Sprint Separation Plan Voluntary and Involuntary Separations Frequently Asked Questions (FAQs)

Sprint Separation Plan
Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
This FAQ addresses basic questions about the administration of the Sprint Separation Plan. If this
FAQ conflicts with the provisions of the Separation Plan, the terms of the plan will control. All
references in this FAQ to Sprint mean Sprint and its subsidiaries, where applicable. Please direct
any questions not answered in this FAQ to the Employee Helpline (EHL) at 800-697-6000.
1. Is there a difference between the separation benefits provided to employees who
separate under a voluntary (VSP) offering and those who separate as a result of
involuntary reduction in force (ISP)?
The terms of the Separation Plan provide the same level of separation pay and benefits, whether
an employee separates under a VSP offering or is impacted by an involuntary reduction in force.
2. Are there any restrictions on a former employee returning to Sprint?
No. Sprint hiring and employment practices apply to all applicants. If you are rehired by Sprint or
one of its subsidiaries and still receiving separation pay, separation pay will cease when
reemployment with Sprint begins. If you received the grandfathered Separation Plan lump sum
payment, you would be obligated to pay back a pro-rated portion based on your return date.
3. Can a former employee work for vendors of Sprint?
You are not restricted from working for a Sprint vendor in general. According to the Former
Employee Vendor Policy, however, you cannot solicit Sprint business or provide other services to
Sprint as an employee of a Sprint vendor for a period of 12 months from the date of the
employee’s separation date. This restriction includes situations in which a vendor provides their
employees to engage in specific work for Sprint, providing services that Sprint chooses not to
perform internally, such as making sales or service calls to Sprint as a customer (e.g., member of
an outside “Sprint Account Team”) There are two exceptions to this restriction:
• the work is pursuant to an exception approved in writing by the affected business unit’s
senior vice president; or
• the work is merely the provision of additional or supplemental staff to complete specific
work at Sprint, such as those provided by a temporary agency; in which case the remaining
separation pay is not forfeited.
4. Will I receive a letter of recommendation from Sprint or obtain a personal reference
from my direct manager?
Sprint’s policy is not to provide personal references or letters of recommendation including online
or web-based references. Sprint utilizes a vendor to provide verification of employment. The
vendor can be reached at 800-996-7566 (for salary and employment verification) or 800-367-5690
(for only employment verification) or www.theworknumber.com. You will need to provide the
verifier with your social security number and company code (10448).
5. My manager notified me of my position elimination -- what benefits am I eligible to
receive?
Per the Sprint Separation Plan, if you are eligible for benefits, you will receive salary separation
pay (regular base pay), pro-rated short-term incentive payment (if applicable), certain
continuation of benefits at active employee rates, and an additional separation payment ($1,000
for below director level, prorated for part-time employees) with an effective General Release
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Sprint Separation Plan
Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
Agreement (GRA). The full Sprint Separation Plan and the General Benefits Summary is on the
Separation web site, which you can access by typing “separation” in your i-Connect browser.
6. How many weeks of salary separation pay will I receive?
The separation pay period for regular full-time employees below the director level is eight weeks
plus two weeks for every completed year of service, up to a maximum of 52 weeks if a signed GRA
is timely returned and not revoked (an effective GRA). Without an effective GRA, you would
receive only two weeks of pay after the separation date, unless the Worker Adjustment and
Retraining Notification Act (WARN) applies (see Question 13).
7. What advantages are gained by signing the GRA if I am a full-time, below director
employee?
Full-time, below director employees with an effective GRA will be eligible for 1) a $1,000 additional
separation payment (less applicable deductions), 2) eight weeks, plus two weeks for each full year
of service at Sprint, of salary separation pay (up to a maximum of 52 weeks), and 3) benefits
continuation during the salary separation pay period.
On the other hand, those employees without an effective GRA will receive only two weeks of pay
after the separation date, unless WARN is applicable. If WARN applies, you would receive the
greater of the two weeks or the remaining portion of the 60-day WARN notice period that you did
not actively work.
Example: Compare employees A, B and C, all with five full years of employment service at Sprint.
Employee A timely and signs and returns and does not revoke her GRA; Employees B and C do
not, although WARN requirements apply to Employee B’s termination and his separation date is
two weeks after his WARN notice is provided to him.
