The following separation programs apply to nonbargaining-unit (NBU) on-roll employees in the United States:
Separation Incentive Program (SIP), effective Nov. 30:
- Eligibility — All NBU salaried employees age 62+ with 10 or more years of credited service as of Nov. 30. In addition, employees age 60 and 61 with 10 or more years of credited service will be eligible for either the SIP or Special Early Retirement (SER) program.
- Offers must be made by Nov. 5 and returned by Nov. 26.
- All retirements are effective Nov. 30.
- Program incentives include $50,000 in cash and a vehicle voucher valued up to $25,000. Vehicle selection will be made from a select dealer inventory of available vehicles and based on employee pricing and current retail incentives or, in the case of an Employee Lease Program participant, in lieu of the above the participant can choose to retain a current lease vehicle.
- 100 percent Retiree Choice credits prior to age 65 and 100 percent credits in the Health Care Retirement Account beginning at age 65. Ordinarily, an employee must be age 60 with 30 years of service to receive 100 percent credits.
- Employees selecting a SIP will also have the ability to deposit on a pre-tax basis a designated portion of their cash incentive into their Retiree Health Care Account.
Special Early Retirement (SER), effective Nov. 30:
- Eligibility: All non-highly compensated NBU salaried employees (W-2 wages of less than $100,000 in 2007), age 51 to 62 with 10 or more years of credited service and select highly compensated NBU salaried employees, age 53 to 62 with 10 or more years of credited service. (Note: Prior program eligibility was limited to age 52 to 62 for non-highly compensated employees and age 55 to 62 for highly compensated employees.) Eligibility requirements must be satisfied by Nov. 30.
- Offers must be made to employees by Nov. 5 and returned by Nov. 26.
- All retirements are effective Nov. 30.
- Retirement benefits will not be reduced for age.
- 100 percent Retiree Choice credits prior to age 65 and 100 percent credits in the Health Care Retirement Account beginning at age 65. Ordinarily, an employee must be age 60 with 30 years of service to receive 100 percent credits.
Voluntary Termination Incentive Buyout (VTIP), effective Nov. 30:
- Employees with less than 10 years of credited service as of Nov. 30 will be entitled to receive $50,000 in cash and a vehicle voucher valued up to $25,000. Vehicle selection will be made from a select dealer inventory of available vehicles and based on employee pricing and current retail incentives, or, in the case of a full-time employee who is an Employee Lease Program participant, in lieu of the above the participant can choose to retain a current lease vehicle.
- Employees with more than 10 years of credited service who are not eligible for the current SIP or SER programs will be entitled to receive $75,000 in cash and a vehicle voucher valued up to $25,000. Vehicle selection is the same as described above.
- Employees will also be entitled to receive up to six months of health care coverage, unless coverage is provided through a subsequent employer.
- All employees meeting the eligibility criteria described above will be able to participate in the VTIP.
- All voluntary terminations are effective Nov. 30.
Other notes:
- Based on the outcome of the voluntary programs, involuntary reductions may be required, effective Dec. 31.
- No SIP, SER or VTIP extensions will be allowed.
- Programs in Canada and Mexico will be coordinated through local management in accordance with local requirements.
- Programs for the salaried bargaining-unit work force will be coordinated with the UAW and CAW in accordance with the respective collective bargaining agreement.