Frequently Asked Questions
Updated: September 28, 2020 NOTE: The following refers to new benefits, systems and transitions as of July 1, 2021 for current Duke employees.
How will the transition to the PDC affect my day-to-day experience as an employee?
We expect and will work hard to ensure minimal disruptions in the day-to-day experience of PDC employees.In fact, is our intention to find new and exciting ways to continually create a better work environment.
As an independent PDC, we will be implementing first-class human resources technology, infrastructures, and processes to support the employee experience, and designing exciting, competitive benefits to meet the priorities and needs of our unique healthcare workforce.
Will the PDC honor employees’ years of service at Duke when they transition to PDC employment?
Yes. Employees will be able to count time as a Duke employee for all benefits that have years of service criteria.
What will the PDC’s time-off policies be and what will happen to employees’ accrued discretionary holidays, vacation time, and sick time at Duke when they transition to PDC employment?
In order to minimize disruption to employees, the PDC’s time off policies will mirror Duke University policies (i.e. discretionary holidays, sick leave, and vacation leave) at the time of transition. PDC will honor all unpaid discretionary holidays, sick and vacation leave accrued at Duke.
Are employees transitioning to the PDC eligible for a Children's Tuition Grant?
Yes. The PDC Board has approved a Children's Tuition Grant available to current Duke employees who transition to the PDC effective July 1, 2021. Duke years of service will count toward eligibility. The terms of the grant will be similar to Duke’s child tuition grant. Due to the PDC’s for-profit structure, the benefit is taxable, so any payment will be “grossed up” and paid on a net basis. Specific details about the benefit will be available soon.
New employees starting with the PDC as of July 1, 2020 and after will not be eligible for this benefit.
How will PDC employees’ health care benefits compare to those offered by Duke?
The PDC is building a new health insurance benefit plan that will be similar to the plans offered by Duke. Details about the new plan will be available in early 2021, and Duke employees transitioning to the PDC should be confident that it will compare favorably to the plans that they are currently offered.
How will the PDC’s retirement plan for exempt employees compare to Duke’s plan?
The PDC will maintain a 401K plan for exempt employees with employer contributions that are competitive in the market. Duke has currently suspended all employer contributions to its 403B plan for exempt employees, and it is unclear what the employer contribution will be when it is reinstated. However, we are confident that the PDC’s retirement benefits will compare favorably to Duke’s retirement plan for exempt employees. Details will be available in early 2021.
How will the PDC’s retirement plan for non-exempt employees compare to Duke’s plan?
PDC will maintain a defined contribution 401k plan for non-exempt employees similar to the plan offered to exempt employees, and it will include employer contributions that are very competitive in the market. Defined contribution plans allow employees more control and flexibility in determining how their retirement money is invested as compared to a pension, and thus allow an employee to pursue pension-like annuity payments and/or individual investment options such as traditional mutual funds. Details about the PDC’s updated retirement plan for non-exempt employees will be available in early 2021. Additionally, the PDC is committed to assisting employees who have questions about participating in a defined contribution plan and how it is different from a defined benefit plan.
Some employees’ positions are funded in part by the PDC and in part by the Duke School of Medicine. Will those employees transition to direct PDC employment?
Employees who have positions that are split-funded between Duke and the PDC cost centers will be employed by the entity for which they perform the most effort. The PDC is working with department leaders to determine appropriate levels of effort for split-funded employees, and those employees will be informed by the department whether they will remain Duke University employees or become PDC employees. In the interim, departmental employees should contact the chief departmental administrator (or his/her designee, e.g., divisional administrator) about current and expected split-funded effort.