A part-time professor who had admitted to working as a prostitute can never again apply for a job from his former employer, Ryerson Polytechnic University, according to an agreed settlement.

Gerald Hannon says he would prefer to be teaching rather than receive that cash settlement from the university. "This has not been a very good year," he said.

A 20-year-old article on consenting sex with minors as well as his choice of part-time profession have been at the heart of the controversy.

Last November the Toronto university suspended Mr Hannon while conducting two investigations into his conduct. The action followed a series of sensational newspaper columns in November, in which Mr Hannon admitted that he moonlighted as a prostitute.

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The two Ryerson investigations revealed no evidence that Mr Hannon's personal views on prostitution or on man/boy relationships were affecting the quality of his teaching. Mr Hannon was back in classes in January but had a letter of discipline in his employee file.

In a released statement following the investigations, Ryerson President Claude Lajeunesse had said that Mr Hannon "had provided a direct challenge to our most deeply held beliefs regarding academic freedom and the private versus public conduct of a university professor".

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Mr Hannon has received support from his students, who are still petitioning the university to reverse their decision, as well as from members of the writing community, including PEN Canada.

Last May, the university effectively fired the journalism professor after a three-member panel refused him a post for which he felt he was the most qualified candidate. In the eyes of his union the decision was unfair and was added to the grievance over the letter of discipline.

The agreement, reached this month with his former school, avoids an expected arbitration and formally terminates grievance proceedings between Ryerson and Mr Hannon's union.

"We have reached this agreement through mediation to avoid further costly and prolonged litigation," said Michael Dewson, vice president of faculty and staff affairs. "We feel the interests of Ryerson are best served with this course of action."

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Although the amount of money from the settlement can not be disclosed, Mr Hannon says he plans to spend some of it on fighting on.

The winner of two National Magazine Awards says he will have to look at stepping up his freelance journalism career. He said prostitution is becoming less of an option as he gets older.