Employee A
Effective GRA
Additional Payment
Pay Continuation*
Benefits & Service
Continuation*
Pro-rated STI payment
Eligibility
Employee C
No effective GRA,
no WARN impact
$1,000
18 weeks
Employee B No
effective GRA,
notified of WARN
and given 2 weeks’
notice
None
~6 weeks**
18 weeks
~6 weeks**
2 weeks
Yes
None
None
None
2 weeks
*after separation date
**WARN period is 60 days, which is approximately 8 weeks. We are using weeks for this example
and the “~” is to indicate the few days/hours that may apply to make up the difference between
weeks and days.
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Sprint Separation Plan
Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
8. My GRA is confusing to me. How can I be sure that it reflects the amount I think I am
entitled to under the separation plan?
The GRA breaks separation pay into "Extended" and "Basic" pay. Everyone will have 2 weeks of
basic separation pay. The balance of separation pay will be listed as extended separation pay.
Together the basic separation pay + the extended separation = the total separation pay. The basic
pay is initiated when you actually depart the company. The extended pay is processed by payroll
once you sign and return your GRA.
For example, if you have been with the company 5 full years, you are due a total of 18 weeks’
severance. The GRA will read that you are eligible for 2 weeks of basic separation pay plus 16
weeks of extended separation pay.
9. How is salary separation pay calculated if an employee is covered under a sales
compensation plan?
If you are covered under a sales compensation plan, salary separation pay is determined using
your base salary plus 100 percent of your targeted sales incentive, unless you work in a state that
mandates a different method of calculating separation pay. The sales incentive pay component of
salary separation pay will be pro-rated based upon the number of weeks of separation pay for
which you are eligible.
10. How will I receive my salary separation pay?
Salary separation pay will be paid on a biweekly basis. If you receive a “live” paycheck, then the
paycheck will be mailed to your address of record. If you use direct deposit, Sprint will continue to
deposit pay with your financial institution, with a paycheck advice mailed to your home address.
For additional payroll assistance (including paycheck information) please contact the Employee
Helpline (EHL) at 1-800-697-6000.
11. What specifically is the “separation date”?
The separation date is the last day you are scheduled to work. The separation pay period starts
the following day.
12. If I am eligible for the additional separation payment, when will it be paid?
The additional separation payment will be paid on the next practicable payroll date after your GRA
becomes effective, which may be several weeks after the later of your separation date or end of
any WARN period (see below). Sprint makes no off-cycle payments, regardless of when in the
payroll cycle your release is received and becomes effective.
13. What would WARN mean to me if it is applicable to my termination?
Basically, WARN provides for 60 days of continued salary and benefits after you have been notified
of your separation by a WARN notification letter. This is not in addition to the pay and benefits
outlined in the Sprint Separation Plan. If you do not have an effective GRA, WARN could provide
you a few more weeks of salary and benefits than you otherwise would have received without
WARN, depending on when you were notified of your termination and when your separation date
occurs. The following examples illustrate the difference between a WARN notice period and the
separation pay period.
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Sprint Separation Plan
Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
Example 1: Joe is notified of his employment termination and his separation date is set at
four weeks from his notification, so Joe will be working approximately half of the WARN notice
period. Joe leaves on his separation date and does not submit his GRA. Because of WARN
applying, he will receive approximately 4 weeks of salary and benefits continuation (instead of
just 2 weeks of pay) to complete the 60-day WARN notice period.
If he instead signs, returns and does not revoke his GRA, he will receive not only the four
weeks of salary and benefits continuation under WARN but also salary separation pay and
benefits for the rest of his separation pay period after that.
Example 2: Jane is notified of her employment termination and her separation date is two
months from her notification. Because she has already worked for 60 days after her WARN
notification, she will not receive any salary or benefits continuation under WARN – but she will
still be eligible for her full separation pay period benefits after her separation date if she signs,
returns and does not revoke her GRA.
14.
How do I know if I am WARN impacted in my work location?
You will receive a WARN notice letter if you are impacted by WARN.
15. When will I receive and how much time do I have to sign the GRA?
• Involuntary Separation Plan (ISP): You will typically receive your personalized
separation package, including a personalized GRA, a few days prior to your separation date.
You will have 45 days from the date of the receipt of that GRA to sign it. You cannot sign
the GRA before your separation date.
