For some members of Tiers II and IIA who retire on or after August 1, 2022, the Normal Retirement Age will change: to 65 for most members, and to 63 for members with 25 or more years of vesting service. Person Interface Errors, Combo Code Creation and Use as Payroll Funding Source, CT Salary Plan Employee Payment Processing, HR Fields and Their Impact on Employee Benefits, Layoff Seniority Date Calculation and Reports, Location and Time and Labor Group Template, Monthly Position Status Report (Excel format), OSHA 300 Incident Log and OSHA 300A Annual Summary, Processing Unpaid Leave of Absence of Five Days or More, Processing Unpaid Leave of Absence of Less Than Five Days, Retroactive Payments to Terminated Employees, Temporary Service in a Higher Class Procedures. The State Employees Bargaining Agent Coalition announced last Friday that all units had ratified the deal. Tier 3 (Non-Preferred brand name): $12.50 copay. Please reload the page and try again. It could be because it is not supported, or that JavaScript is intentionally disabled. CTDOL.state.ct.us. . A database of class specifications used in the State of Connecticuts Executive Branch. ADMIN Home Directory of Divisions. For us now to be told these workers can receive the bonuses even when they retire demonstrates that the governor either made a bad deal for the taxpayers or misled the public to avoid the critical fallout of this lucrative political deal.. If you already use an in-network PCP or specialist, there's a good chance your doctor is a Preferred provider. They also cover the next two fiscal years and potentially 2024-25 as well. 6. they will apply to all Connecticut employees whose date of retirement is on or later than August Rob Baril, the president of SEIU 1199, in July 2021 arguing that state employees deserve raises. Employees Retirement System (also known as SERS). It seems that JavaScript is not working in your browser. Please take note of the following important facts about this change: Under current rules, a retired Connecticut employee and/or dependent(s) who has become eligible for Medicare must enroll in Medicare. The contracts, which Gov. The last one specifically reduced benefits for those who retire after July 1, 2022, which had sparked this years rush of senior workers leaving the state employment. If over 25, use 25. Because state employees must retire on the first day of a month that occurs after the termination of their employment, all employees who retire on or before July 1, 2022, will have terminated employment before the rules go into effect. If youre going to get a bonus, youve got to stick around with us for a while, said Rep. Jay Case, R-Winsted. DescriptionThe Nebraska Department of Transportation (NDOT) is offering up to a $2,500* hiringSee this and similar jobs on LinkedIn. Keith has spent most of his 31 years as a reporter specializing in state government finances, analyzing such topics as income tax equity, waste in government and the complex funding systems behind Connecticuts transportation and social services networks. The extra COLA will be calculated on the basis of the CPI-W for that initial, 18-month period of high inflation. Checklist for Terminating an Employee. Whoops! There was an error and we couldn't process your subscription. More than 40,000 unionized state employees would receive $3,500 each in special bonuses by mid-July . Its a matter of whether we can afford it.. Under a Normal Retirement, the monthly pension payable to a SERS member is calculated under a formula that this document will call the , Under an Early Retirement, the members pension is calculated by (i) applying the Normal Retirement Formula, and then (ii). Equally important, the amount the state pays to employees should be only one of several considerations in retirement planning. After the retiree provides proof of enrollment in Medicare for themselves and/or their enrolled dependent(s) the applicable Medicare premiums have been verified, the state will reimburse the retiree for the entire amount he or she pays in premiums to Medicareboth the standard premium for Part B and any IRMAA for Parts B and D. If the retirees spouse is enrolled in Medicare, the state will also reimburse the spouses Medicare premiums. The user is on notice that . Each retirement plan in SERS (including the Hybrid Plans) specifies a certain age as Normal Retirement Age. The changes to Normal Retirement Age will have an impact only on certain members of Tiers II and IIA. The discussions below explain which members each change will and will not affect. An arbitrator had already awarded some unions a 3% general wage hike for 2021-22 before Lamont and labor negotiators settled on a smaller cost-of-living bump and bonuses. You cannot be supportive of state workers and the services they provide without being supportive of the necessary funding to ensure that these positions are properly staffed, SEBAC wrote in a statement after the vote. At a later date to be announced, the state payroll system will be adjusted to capture those retroactive contributions from employees that were missed between July and September. Part-timers would be eligible for prorated bonuses. 