Latest News
Gov. Charlie Baker Aims to Trim State Workforce by 4,500 Through Early Retirement Incentives
Gov. Charlie Baker released a plan this week to trim the state workforce through early retirement incentives. The plan was greeted with caution by legislative leaders and a state employees union, who said they needed to learn more about the impact on state services and the long-term fiscal implications, particularly for the state’s pension liability….The voluntary incentive offer would apply to the approximately 14,000 state employees who are already eligible to retire, based on their age and years of service. The benefit would help state employees who have not yet worked enough years to get the maximum available pension benefit, which is 80 percent of their salary. Baker would offer those employees the chance to add up to five years of additional service into their pension calculations. Read More…
Working for the Trial Court this pandemic has causes so many fears and we worked through these fears the entire time. Meeting with the public on a daily basis has been very stressful especially since my age is over 65. I feel that this bill if passed would provide both the State and the Employees many benefits. The State would be benefitting by releasing people who are paid at a hire rate and pay less into the Retirement System than new hires and the Employees would benefit to relive the stress that they have endured during Covid 19.
I would be very grateful to have this little boost in my pension after years of dedication and hard work.
Thank you
Here is a new bill that has been filed. It looks great for all essential public-sector workers.
Call your Reps now. Lets hope it passes.
HOUSE DOCKET, NO. 1794 FILED ON: 2/11/2021
HOUSE . . . . . . . . . . . . . . . No.
[Pin Slip]
The Commonwealth of Massachusetts
_______________
In the One Hundred and Ninety-Second General Court
(2021-2022)
_______________
An Act relative to providing a COVID-19 retirement credit to essential public-sector workers.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
Chapter 32 of the General Laws is hereby amended by inserting the following new section after Section 4 ;
SECTION 1. (a) The following words shall have the following meanings
“Employee”, a person by employed by the Commonwealth of Massachusetts; its political subdivisions, state and community colleges and universities under the board of higher education and the University of Massachusetts.
“COVID -19 Essential Employee Retirement Credit Bonus,” three years added to age or years of service or a combination thereof for the purpose of calculating a retirement benefit
SECTION 2. (a) Notwithstanding any general or special law to the contrary, the secretary of administration and finance shall identify all employees who have volunteered to work or who have been required to work at their respective worksites or any other worksite outside of their personal residence during the COVID-19 state of emergency declared by the Governor of the Commonwealth of Massachusetts on March 10, 2020 through December 31, 2020.
(b) On or before June 30, 2021, the secretary of administration shall work with employers of employees defined in this section to identify and provide a list of employees and their home mailing address to the state retirement board and all other relevant retirement boards documenting the employees’ eligibility for the COVID -19 Essential Employee Retirement Credit Bonus defined in Section 3 of this Act hereinafter referred to as “credit”. Said retirement boards shall notify in writing each employee who will be eligible for the credit.
SECTION 3. (a) Notwithstanding chapter 32 of the General Laws or any other general or special law to the contrary, and not before receiving from the secretary of administration and finance the report required under subsection (a) of section 2, the state board of retirement and all other relevant retirement boards shall establish and make the credit available to eligible employees. Said credit shall be available for use by eligible employees at any time on or after the effective date of this act.
Hi Kevin,
This H 1794 bill is listed for only employees of the Executive Branch. Unfortunately it’s not available for ALL state employees
Senator Michael Brady introduced Senate Bill 1469 last year. This is a good Bill for Groups 1 and 2. Lets get it passed this year.
The bill reads:
An Act relative to a service based retirement option for Group 1 and Group 2 career employees.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
1 SECTION 1. Notwithstanding the provisions of any general or special law to the
2 contrary, an employee as defined in Section 1 of the chapter 32 of the Massachusetts General
3 Laws who is classified in either Group 1 or 2 and all political subdivisions thereof who has been
4 a member for not less than thirty years in the aggregate shall be eligible to apply for and receive
5 a service based retirement allowance as authorized by section five of Chapter thirty-two, using
6 the 2.5 factor under subparagraph (a) of paragraph (2) of section five of chapter thirty-two,
7 regardless of age, providing that the employee agrees to fully fund their pension benefit up front.
8 The employee’s total amount due into the pension system is to be determined by the State
9 Retirement Board in order that the employee reach a 75% pension benefit (30 years) or 80%
3 of 3
10 benefit (32+ years). The employee may use their vacation time allowance and/or personal
11 allowance to pay that amount so determined by the Board.
Hi Kevin,
YES absolutely need this bill to passed. I have emailed and called all Senate members on Ways and Means giving my support to this bill.
I suggest everyone who supports this bill email or call the members on the Senate Ways and Means and tell them you support this bill.
It makes fiscal sense. Covid-19 has put this state in a real fiscal crisis.
This bill would remove career employees who make the most money off the state payroll.
