U. struggling with new federal retirement act

Faculty and administrators are struggling with a new federal law that many say could result in older professors "hanging on" to their jobs, blocking younger scholars and the innovations that come with them. The Age Discrimination in Employment Act, which became law for tenured professors on January 1, prohibits the University from forcing professors to retire at age 70. And it has administrators scrambling to find legal alternatives to convince faculty to retire early. "I think the University is making a mistake, I think they should have gotten down [and] immediately set up an alternative," said Economics Professor Gerald Adams, who serves on a faculty subcommittee dealing with the law. "In a research University, there are going to be some people who want to stay on," Adams said yesterday. The problem, said Faculty Senate Chairperson Gerald Porter, is that the University needs to make room for younger faculty. Administrators have known about the law for almost a year, but the extent of its potential effects are still unknown. While the law's effect depends on the number of professors who take advantage of it, it has already forced changes in University policy. Last year, University lawyers said the popular Faculty Voluntary Early Retirement Program (FVER) would not hold up to the new discrimination standards. The program has since been eliminated. And convincing faculty to retire early is an important issue for administrators facing tight budgets. A Chronicle of Higher Education report found that since older professors generally receive the highest salaries, universities' financial resources could be strained if those over 70 stay on board. "I don't think there will be large numbers, but certainly enough," said Adams. In January, Interim Provost Marvin Lazerson formed a task force to look at the legal early retirement alternatives presented by the Faculty Subcommittee, led by Finance Professor Jean Crockett. Crockett, Adams and seven other professors conducted a poll to find out what professors' retirement plans involved. Nearly 10 percent of those questioned over the age of 60 said they planned to stay after their 75th birthday. Still, most said they will retire before 70. History Professor Cecil Striker said a number of faculty members, who do not plan to "stay forever," are concerned about benefits. "We're concerned about having access to University facilities and an office to work in," Striker said. "Once these issues are in some fashion resolved, I think you're going to find the faculty will be quite happy to?phase themselves out," he said. The subcommittee reported that many professors are concerned about the financial problems associated with early retirement. Other faculty members noted that they want to be involved in University activities after retirement. The subcommittee recommended a retirement program that gives professors options with "Transition Benefits." Other colleges and universities are dealing with the new law in different ways. Harvard University, for example, has implemented a program which allows retired professors to teach courses and attend faculty meetings. The University of Chicago has put a cap on pension funds to eliminate the incentive professors might have to continue teaching in order to increase benefits. Whatever program the University adopts, Adams said, the sooner the better. "I'm hoping the University would get off its chair, instead of leaving things blank," he said.