In each newsletter we answer common questions. In this issue we focus on when to take termination pay.

Our contract has several peculiarities that, at certain times and for those with reappointment rights, makes it preferable to opt for termination pay than to accept a reduced assignment.

In general, the union advises adjunct faculty with reappointment rights to accept the appointments they receive in their May 21 reappointment letter. Article XXIV of our contract gives the administration the right to determine scheduling and teaching assignments. If a schedule assigned is impossible to meet, the union advises exercising one's rights under Article X(C) and taking unpaid time off while retaining reappointment rights. See Article  X(C)(2) page 25-27 of our contract for eligibility requirements. 

However, there are certain exceptions to this. Some long-time adjunct faculty are sensing that departments are looking to stop reappointing them. Outright termination, for a department, can be expensive. That is because of the difference between courseload reduction pay and termination pay. Courseload reduction pay is the compensation for the course not including the administrative payment. Termination pay is compensation for all the compensation that an adjunct faculty member received from their department in the previous academic year, including but not limited to the compensation they received for contact hours and any administrative service payment.

In other words, suppose an adjunct receives $10,000 per course excluding the administrative payment. Suppose this adjunct has reappointment rights to one Fall course and one Spring course. A loss of one course would lead to a course reduction payment of $10,000 plus an extra 10-25% if one has taught more than 5 consecutive academic years.

The loss of both courses, however, will not simply involve two payments of $10,000. This is because the adjunct faculty member will receive not only the value of two administrative payments, but also any additional courses they taught in the previous year. So, if that adjunct taught two courses in the Fall despite only being eligible for one through Article X, they would receive a total termination pay of $36,000 plus an extra 10-25% if one has taught more than 5 consecutive academic years.

In general, to receive termination pay one has to see their course load reduced to zero. But, possibly to save costs, some departments are assigning adjuncts with reappointment rights courses with fewer contact hours. This way if termination or reduction does come, it will be far less expensive for NYU. Here our contract offers some protection. According to Article X(D), if your proposed contact hours are reduced by more than 50% from the previous academic year, you can choose to decline reappointment and accept termination pay.

In our prior example, what if the adjunct was assigned two courses with less than 50% of the prior contact hours, for example, suppose they now earned $4500 a course? That adjunct faculty member would have to be certain they will be assigned those courses for at least the next 3-4 years to earn the amount they would if they opted for termination pay. That is a big risk given how weak Article X rights are in practice. 

Accepting termination pay from one department does not mean you cannot continue to teach at NYU. It does not even mean that the department cannot choose to assign you courses in the future. However it will affect eligibility for numerous benefits, including but not limited to health insurance, retirement, the professional development fund, union representation in grievances, and maintenance of benefits. On the other hand, accepting a reduced assignment might mean that one is around when there are needs for assignments with more contact hours in the future. There are important calculations that individuals need to make on their own but sometimes choosing to be “terminated” can be the best option. 

The rep team is here to help you understand the options available to you if you have reappointment rights and your course load and/or contact hours are reduced. So, please reach out to us at nyu@actuaw.org with an explanation of your case if either scenario occurs.