(1) When the member's employment is terminated, the member's unused sick leave balance may be converted to a tax-free employer contribution to the participant account pursuant to this section.
(2) The amount of the employer contribution to a participant's account for hours converted under this section must be equal to one-fourth of the pay attributed to the accumulated sick leave. The attributable pay must be computed on the basis of the employee's salary or wage at the time that the sick leave is converted. A participant may not later receive as sick leave credit or as a lump-sum payment amounts contributed to the participant account pursuant to this section.
(3) At termination of employment, the member's unused vacation leave balance may be converted to a tax-free employer contribution to the participant account as provided for in 2-18-617.
(4) This section does not prohibit an employer from making other contributions permitted by statute and federal law or from entering into an agreement with a participant for employer contributions to a participant account in addition to the contributions provided for under this section.