POLICY 06:07:01

ANNUAL LEAVE

This policy is consistent with Tennessee Board of Regents Policy No. 5:01:01:01.

Purpose

The purpose of this policy is to establish the criteria and process regarding accrual of annual leave for employees at Pellissippi State Community College.

Policy

1. Introduction
   1. It is the policy of the Tennessee Board of Regents and Pellissippi State
      Community College to provide all regular full-time and part-time employees with
      regular periods of rest and relaxation away from the work environment and to
      recognize length of service.
      1. The appropriate approving authority may require key administrative
         personnel to take a certain number of consecutive days of annual leave
         each year.
   2. All personnel entitled to accrue annual leave may request use of annual leave at
      any time preferred by application to their proper approving authority.
      1. Such requests are subject to the discretion of the approving authority,
         which is responsible for planning the work under their control, and should
         be approved only at such times as the employee can best be spared.
      2. In addition, annual leave may be used to remain in an active pay status by
         an employee who has exhausted all sick leave and whose continued
         absence has been approved in accordance with TBR Sick Leave Policy
         5.01.01.07 and PSCC Sick Leave Policy 06:07:07 and/or TBR Family and
         Medical Leave Act Policy 5.01.01.14 and PSCC Family, Medical, and
         Servicemember Leave Policy 06:07:16.
      3. However, annual leave may not be used intermittently with leave without
         pay during a continuous FMLA leave period.
2. Eligibility to Accrue Annual Leave
   1. Regular full-time employees (excluding nine, ten and eleven-month faculty)
      regardless of probationary status, shall be eligible to accrue annual leave.
   2. Regular part-time employees, including twelve-month academic personnel
      (excluding nine, ten and eleven-month faculty) scheduled to carry less than a full
      teaching load or its equivalent, regardless of probationary status, shall be eligible
      to accrue annual leave on a prorated basis equal to the percentage of their
      employment to full-time employment.
      POLICY 06:07:01
      ANNUAL LEAVE
   3. Nine, ten and eleven month academic personnel, full or part-time, whether or not
      compensated over a twelve-month period, shall not be eligible to accrue annual
      leave.
   4. Temporary employees shall not be eligible to accrue annual leave.
      1. Temporary employees who are subsequently appointed as regular
         employees with no break in service shall become eligible to accrue annual
         leave and shall receive annual leave balances accrued retroactively from
         the date of employment.
      2. Temporary clerical and support personnel who subsequently become
         eligible to accrue annual leave shall also receive retroactive credit for
         service from the date of employment for the purpose of calculating annual
         leave accrual rates.
   5. All full-time and part-time employees who are employed pursuant to funds
      available to the College through grants or contracts are not eligible to accrue
      annual leave unless the grant or contract involved provides sufficient funds to
      cover the costs of such leave, or unless eligibility to accrue annual leave is
      approved by the president.
   6. Student employees shall not be eligible to accrue annual leave.
3. Annual Leave Accrual
   1. 1. Regular full-time clerical and support personnel (non- exempt) shall accrue
         annual leave in accordance with the following schedule:Years of ServiceAccrual Rate Per MonthMaximum Annual AccumulationMazimum Total Accumulation Within FYMaximum Accumulation Carried Forward to Next FY0-57.590.0315.0225.05-1011.3135.6405.6270.010-2013.2158.4450.9292.520 or more15.0180.0495.0315.0
      2. Executive, administrative and professional personnel (exempt), and twelve-month
         academic personnel (faculty) who are regular full-time employees, who are
         exempt from the provisions of the Federal Wage and Hour Law, shall accrue
         annual leave at the rate of 15 hours per month, with the maximum accumulation
         of 315 hours to be carried forward to the next fiscal year.
      3. All regular part-time personnel employed on a twelve-month basis and regular
         part-time personnel on MODFY (modified fiscal year) appointments shall accrue
         leave on a prorated basis equal to the percentage of their employment compared
         to full-time employment, with said percentage to be applied to the rate of accrual
         and maximum accumulation described in items A and B of this section, as
         applicable.
      4. Eligible employees shall accrue annual leave from the date of employment. (See
         Section II.D, providing for retroactive credit for temporary employees who
         subsequently become eligible to accrue annual leave.)
      5. Eligible employees earn and accrue annual leave for each month upon completion
         of a major fraction thereof (i.e., more than fifty percent (50%) of the number of
         days in the month), and leave may be used when earned, regardless of an
         employee’s probationary status, subject to the discretion of the approving
         authority.
         1. Annual leave may not be taken before it is earned.
      6. Employees otherwise eligible to earn annual leave do not earn or accrue annual
         leave while on leaves of absence.
      7. When an employee who is eligible to accrue annual leave transfers into a nine
         month academic position (thus becoming ineligible to accrue annual leave), the
         employee shall take all accrued annual leave prior to the date of transfer unless
         the appropriate approving authority determines that the services of the employee
         must continue until the date of transfer. In that event, the employee shall be paid
         for all accrued annual leave by a lump sum payment at the time of transfer.
      8. MODFY employees who are employed during the period which would normally
         be the non-duty period of their appointment shall accrue annual leave in
         accordance with items A and B of this section for each month of full-time
         employment. For part-time employment during that period, MODFY employees
         shall accrue annual leave on a prorated basis in accordance with item C of this
         section.
      9. Years of Service for Determining Accrual Rate
         1. Anniversary date for computation of leave shall be the beginning date of
            employment for each employee, except when adjustments in the date must
            be made because of periods of non-accrual, i.e., leaves of absence,
            temporary breaks in employment, etc. The rate of accrual for employees
            will be effective the month following the anniversary date. Annual leave
            shall be accounted for and controlled for maximum accumulation purposes
            on a fiscal year basis.
         2. In determining the amount of full-time or prorated part-time service
            accrued by an employee, all service accumulated while employed in any
            agency, office, or department of the State of Tennessee, or in any state
            college, university, or college of applied technology shall be credited for
            purposes of leave computation. In addition, any employee who was
            employed by a public school system as defined in T.C.A. § 49-1-103 and
            who becomes an employee eligible to accrue leave in the TBR System
            shall receive credit for service with said public school system for leave
            accrual purposes after employment in this System for one continuous year.
            In order to be eligible to receive credit for the prior service the employee
            must begin employment in the TBR System within two (2) years from the
            date of termination with the public school system.
      10. Maximum Accumulation
          1. The accumulation of annual leave shall not exceed the maximum
             accumulation indicated in items III.A and III.B of this section, or the
             proration thereof under item III.C. Annual leave in excess of the
             maximum may be used during the year in which the excess accrues; in the
             event it is not so used, it will be transferred to the employee’s accumulated
             sick leave at the close of the fiscal year, unless the employee is on
             terminal leave, in which case the full amount of accrued annual leave shall
             be carried forward.
   2. Disposition of Accrued Annual Leave Upon Termination
      1. Except as otherwise provided and subject to the limitations stated in this section,
         upon termination of employment with the Board of Regents or Pellissippi State
         Community College, an employee shall be paid for all accrued but unused annual
         leave as of their last working day.
         1. Payment shall be by lump sum payment upon separation for reasons other
            than Retirement.
         2. Upon Retirement payment shall be, at the option of the employee, either
            by terminal leave or by lump sum payment.
         3. Whether payment is by terminal leave or lump sum payment, and whether
            termination is voluntary or involuntary, the discretion to determine the
            employee’s last working day is reserved to the appropriate appointing
            authority.
         4. Of course, the employee retains the right to make their last working day a
            date prior to the date established by the appointing authority.
         5. In either option, payment should be made with the employee’s normal
            payroll cycle.
      2. Terminal Leave
         1. Terminal leave is that period during which an employee remains on the
            payroll beyond their last working day until all accrued annual leave has
            been exhausted.
         2. If a retiring employee elects to be paid for accrued but unused annual
            leave by terminal leave, the date on which their annual leave is exhausted
            shall be the official date of retirement.
         3. During a period of terminal leave, an employee shall not earn additional
            annual or sick leave, shall not be eligible to use sick leave, and shall not be
            eligible for any salary increase.
            1. However, an employee shall receive credit for any official holiday
               occurring during a period of terminal leave and shall receive the
               longevity bonus if the anniversary date occurs during the period of
               terminal leave.
         4. During a period of terminal leave, an employee shall continue to be
            eligible for group health insurance coverage. Premiums for the coverage
            shall be deducted from terminal leave payments if continued coverage is
            elected.
      3. If a terminating employee elects to be paid for accrued but unused annual leave by
         lump sum payment, the employee’s last working day shall be the official date of
         termination.
      4. Payment for accrued annual leave under this section shall not be limited to the
         maximum accumulation amount which may be carried forward from one fiscal
         year to the next if the last working day occurs prior to July 1 (even if the terminal
         leave period extends beyond July 1).
      5. In the case of death, payment for an employee’s unused accrued annual leave shall
         be made to the employee’s estate or designated beneficiary.
      6. An employee who transfers to another TBR System institution or another state
         agency shall not be paid for accrued but unused annual leave. Rather, all unused
         annual leave shall be transferred to the other institution or state agency. (In
         accordance with TBR Policy No. 5.01.01.06 Leave Transfer Between the State
         University & Community College System & State Agencies)
      7. An employee who is dismissed for gross misconduct, or who resigns or retires to
         avoid dismissal for gross misconduct shall not be entitled to any compensation for
         accrued but unused annual leave at the time of dismissal. (For the definition of
         gross misconduct, refer to TBR Policy 5.01.00.00 and/or PSCC Policy 06:01:00.)