• Voluntary Separation Plan (VSP): If your Voluntary Separation request has been
accepted, you will receive an acceptance letter and a personalized General Release
Agreement (GRA). Your separation date will be set for 45 days from the date of receipt of
this written notice and GRA. You will have 45 days after your separation date to sign your
personalized GRA. The GRA may not be signed and/or returned prior to your separation
date.
16. Where do I return my signed GRA?
An address is included in the personalized GRA.
17. Can I fax the GRA to the appropriate person?
No. You must return the original executed GRA to the appropriate address by mail or in person and
within the appropriate time frame as outlined in question #15.
18. What happens if I do not timely sign, or do not return, or revoke, my personalized
GRA?
Without an effective GRA, you would not receive any benefits under the Separation Plan. Instead,
you will receive two weeks of separation pay after your separation date. If WARN is applicable, you
may receive additional pay and benefits depending on when you were notified of WARN and when
your separation date occurs (see question #13).
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Sprint Separation Plan
Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
19. Are there any circumstances where I will have to pay a portion of the additional
separation payment back?
No.
20. Can I collect unemployment while receiving salary separation pay?
The answer to this question may differ based upon state law. It is recommended that you contact
the unemployment benefits office in the state where you reside. For more information, go to
www.dol.gov.
21. If I am a legacy employee how do I know what separation plan I will be eligible for
under VSP or ISP?
There are a limited number of legacy employees that may be eligible for the amount of benefits
computed under the Severance Benefits Plan. Eligibility is determined by comparing the value of
eligible benefits computed generally under the Sprint Severance Benefits Plan (including salary
separation pay and the value of benefits continuation under Section 4.04 of the Sprint Separation
Plan) with the value of benefits the employee would have received under the Severance Benefits
Plan. If the benefits computed under the Severance Benefits Plan are greater, you will receive
those benefits in lieu of the benefits computed under the Sprint Separation Plan. In most cases,
the benefits under the Sprint Separation Plan will be greater. If you think you might be eligible for
the amount of benefits computed under the Severance Benefits Plan please check the employee
listing here. Be sure to check this list often as it is updated bi-weekly.
22. If I am a legacy employee and qualify for the severance benefits computed under
the Severance Benefits Plan, will I receive my severance benefits as a lump sum or as biweekly payments?
The legacy benefit were payable in a lump sum, so if your Separation Plan benefits are computed
under the Severance Benefits Plan, you may receive them in a lump sum. However, if WARN
applies to your separation and you do not work your entire 60-day notice period, your severance
benefits will begin in the form of bi-weekly payments, along with benefits continuation until the
end of your WARN notice period as described in answer 11 above. At that time, your remaining
severance benefits calculated under the Severance Plan will be paid out in a lump sum pursuant to
the terms of the Severance Plan. Other benefits will end as of the end of the month in which your
WARN notice period ends, and you will be eligible for any applicable COBRA or conversion options
at that time.
23. Where can I find details about the separation benefits available under the
Separation Plan?
The General Benefits Summary is posted on the Separation website and provides detailed
information about the separation process, pay and related benefits. The Sprint Separation Plan is
also available on this site. The Employee Help Line (EHL) is at 800-697-6000.
24. How will Annual Enrollment Benefit Elections be handled if I am separated in 2013
and benefits continue into 2014?
A benefits enrollment manual form will be sent to your home address for you to make 2014 benefit
elections if you need to make changes by mid November. A deadline will be provided with your
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Sprint Separation Plan
Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
enrollment form when the 2014 benefit changes must be returned to Sprint. Please do not make
any elections via Employee Self Service during annual enrollment. You will not be required to take
the Sprint Alive! Health Assessment as active employees for the reduced medical premiums. For
any questions, please contact the Sprint Employee Help Line at 800-697-6000.
25. What if I have an H-1B Visa or my Green Card application is pending and is still on
file with Sprint?
If you are in H-1B visa status and you have been notified that you will be impacted by reductions,
you should contact Legal Analyst Miriam Domaryd, Email: [email protected] and
provide Miriam with your separation date. Miriam will notify the USCIS (United States Citizenship
and Immigration Services) of your separation and withdraw your H-1B petition as soon as practical
after your separation date. If you plan to return to your home country immediately after your
separation from Sprint, you must notify your Employee Experience/Human Resource manager of
your intent.