4 See Retirement Services Division Memoranda 2013-10 (Jan. 8, 2013) and 2013-02A (March 20, 2013). More than 30 state employee bargaining units have ratified contracts that would provide more than 40,000 workers with $3,500 in bonuses by July, along with three years of raises, the State Employees Bargaining Agent Coalition announced Friday. the future benefits accruing to . The state had 2,056 workers retire two years ago and 2,656 in 2021. Under current premium rates, these percentages mean that employees must pay between $0 to $101.14 per month for retiree health insurance. Deserves got nothing to do with it, Rep. Thomas ODea, R-Ledyard, said, citing the famous dialogue Clint Eastwoods Western outlaw uttered in Unforgiven, the 1992 Academy Award-winning film. These are not job openings. (CT:PER-893; 12-11-2017) (State Only) (Applies to Foreign Service Employees Only) It is the policy of the Department to correct an error or prevent an injustice by providing an increase to a higher salary rate within a class pursuant to a recommendation of the Foreign Service Grievance Board The legislature . DM 40 Hour Pay Plan Effective July, 1 2022. But the tentative deals with bargaining units technically dont address hazard pay or special compensation for the pandemic. community-supported public media service, Connecticut Public has relied on donor support for more than 50 years. As discussed above, a SERS member who retires today will not be eligible to receive a COLA until at least nine months have elapsed from the members retirement date. Negotiators . Those packages, collectively, included six fiscal years in which workers forfeited general wage and step increases, though they did receive lump sum payments in two of those six years. Connecticut has more per capita debt than most other states, and those long-term obligations are expected to put considerable pressure on state finances for decades to come. State and union officials are expected to meet again in the fourth year to negotiate wages. For SERS members who retire on or after August 1, 2022, the formula will be slightly modified: In any year for which the CPI-W is two percent or less, the COLA will be equal to the CPI-W. Here's how much you will pay for your maintenance and non-maintenance prescriptions: The copays for medications used to treat chronic conditions continue to be: changes to the terms of retirement for all state employees, including members of the State But the Democratic governor also confirmed that workers could accept $2,500 of the $3,500 in bonuses offered under a tentative contract deal and still retire before more stringent pension benefits take effect on July 1. Madison Republican Bob Stefanowski, who lost the 2018 gubernatorial race to Lamont and is seeking a rematch this year, has called the agreements politics, pure and simple, when they were first reported last month. Because COLAs may currently be awarded only on January 1 or July 1 of each year, retiring SERS members must wait between nine and fourteen months for their first COLA. This additional premium is known as the Income-Related Monthly Adjustment Amount, or the IRMAA.. Under current rules, the amount of a retirees COLA is calculated under a formula that accounts for a percentage of any increase in the CPI-W for the preceding year, but which guarantees an annual COLA of at least two percent. But most House Republicans who spoke in Thursdays debate predicted taxpayers wouldnt be as happy as state employee unions are. In 2022, Governor Parson implemented a 7.5 percent pay increase for the state workforce. To understand the 2022 Changes, it is necessary to understand both the processes created by the SEBAC agreements and certain basic structures of the states benefits for retirees. According to state employee union documents, Lamont is proposing to award all unionized state employees three annual base salary increases of 2.5 percent and, for about two-thirds of. More than 3,400 state employees have either retired or filed their written intentions to do so between January and March 31 alone, and that total is expected to grow considerably between now and July 1. The coalition, which represents most state employee unions excluding the state police, added that It is a critical step in resolving the current