Workforce Reduction Policy

1. Purpose
   
   The purpose of this policy is to provide for an orderly and equitable transition in staffing when a workforce reduction is necessary at Loyola University Chicago (“Loyola” or the “University”). Conditions such as a decrease in student enrollments, department restructuring for economic or programmatic reasons, changes in operations, redundancy in roles, excess staffing capacity, or work schedule changes may require reductions in staffing.
   
   It is Loyola’s goal to balance the needs of the University and minimize any impact on educational services, while respecting the dignity of employees affected by a workforce reduction (“affected employee”).  Prior to implementing a reduction in force, the University may consider reasonable alternatives to minimize impact on affected employees.
2. Objectives
   
   In planning and implementing a workforce reduction, the following objectives are set forth as guides to management: 

• • To provide education and supportive services for students in the Jesuit tradition of excellence.
  • To support the University’s commitment to equal employment opportunity.
  • To provide alternative employment opportunities where possible, and/or University approved services to affected employees.

3. Eligibility
   
   This policy applies to workforce reductions affecting full-time and regular part-time Staff positions within a job classification or due to job elimination within any department. This policy does not apply to Officers, Faculty, Work Study Students, Research and Teaching Assistants, Fellows and others whose employment is a function of their degree programs, Float Pool Staff, Temporary Staff, and Staff covered by a Collective Bargaining Agreement where this policy is in conflict or inconsistent with the terms of a Collective Bargaining Agreement.

4. Reductions
   
   In analyzing the job classifications to be affected in any workforce reduction, Department Management must work in direct consultation with and obtain the approval of Human Resource prior to announcing or finalizing any specific staffing or personnel reductions.
   
   The following criteria are to be used by each Department in deciding specific positions and/or individual reductions after vacant and temporary positions are eliminated:

• • Performance factors that include job knowledge, competencies, adaptability and the skill and ability of position incumbents (as documented in their most recent performance evaluations) necessary to do the work which remains to be accomplished; and the employee’s work history in terms of documented disciplinary actions or performance deficiencies (as contained in the Human Resources personnel file).
  • Alignment of the job classification with current and projected strategic priorities, operational needs and service delivery models.
  • University length of service (defined as the period of continuous full or regular part-time employment based on the employee's most recent date of hire) is used as a secondary factor when performance factors are comparable among Staff to be reduced.
  • Each Department must provide written support in the application of the criteria when selecting among employees in the same job classification and performance rating level.

5. Notice or Severance Pay Schedule
   
   The University will provide two (2) weeks’ notice or equivalent severance pay (when it is not possible to provide advance notice or when notice may be disruptive to workplace operations) to all affected employees at the affected employee’s current, regular rate of pay. Affected employees may be eligible for additional severance pay upon the execution of a Confidential Separation Agreement and Release in accordance with the terms of that agreement.

6. Benefits
   
   Upon and following their separation date, affected employees’ eligibility for and/or participation in Loyola’s benefit plans and programs will cease or change in accordance with the terms and conditions of the applicable plans and programs. Loyola reserves the right to amend or discontinue any and all benefit plans and programs, provided that any such amendments are applied to affected employees in accordance with the terms and conditions of the applicable plans and programs.

7. Transfer and Re-employment Eligibility

• • Transfer Eligibility
    Employees affected by a workforce reduction (due to reduction in the job classification or job elimination) may apply for any open and posted positions across the University for which they are qualified; however, they do not have any displacement or bumping rights.
  • Re-employment Eligibility
    Employees affected by a workforce reduction will remain eligible for re-employment with reinstatement for a period equivalent to their length of service up to a maximum of one (1) year from their last day of work. Upon rehire, the employee will be reinstated to their most recent date of employment (prior to the reduction). Individuals affected by the reduction will be considered for future vacancies based on their qualifications of the open and posted position. There is no guarantee, however, of being recalled to a former position or rehired to any other position with the University.

8. Policy Priority and Interpretation
   
   Effective June 13, 2025, this policy supersedes all prior Workforce Reduction policies at Loyola.
   
   Loyola reserves the right to plan and implement Workforce Reduction guidelines for each situation, consistent with its applicable Human Resources policies and procedures. The Department Manager is responsible for communicating the Department’s rationale or reasons for the selection of each employee.
   
   All differences of opinion, interpretations and applications of this policy and its supporting guidelines are reserved for final determination by Human Resources.
   
   All personnel actions will comply with applicable Federal, State, and local laws and Loyola’s Non-Discrimination Policy. Nothing in this Workforce Reduction Policy shall be construed as creating a contractual right to continuing or permanent employment or to change the existing employment-at-will status of employees.
   
   Loyola reserves the right to amend or terminate this Workforce Reduction Policy. 

Revised: 2/26/24, 06/13/25