Changes to Benefits Eligibility for Recalled Retirees

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April 21, 2025

To: SENATE FACULTY

From: Academic Personnel Office

Subject: Changes to Benefits Eligibility for Recalled Retirees

Dear Colleagues;

Due to planned changes to UC’s eligibility policy regarding health and welfare benefits for rehired/recalled retirees enrolled in UC retiree medical plans, UC will require certain recalled academic appointees to change their medical plan upon re-employment with UC. 

Retirees recalled July 1, 2025 or later who meet eligibility criteria for employee medical benefits upon recall, will have their UC retiree medical plan suspended and be offered Mid-level faculty/staff coverage. Retirees who are recalled with less than six months break in service may become eligible for employee benefits even if the recall appointment is at 0%, due to hours previously worked in the annual look-back measurement period. If the recall appointment is at 0%, and there is no payroll check from which to withhold premiums, the retiree will be billed for both the employer and employee premiums. 

Recall appointments at 0% are required in order to be an instructor of record on any credit-bearing course, including independent studies; to be a supervisor of any other UC employee; and/or to be a principal investigator on a contract or grant. Faculty are encouraged to explore alternatives to 0% recall during the first six months post-retirement, such as designating an alternate instructor, supervisor or co-investigator if possible. 

Rehired retirees and recalled academic appointees who are offered Mid-level faculty/staff coverage will be provided a 31-day Period of Initial Eligibility (PIE) to enroll in their choice of faculty/staff medical plans. For an explanation of Mid-level faculty/staff coverage see FAQ 9 of the FAQs for Current and Prospective Retirees. 

The policy changes apply to all rehired staff retirees and recalled academic appointees (“rehired retirees”), whether or not they are eligible for Medicare, except:

• Rehired retirees who are ineligible for UC’s retiree health benefits, including those who elected to take a lump sum cash out of their UCRP benefits
• Reinstated employees (retirees who are rehired into a UCRP-eligible position and suspend retirement)
• Rehired retirees who are ineligible for faculty/staff benefits, including those who

• are rehired at less than 43.75% and have been separated for greater than 26 weeks; or
• were ineligible for faculty/staff benefits prior to separation. 

Note that some rehired retirees may not be eligible for Faculty/Staff Benefits at the time of rehire but may later become eligible due to changes in their appointment or worked hours (see FAQ 7 of the FAQS for Current and Prospective Retirees).

• Rehired retirees who are offered a UC faculty/staff medical plan will not have the option to remain enrolled in a UC retiree medical plan. Enrollment in a UC retiree medical plan will be suspended. 
• See the FAQs for Current and Prospective Retirees for important steps to take when a UC retiree medical plan is suspended.

• Recalled academic appointees and rehired retirees are free to accept or decline the offer of faculty/staff coverage (see FAQ 10 of the FAQs for Current and Prospective Retirees). If they wish to enroll, they will be able to choose from any available faculty/staff medical plan for which they are eligible (for example, if in a UC Medicare plan, they are not limited to the partner plan of their Medicare plan). 

• Upon future loss of eligibility for faculty/staff benefits (due to termination of employment or failure to meet the federally mandated average weekly hours of service during the annual measurement period), rehired retirees may re-enroll in the medical plan of their choice under the UC retiree health program. 

• Recall appointments are limited to a total of 43 percent time per month, inclusive of all recall appointments (see APM – 205). Recall academic appointees should also consider the earnings received through all UC appointments from any UC location, including service paid through additional or one-time payments (e.g., honorarium) and the potential impact to the annual eligibility determination. See FAQ 8 of the FAQs for Current and Prospective Retirees for more information regarding the impacts of reported hours in the annual eligibility determination.

UC has resources to help you with questions you may have about returning to UC employment after retirement and the timing of that decision:

For answers to common questions regarding the changes to policy and their impact to rehired retirees and recalled academics, see the FAQs for Current and Prospective Retirees.

For questions regarding retirement benefits, contact RASC at 1-800-888-8267, Monday–Friday, 7 a.m. to 4:30 p.m., PT, or visit rasc.universityofcalifornia.edu to schedule an appointment with a retirement counselor.

UCnet: Returning to work at UC after retirement

Campus resources and links:

Divisional Academic Personnel Offices

UC Santa Cruz Faculty Retirement Resources and Liaison, brenneis@ucsc.edu

UC Santa Cruz Benefits Office, benefits@ucsc.edu 

Marianne McIvor, UC Santa Cruz Health Care Facilitator, memcivor@ucsc.edu, 831-459-3573

CC:

Deans
Department Chairs
Divisional Coordinators
Academic Personnel Office
Donald Brenneis, UCSC Faculty Retirement Liaison
CP/EVC Kletzer