New Executive Order Issued for Post-Retirement Employment
On June 11, 2021, the Governor issued Executive Order N-08-21 lifting various state of emergency Executive Orders, including the waivers regarding post-retirement employment for public employees. Effective July 1, 2021, the reinstatement and work-hour limitations are no longer suspended for SCERS members.
Therefore, SCERS members and employers must adhere to the 960-hour work-hour limitation for retirees on July 1, 2021. Because SCERS utilizes a calendar-year measurement period to track hours worked for retirees, the 960-hour limit includes any work performed since January 1, 2021.
Retirees who exceed the 960-hour limit will have their pension suspended and be reinstated to active employment.
The 180-day “sit-out” period also resumes on July 1, 2021. Some retirees may currently be working for a participating employer without yet reaching the 180-day separation period. These employees also are working under employment agreements or contracts that were authorized under the prior Executive Orders. Therefore, SCERS interprets the new Executive Order as allowing these retired employees to continue to work in the same capacity without needing to “sit out” until the 180-period has lapsed. However, any new employment arrangements for retirees must comply with the existing statute.
This information is subject to change, based on further information and/or Executive Orders from the Governor’s Office. For more information, please call our main number: (916) 874-9119.