56. Severance pay

56 Severance pay

Eligibility for severance payments - fixed term staff

56.1  Subject to clause 56.2 below, a fixed term staff member is entitled to severance pay if: 

  1. the staff member is on a second or subsequent fixed term appointment and the same or substantially similar duties are no longer required by the University; or
  2. the work continues to be required but another person has been or will be appointed to do the same or substantially similar duties.

56.2  Severance pay will not apply where the staff member has: 

  1. been employed under a senior management contract or an employment scheme;
  2. resigned or declined the offer of further employment;
  3. been employed on a single fixed term contract;
  4. obtained further employment within the University without the loss of accrued entitlements; or
  5. the University has assisted the staff member in securing the same or similar employment with another employer, with a transfer of all accrued entitlements.

56.3  Severance pay will be paid in accordance with the following table: 

Period of continuous Service Severance pay
Less than 1 year   Nil  
1 year and less than 2 years   4 weeks' pay  
2 years and less than 3 years   6 weeks' pay  
3 years and less than 4 years   7 weeks' pay  
4 years and less than 7 years   8 weeks' pay    
7 years and less than 9 years   9 weeks' pay  
9 years and less than 10 years   10 weeks' pay  
10 years and less than 11 years   11 weeks' pay  
11 years and less than 12 years   12 weeks' pay  
12 years and less than 13 years   13 weeks' pay  
13 years and less than 14 years   14 weeks' pay  
14 years and over   15 weeks' pay  

For the purposes of this clause, 'week's pay' means the ordinary time rate of pay for the staff member concerned.  

56.4  Staff members with an existing fixed term contract, entered into prior to 17 March 2006 that has not been extended or renewed after that date, will be entitled to the severance payments set out in the Australian National University Enterprise Agreement 2005-2008 subject to clauses 13.8 (Continuing (contingent funded) employment - severance and notice periods) and clause 56 (eligibility for severance payments) of that Agreement.  

56.5  Payment of severance may be delayed for up to nine weeks to facilitate continuation of service, but will be paid on termination if it is agreed the staff member is not likely to be offered further employment by the University.  

56.6  By agreement, payment of outstanding leave may also be delayed for nine weeks to facilitate continuation of service by using leave entitlements. Leave balances will be reduced accordingly when payment is made.