Sources: TBR Policy 05:01:01:01; T.C.A. §§ 49-8-203; 49-1-103; FMLA; Federal Wage and
Hour Law

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Adopted by TBR August 15, 1975
Revised by TBR June 25, 1976
Revised by TBR December 2, 1977
Revised by TBR June 30, 1978
Revised by TBR June 29, 1979
Revised by TBR June 26, 1981
Revised by TBR September 18, 1981
Revised by TBR September 24, 1982
Revised by TBR June 24, 1983
Revised by TBR September 30, 1983
Revised by TBR June 28, 1985
Revised by TBR June 26, 1987
Revised by TBR December 4, 1987
Revised by TBR September 16, 1988
Revised by TBR March 17, 1989
Revised by TBR March 16, 1990
Revised by TBR June 25, 1993
Revised by TBR April 2, 2004 (Approved by Finance and Administration, April 23, 2004)
Revised by TBR December 7, 2007 (Approved by Finance and Administration, January 23, 2008)
Reviewed/Recommended: President’s Council, November 27, 2023
Approved: President L. Anthony Wise, Jr., November 27, 2023

Note: The provisions of this policy adopted at the August 15, 1975 meeting, became effective on
January 1, 1976, and changes in eligibility to earn leave or in the amount of leave earned for
period of service were prospective only.