Purpose:
To establish a policy and procedure to ensure compliance with state
law, including statutory provisions addressing the hiring of the Teacher’s
Retirement System Plan 1 (TRS) and Public Employees’ Retirement System
(PERS) Plan 1 retirees, and work hour limitations.
Scope:
All TRS and PERS Plan 1 retirees hired at Green River Community College.
Policy:
In accordance with RCW 41.32.010; prior verbal or written agreement
by Green River Community College and a Green River Community College
employee who is a member of TRS or PERS
Plan 1 to resume employment with the college following retirement is
prohibited. The College will follow the procedures outlined in this
policy when considering rehiring a TRS or PERS Plan 1 retiree.
Definitions:
For the purposes of this policy, the following applies:
Plan 1 Retiree
- Any person who has terminated employment due to retirement and receives
a retirement allowance resulting from services rendered to an employer
while a member of TRS or PERS Plan 1.
Procedure:
- Hiring departments must follow Green River Community College’s
established recruitment process for a position. If, through this
process, the successful candidate is a PERS or TRS Plan 1 retiree,
the hiring supervisor must meet with a Human Resources representative
and document a justifiable need to hire the retiree. This justification
and a record of the hiring process shall be retained by Human Resources
and available in case of an audit. In the case of a Plan 1 retire/rehire
as an adjunct faculty member, this process need not be repeated
each consecutive quarter.
- For all permanent positions, the college president must approve
the hire of a TRS or PERS Plan 1 retiree before a job offer is made.
- For all nonpermanent positions, the appropriate dean or appointing
authority must approve the hire of a TRS or a PERS Plan 1 retiree
before a job offer is made.
- Plan 1 retirees are required to have a specific break in service
after retirement in order to work up to 1,500 hours and still receive
their pension. Details by system are listed below:
- TRS Plan 1 members who retire on or after July 22, 2007
must remain unemployed for at least 45 calendar days after their
effective retirement date before returning to work.
- TRS Plan 1 members who retired prior to July 22, 2007 can
continue to work up to 1,500 hours per fiscal year (July 1 -
June 30) without affecting their retirement benefit, provided
the retiree waited at least 30 calendar days from their retirement
effective date before returning to work.
- PERS Plan 1 members who retire on or after August 1, 2003
must remain unemployed for at least 90 calendar days after their
effective retirement date before returning to work.
- PERS Plan 1 members who retired prior to August 1, 2003
can continue to work up to 1,500 hours per calendar year without
affecting their retirement benefit, provided the retiree waited
at least 30 calendar days from their retirement effective date
before returning to work.
- TRS Plan 1 retirees who return to work at a public education
institution and PERS Plan 1 retirees who return to work in a PERS-eligible
position are subject to a lifetime limit of 1,900 hours. The 1900-hour
lifetime limit is prospective and applies to any retiree who can
work beyond 867 hours without their pension being suspended. Hours
worked beyond 867 up to 1,500 in the fiscal year (TRS 1), or calendar
year (PERS 1), are the only hours that count toward this lifetime
limit. Once the 1900-hour limit is reached, the Department of Retirement
Systems will suspend the retiree’s benefit for work beyond 867 hours
within each fiscal or calendar year.
Specific
Authority:RCW 41.32.055; RCW 41.32.570; RCW 41.40.010; RCW
41.40.037 amended. RCW 41.32.010 reenacted and amended.
Law
Implemented: July 22, 2007
History
of Policy or Procedure
Draft: January 28, 2008
Adopted: November 10, 2008
Revised:
Reviewed by:
Contact: Sheryl Gordon, Employee Benefits Manager, ext. 2600
Cabinet Sponsor: Lesley K. Hogan, Vice President of Human Resources,
ext. 3315