrary to terms of the VSIP. 

17. VSIP Beneficiary Payments 

The Separation Agreement will provide for a beneficiary designation. If an employee dies after the Date of Separation but prior to receiving the VSIP payment, and timely notice of the death is provided to the University, the entire VSIP payment will be made to the beneficiary. 

18. Representations Contrary to the VSIP  

No employee, officer, director or agent of the University has the authority to alter, vary or modify the terms of the VSIP, except by means of an authorized written amendment to the VSIP approved by the Provost. No verbal or written representations contrary to the terms of the VSIP and its written amendments shall be binding upon the University.

 

19. No Future Employment Rights Created by VSIP 

The VSIP shall not confer employment rights upon any person. No person shall be entitled by virtue of the VSIP to remain employed by or to be rehired by KU. 

20. Applicable Law 

The VSIP shall be governed and construed in accordance with the laws of the State of Kansas, without reference to its conflicts of law provisions.

21. Severability 

If any provision of the VSIP is found, held, or deemed by a court of competent jurisdiction to be void, unlawful, or unenforceable under any applicable statute or other controlling law, all of the remaining provisions of the VSIP shall continue in full force and effect.

22. Nondiscrimination Statement 

The University of Kansas prohibits discrimination on the basis of race, color, ethnicity, religion, sex, national origin, age, ancestry, disability, status as a veteran, sexual orientation, marital status, parental status, gender identity, gender expression, and genetic information in the University’s programs and activities. Retaliation is also prohibited by university policy. The following person has been designated to handle inquiries regarding the non-discrimination policies and is the Title IX coordinator for all KU and KUMC campuses: Associate Vice Chancellor for the Office of Civil Rights and Title IX, civilrights@ku.edu, Room 1082 Dole Human Development Center, 1000 Sunnyside Ave., Lawrence, KS 66045, 785-864-6414, 711 TTY. Reports can be submitted by contacting the Title IX Coordinator as provided, or using the Title IX online report form, and complaints can be submitted with the Title IX Coordinator by using the Title IX online complaint form

These guidelines are in accordance with Titles VI and VII of the Civil Rights Act of 1964, the Equal Pay Act of 1963, the Age Discrimination Act of 1975, the Age Discrimination in Employment Act of 1967, Executive Order 11246, Title IX of the Education Amendments of 1972, Sections 503 and 504 of the Rehabilitation Act of 1973, the Jobs for Veterans Act of 2002, the Kansas Acts Against Discrimination, and all other applicable civil rights and nondiscrimination statutes. 

23. Program Conclusion 

The VSIP will terminate when all payments described in these guidelines have been provided to all approved employees who submit and do not later revoke properly executed Separation Agreements.

 24. Questions Regarding the VSIP 

Questions or concerns may be directed by email to vsip@ku.edu. The Chancellor shall have the discretionary authority to determine eligibility for the VSIP payment and other consideration and to construe the terms of the VSIP, including the making of factual determinations. The decisions of the Chancellor shall be final and conclusive with respect to all questions concerning the administration of the VSIP.  

25. Disputes Regarding the VSIP 

Decisions made by the Chancellor and the Provost are final and not subject to review within the University or are eligible for appeal.