Has anyone seen or heard of Senator Michael Brady Bill S1469 from last year for Groups 1 and 2. Is there a new one out there? Please responsed back. Thanks
I have not see or heard anything regarding this
I didnt see Group 4 in this proposal. Anyone have any info on whether or not that is included? Thankyou.
I also work for the state. Hope and praying state will offer 5 years early retirement incentive, many of my co-workers and myself would love to take it. So younger people will have opportunity to work and support their family. We don’t want younger generation to lose their jobs.
ERIP’s can very negatively impact the funding percentage and OPEB liability of a pension fund. Massachusetts did one in 2015. That was only a short time ago !
This must pass will help those ready to retire and help state budget . Mass dot employees Highway maintenance should be in group 2 not one .
Joseph:
As you may know, this article refers to a 2015 proposal (updated in 2019). We aren’t aware of any information on any new proposals, but the link here provides valuable information to retirees from public service in Massachusetts on issues related to retirement: http://www.massretirees.com/news
Gerry Hafer
AMAC Foundation
I really hope something goes through ,I have 36 years of state service,but can’t retire because of my age,so I’ll have to work 40 years to get out at 60,that is ridiculous,yet a co worker just retired at full pension,at 64 with only 32 years in the same retirement group,as myself,this is reverse age discrimination, comm of mass retirement system needs to be totally revamped,it’s rates one of the worst in the country
Tim:
As you may know, this article refers to a 2015 proposal. We aren’t aware of any information on any new proposals, but the link here provides valuable information to retirees from public service in Massachusetts on issues related to retirement: http://www.massretirees.com/news
Gerry Hafer
AMAC Foundation
I wonder if this pandemic and the fiscal issue the state will be dealing with, will prompt the Governor to take a look at early retirement incentives.
We have a lot of new young graduates and from what I see for jobs in this state ,we will loose a lot of them to other states. They need enough money to live and pay for those large loans. I hope that we open up some jobs for them.
This would make fiscal sense. I believe the state employs a large workforce which has been increasing substantially for a few years. Wondering if the Baker administration would consider an early retirement incentive?
Is Gov. Baker talking about early retirement for fiscal year 2020-2021.
There is a lot of talk that he wants to try to offer an incentive this year before July 1 , 2020
Dave:
As you probably know, this article refers to a 2015 proposal. We aren’t aware of any information on any new proposals, but the link here provides valuable information to retirees from public service in Massachusetts on issues related to retirement: http://www.massretirees.com/news
Gerry Hafer
AMAC Foundation
This would make sense, depending on what the incentive is. I know Senator Michael Brady introduced Senate Bill 1469 last year, but it hasn’t gone anywhere.
The bill reads:
An Act relative to a service based retirement option for Group 1 and Group 2 career employees.
Be it enacted by the Senate and House of Representatives in General Court assembled, and by the authority of the same, as follows:
1 SECTION 1. Notwithstanding the provisions of any general or special law to the
2 contrary, an employee as defined in Section 1 of the chapter 32 of the Massachusetts General
3 Laws who is classified in either Group 1 or 2 and all political subdivisions thereof who has been
4 a member for not less than thirty years in the aggregate shall be eligible to apply for and receive
5 a service based retirement allowance as authorized by section five of Chapter thirty-two, using
6 the 2.5 factor under subparagraph (a) of paragraph (2) of section five of chapter thirty-two,
7 regardless of age, providing that the employee agrees to fully fund their pension benefit up front.
8 The employee’s total amount due into the pension system is to be determined by the State
9 Retirement Board in order that the employee reach a 75% pension benefit (30 years) or 80%
3 of 3
10 benefit (32+ years). The employee may use their vacation time allowance and/or personal
11 allowance to pay that amount so determined by the Board.
I am a state employee on the edge of retirement. Im looking forward to something positive down the road either 2020-2021.
Im in higher education.
I only have 5 years until I can retire. A 5 year incentive would be incredible.
Of course, I am not an economist, but it makes sense to me to go ahead with early retirement. New workers will have much smaller pay, contribute more to health insurance and retirement plan
Please read the initial date of the Mass Live article…This is the 2015 proposal. Unless it is exactly the same no one will be able to verify any information. I hope there is a legitimate and up-to-date press release from the Governor’s office sooner rather than later
This article is from 2015 and the early retirement incentive that followed. Is it the same proposal?
Yes this article refers to a 2015 proposal. No information is available on any new proposal, but the link here provides valuable information to retirees from public service in Massachusetts on issues such as WEP and more: http://www.massretirees.com/news
-Jeff Szymanski
AMAC Political Communications
We hope this time the governor extends this plan to university personnel. There are many UMass faculty who would take up this offer enabling the system to reduce high salaried personnel.
I have been waiting for this opportunity myself as I need 4+ years to reach my 80%.
I’ll be grateful to have this opportunity to enable me to have adequate pension after years of hard work.
Thanks.