staffing crisis that is the consequence of decades of disinvestment and austerity., Lamont spokeswoman Lora Rae Anderson said, Were happy the House has passed the SEBAC agreement, and we are hopeful the Senate will do the same.. This memorandum will help you explain the 2022 Changes to employees who are planning their retirement by clarifying the following key facts: Taken together, what these facts show is that only a very limited number of employees who were planning to retire after the Effective Date may gain a clear advantage by changing their retirement strategy. The SEBAC 2017 Agreement increases active employee pension contributions by 1.5 percent of salary. Tier 2 (Preferred brand name): $5 copay The second rule states that a member does not become eligible to receive a COLA until at least nine months have elapsed after the members retirement date. Yesterday marked the second and final day of the arbitration hearing between SEBAC and the State of Connecticut over the amount of pandemic pay due to frontline essential state employees. In other words, the effect of this change to current retirement rules will generally last for only a limited amount of time. Lamont, a Democrat, called it a responsible and fair deal for our unionized state employees. He said it takes into account increased inflation and a state workforce that is bracing for a significant number of retirements by providing competitive wages. During that time Connecticut's average pension payment increased 15 percent from $34.589 in 2015 to $39,887 in 2020. Ned Lamont addresses a campaign union rally in November 2018. mark pazniokas / ctmirror.org. Highlights for 2022 . Depending on the members date of retirement, therefore, a member must wait between nine and fourteen months to receive his or her first COLA. Google Translate is an online service for which the user pays nothing to obtain a purported language translation. Some members of Tiers II and IIA will not be subject to this change, however, because they purchased the right to have the current rules apply to them after the Effective Date. This means 2022 12:01 am . That will be followed by 2.5 percent raises on July 1, 2022 and July 1, 2023. The workers will also receive. Therefore, every member who retires after the Effective Date will be eligible to receive his or her first COLA after exactly thirty months of retirement.3. Get CT Mirror emails in your inbox daily. When that expires in 2024, the states fiscal position could turn, some lawmakers argue, particularly if the national inflation rate which topped 7% last year and exceeds 8% early in 2022 remains high. 70% of in-network PCPs and 60% of in-network specialists for the ten medical specialties noted above are considered Preferred. To determine if an employees income is over the threshold, the government looks to the adjusted gross income that the employee reported on his or her federal return for the tax year that was two years before the year in which the IRMAA will be charged. listeners, viewers, and readers like you who value fact-based journalism and trustworthy information. House passes raises, bonuses for CT state employees By Keith M. Phaneuf / CTMirror.org Published April 21, 2022 at 5:22 PM EDT The House of Representatives approved a four-year package of raises Thursday that includes $3,500 in bonuses later this spring and summer for about 46,000 unionized state employees. The coalition, which represents most state employee unions excluding the state police, added that, It is a critical step in resolving the current staffing crisis that is the consequence of decades of disinvestment and austerity., Lamont spokeswoman Lora Rae Anderson said, Were happy the House has passed the SEBAC agreement, and we are hopeful the Senate will do the same.. Lamont is correct, though, that the states coffers are unusually flush. The state and unions have the option of continuing the same level of raises for the fiscal year beginning July 1, 2024, or they can negotiate different compensation levels. There is no charge for enrollment in the MAPD. Joseph Horvath, the state's chief negotiator, wrote to the union this week, saying its proposals would have cost $2 billion over three years and were "simply are out of touch with the reality of. You'll pay nothing for medications and supplies used to treat diabetes (Type 1 and Type 2). Thats when more stringent limits on state retirement benefits, negotiated as part of a 2017 concessions deal with unions, take effect. State government coffers have swelled since 2018, due in large part to a robust stock market that has bolstered income tax receipts tied to capital gains and other investment earnings. The Democrat-controlled House voted 96-52 to approve the