If you have a pending green card application, you must notify your outside immigration counsel
and the Legal Analyst as soon as possible and provide them with your separation date. If you’re in
the adjustment stage of the green card process, it’s imperative that you make arrangements with
your outside immigration counsel regarding the handling of your adjustment application after your
separation from Sprint.
If you have signed a repayment agreement for your H-1B visa sponsorship and/or Green Card
sponsorship and you are laid off as a result of an involuntarily reduction in force, you will not be
required to repay costs and fees covered in the repayment agreement. If, however, you have
made personal financial arrangements with outside immigration counsel, it is your responsibility to
handle those obligations.
26. What if my address changes during or after the separation pay period?
For many reasons, including W-2s, incentive pay, 401(k) accounts, pension, and voluntary
benefits, it is important to keep your address current within the Sprint system until you have
received all benefits related to your Sprint employment. If you need to update your address,
contact the Employee Help Line (EHL) at 800-697-6000.
27. What if Sprint owes me money for business expenses?
You must complete an expense reimbursement form as soon as possible. Out of pocket expenses
will be paid on the next available biweekly pay date once submission and approval has occurred. If
you don’t have access to the online system, contact the Employee Help Line (EHL) at 800-6976000.
28. Are there circumstances when salary separation pay and benefits may end early?
Yes, unless state or federal law prohibit, salary separation pay and benefits will end immediately, if
• you fail to return all Sprint property,
• you disclose or use confidential information about Sprint for your benefit or for the benefit
of a third party,
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Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
•
•
•
on your last day worked, you were a director or above and become associated with, become
employed by, render services to, or own any significant interest in any business in
competition with Sprint, (a) except Comcast Corporation, Time Warner Cable Inc., or Bright
House Networks, LLC, solely with respect to the WiMax-based 4G MVNO business unit, or
(b) unless prohibited by law
you become re-employed by Sprint, or
You fail to cooperate with requests to verify the information necessary to determine if your
separation pay period should end for the reasons above.
29. When will voluntary payroll deductions cease?
Please go to the Separation website on iConnect or http://www.sprint.com/separation
and access the General Benefits Summary for a full summary of this information.
30. Is there ever a circumstance where my pay will be interrupted?
Possibly, even if you timely sign and return and do not revoke the GRA, you may experience
interrupted pay and benefits continuation depending on the date your GRA is received and effective
(7 days after receipt) in relation to Sprint payroll cycles. Sprint does not make any off-cycle
payments. Even if there is such an interruption, any missed pay will be paid in a lump sum on the
next administratively practicable payroll date, and your benefits will resume retroactively, after
your GRA is effective. Therefore, your separation pay period is not extended by the amount of
time by which your pay and benefits continuation was interrupted.
31. Can I continue to use the campus fitness center after separation?
Yes, employees that are members may continue to use the fitness center through the separation
pay period and may continue beyond their severance period at the contractor rate. Please contact
your respective Sprint Fitness Center for more details.
32. Can I continue to use the campus healthcare clinic(s) after separation?
Yes. The campus healthcare clinics can be utilized during your separation pay period.
33. Are there outplacement services available through separation benefits?
Sprint has 2 vendors that provide outplacement services: Lee Hecht Harrison, (LHH) and Right
Management (RM). The services you receive are individualized based on your position and will be
systematically assigned to one of our vendors. The vendor you have been assigned to will reach
out to you, usually within 10 business days of your separation date.
34. In addition to outplacement services, are there resources I can utilize at Sprint
before my last day worked to assist me with skill development?
There are a variety of courses available through i-Learn that can assist with resume preparation,
interviewing skills and more. Some examples are i-Learn 83128 “Preparing as the interviewee” and
i-Learn 72204 “Behavioral Interviewing”. Employees and managers may take these courses at no
cost.
35. Is there a resource for me to get specific retirement planning information related to
my separation?
Retirement, Savings & Financial Planning provides "Retirement Tools" to access information.
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Sprint Separation Plan
Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
If you are eligible to retire with a pension benefit from the Sprint Retirement Pension Plan (SRPP),
you are encouraged to:
•
•
•
Read the information located within the Retirement Tools section on i-Connect.
Read the SRPP Summary Plan Description, which explain the provisions of retirement
eligibility, including Normal Retirement, Early Retirement and Special Early Retirement and
the forms of payment available.
