Proposed Changes for Rehired Annuitants

While a pair of bills limiting employment of rehired annuitants failed to pass last session, the subject remains a popular topic this session. A bill proposal has already been circulated by State Representative Duey Stroebel (R-Cedarburg), the author of one of last year’s bills, and Governor Scott Walker has included an item affecting rehired annuitants in his 2013-15 biennial budget proposal.

Stroebel’s bill has not been introduced, but his proposal last year (AB 318) would have required retired annuitants who work at least half-time to forgo their annuity payments. Last year’s bill would also have changed the current 30-day waiting period before an annuitant could be rehired to 75 days, while disallowing rehired annuitants from accruing retirement benefits while working. Rehired annuitants would receive group insurance benefits under the failed proposal.

Governor Walker also proposes changes for rehired annuitants in the state budget. He, too, favors increasing the break between retirement and rehiring from 30 to 75 days. The governor also recommends that rehired annuitants who work more than two-thirds full-time be ineligible to receive annuity payments. Those employees must rejoin the Wisconsin Retirement System and add to their years of service.

These proposals have serious implications on campus and PROFS will lobby for the best possible result.