Continued Employment of People Receiving Disability Benefits

Continued employment or reemployment of persons receiving disability benefits is allowed within earnings limitations, and subject to health service and administrative approval as indicated.

Under the provisions of the State Universities Retirement System, a person receiving disability benefits may be employed part-time by a member institution providing that the sum of the earnings and the disability benefit cannot exceed the full rate of earnings on which the disability benefit is calculated. The earnings limitation may be restated in another way -- if the individual's monthly earnings exceed his or her monthly disability benefit, the individual's disability benefit is reduced by such excess. For example, if an individual's disability benefit were $200 per month and the earnings were $250, the disability benefit for the month would be reduced to $150. The adjustment is made on a monthly basis.

The reemployment provision is very liberal and desirable. Its purpose is to help to rehabilitate the disabled employee by permitting the employee to return gradually to employment as he or she is rehabilitated. It is not intended that the provision be used to retire an employee at full pay. Abuses of the provision could result in statutory limitation of the period of time such reemployment is authorized. The purpose of this memorandum is to set forth the campus policy regarding the continued (or reemployment) of persons receiving disability benefits from the Retirement System.

  1. A person who is disabled from performing the duties of his assigned position does not have an automatic right to reemployment on a part-time basis.
  2. Departments may reemploy disabled persons on a part-time basis when such reemployment would serve the best interests of the University and is for a period less than six months
  3. A disabled faculty or staff member must obtain the approval of the Director of the McKinley Health Center before he or she is permitted to be reemployed on a part-time basis or to resume employment on a full-time basis.
  4. Continuation of such employment beyond six months is subject to the approval of the Vice Chancellor for Academic Affairs for academic employees and by the Vice Chancellor for Administration and Human Resources for nonacademic employees.

    Before approving an individual's continued employment beyond a six-month period, the Vice Chancellor shall seek the advice of the Director of the McKinley Health Center. The Director shall evaluate the physical condition of the employee and the progress he or she is making toward returning to full-time employment. The Director also shall determine whether or not there is a medical basis for continued employment while still receiving disability payments.

  5. Periodic physical examinations may be required to assure that the employee returns to full-time work just as soon as it is medically possible for him or her to do so.

Questions regarding the application of this policy to academic employees should be referred to the Office of Academic Human Resources at 333-6747. Questions regarding the application of this policy to nonacademic employees should be referred to the Staff Human Resources Office Records section at 333-2143.