Run a pension estimate and model your retirement income. You can access the estimator
within the Retirement Tools section or directly at
https://sprintretirementservices.ehr.com.
•
If you will be age 55 or greater and have at least 10 years of vesting service at the
conclusion of the separation pay period and want to begin receiving your SRPP benefit at
that time, enter the commencement date or your age as the first of the month following
the end of the separation pay period and the system will calculate your pension
estimate.
•
If you anticipate qualifying for the Special Early Retirement provisions at the conclusion
of your separation pay period, mark the box indicating Special Early Retirement rules,
and your pension estimate will be calculated using these rules. The criteria for Special
Early Retirement provisions are met if your position is eliminated and your age plus
credited service, in whole numbers without rounding, equals 75 points or higher.
You are also encouraged to use the Sprint Retiree Health Care Estimator located within Retirement
Tools or directly at https://sprintretirementservices.ehr.com to estimate retiree health care
costs and options.
If you are not eligible to retire, but have a pension benefit from the Sprint Retirement Pension Plan
(SRPP), you are encouraged to:
•
•
Read the SRPP Summary Plan Description, which explains the provisions of Deferred Vested
Retirement and the forms of payment available.
Run a pension estimate and model your retirement income. You can access the estimator
at https://sprintretirementservices.ehr.com.
If you are not eligible for a pension benefit from the SRPP but you are eligible to retire, you are
encouraged to:
• Read the information located within the Retirement Tools section on i-Connect.
• Use the Sprint Retiree Health Care Estimator located within Retirement Tools or directly at
https://sprintretirementservices.ehr.com to estimate retiree health care costs and
options.
For additional questions regarding your SRPP benefit or retiree health care benefits, you may
contact Sprint Retirement Services at 866-333-7311 or [email protected].
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Sprint Separation Plan
Voluntary and Involuntary Separations
Frequently Asked Questions (FAQs)
36. Will my separation pay be taxed the same as a regular paycheck?
Federal income tax on separation pay will be withheld at the flat 25% supplemental rate. State
withholdings will vary by state, but will also be withheld at the state's supplemental income tax
withholding rate where applicable.
37. Will I be eligible for a 401(k) matching contribution?
Yes, if you made a contribution to the 401(k) Plan you will receive any applicable matching
contribution. Any matching contribution will most likely be contributed to the 401(k) Plan in March
of the year following the applicable plan year. If you take a distribution or rollover your account
balance before that time, your account will be reactivated with the matching contribution and you
may take another distribution or initiate another rollover at that time.
38. Will I be eligible for an STI payout?
Generally, you will be eligible for a payout, if any, pro-rated through your last day worked, payable
in March of the year following the applicable STI plan year.
39. How will I know if I am impacted by arrears pay?
Some Employees were given a 40-hour pay advance when your division's payroll processing method
changed from providing pay on a current basis to one week in arrears, due to a change in the
payroll accounting system. In general, this change impacted employees who were employed by US
Sprint in 1990, Sprint PCS on December 28, 1998 or Legacy on February 24, 2006. Current Sprint
policy requires that money for this “advance” be collected from your final Sprint paycheck. If you
are impacted by arrears pay you will receive a letter in your separation package concerning arrears
pay. You are not impacted if you do not receive a letter.
The amount that will be deducted will be at the same rate of pay in which the advance was made.
For details on the amount that will be deducted from your final Sprint paycheck please contact the
Employee Helpline at 1-800-697-6000.
40. If Outplacement does not start until after my last day worked, is there anything I
can use before then to begin the process of preparing myself for another position?
The Career Management Toolkit on i-Connect is available to you until your last day worked. This
tool will assist you in identifying your interests and values, enhancing your network, help you selfidentify positions which may be of interest, identify available support mechanisms and provide you
with the information needed to develop a career plan and strategy. You may use this tool at any
point in time up to your last day worked. It is not currently available during the separation period,
however, the Company’s Outplacement benefit will be offered to you at this point. To access the
toolkit, type ‘career’ in your browser or click here.
41. If I am a director or above who is on a commission based incentive plan instead of STI,
will I receive an "additional payment" if I sign my release?
No, as a part of your salary separation pay you receive 100% of your targeted sales commission in
addition to your base pay instead of a pro-rated amount of STI.
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