| CalPERS Explains Changes to Retired Annuitant Law |
| Thursday, 02 February 2012 11:28 |
Last week, CalPERS released a Circular Letter informing CalPERS members of changes to code sections concerning employment after retirement pursuant to Assembly Bill 1028, which took effect January 1, 2012.Special districts have two choices when hiring a retired annuitant. Under Government Code Section 21221(h), agencies may make an interim appointment to a vacant position during recruitment for a permanent position. This interim appointment is limited to a one year appointment and the employee may only work for a maximum of 960 hours in a fiscal year. Agencies may request an exemption to the 960 hour limitation, however, any appointment made under this Government Code section shall not exceed a total of 12 months. Under Government Code Section 21224, agencies may hire a retired annuitant as temporary extra help. This code section specifically allows a retired person to work without reinstatement upon temporary appointment during an emergency to prevent stoppage of public business or because the retired employee has specialized skills needed in performing work of limited duration. Retired annuitants hired pursuant to Government Code Section 21224 should not be hired to fill a vacant permanent part-time position, permanent intermittent, or permanent full-time position. However, under this code section, retired annuitants can work longer than one year as long as the employment is temporary extra help. Work is limited to 960 hours in a fiscal year without any exemptions. Please review the Circular Letter released by CalPERS, which can be viewed here. Special districts may wish to contact CalPERS for assistance in determining whether their use of retired annuitants conforms to current law. |
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