contracts, following a four-hour debate during which Republicans insisted thecompensation far outstrips what private-sector workers are receiving, or what taxpayers can afford. Let us be clear. As a The pay increases will appear in the March 31 paychecks of state workers. The agreement announced Friday also includes special lump sum payments of $2,500 for active employees whove been on the job since March 31 and $1,000 for those employed as of July 15, 2022. Part-timers would be eligible for prorated bonuses. Its a way of saying job well done, he added. Prescription Drugs -- New Formulary, New Copays. Hartford lawyer Daniel Livingston, chief negotiator for the State Employees Bargaining Agent Coalition, or SEBAC, estimated that going with one-time bonuses and a smaller 2.5% annual cost-of-living raise saves the state about $150 million over the next decade. Your Payroll Deductions Effective 10/1/17 - 6/30/18. . Effective July 1, 2022, full-time employees who are active and in the bargaining unit shall receive a $1,000 (one . The states robust, short-term fiscal position is a sugar high that will pass when the federal stimulus money goes away, ODea said. It seems that JavaScript is not working in your browser. The state of Connecticut is in the best financial condition that I can recall, being up here 10 years, said Rep. Michael DAgostino, D-Hamden, who led the debate in favor of the raises. 2022 (FY 23) active, full-time employees will receive a special lump sum payment of $1,000. Administration officials estimate the wage increases and bonuses would cost $287 million more this fiscal year, and $403 million above 2020-21 levels next fiscal year. Its a matter of whether we can afford it.. If a member retires on or after August 1, 2022, and if the rate of inflation, as measured by the CPI-W, is higher than 5.5% per year for the first 18 months of the members retirement, then the member will receive two COLAs on the date that is thirty months after retirement. A copy of that grid is attached to this memorandum as Appendix A. 2022 Employee Benefits Guide -2 - Goodwill Industries of Northwest North Carolina carefully evaluates our employee benefit offerings each year to ensure we are providing our employees a competitive program. DY 37.5 Hour Dentist Pay Plan Effective July 1, 2022. Will these changes have a negative effect on my retirement? 02. The precise effect is impossible to forecast, because it depends on such matters as future rates of inflation, future costs of health insurance and Medicare, and the number of years each employees retirement will last. If so, can I avoid that harm by retiring before the Effective Date? But Lamont says the public is getting to keep state services that are under extreme pressure. For more information on HEP, contact Care Management Solutions (CMSI) at 1-877-687-1448 or visit www.cthep.com. These rates can be found in a grid that appears in Attachment C to the SEBAC 2011 agreement. Share your form with others Send ct form uc 1np via email, link, or fax. The earliest retirement date for employees who terminate their employment after the rules go into effect will be August 1, 2022. you or a covered family member takes a maintenance medication, you can only receive one 30-day fill at a The Democrat-controlled House voted 96-52 to approve the contracts, after a four-hour debate during which Republicans insisted the compensation far outstrips what private-sector workers are receiving, or what taxpayers can afford. Our Connecticut small business health insurance plans provide your employees access to the right doctors, benefits, tools, and support to simplify their health journey and help keep your business running. With one limited exception, every employee who retires on or after August 1, 2022, will be subject to the 2022 Changes. The 2022 Changes with respect to the reimbursement of Medicare premiums will affect only certain high-income retirees. font size. You cannot be supportive of state workers and the services they provide without being supportive of the necessary funding to ensure that these positions are properly staffed, SEBAC wrote in a statement following the vote. ** The Family Less Employed Spouse (FLES) rate is available only when both spouses are enrolled in active coverage, eligible for health insurance, and enrolled in the same plan with at least one child. Fiscal Year End Job Aid for HRMS. Retired employees must pay a portion of the premium for the health and prescription coverage provided by the states retiree health plan. The retiree is then transitioned into the states custom group Medicare Advantage Plan, which is known as the MAPD. Employees who are Medicare-eligible at the time of their retirement are enrolled in the MAPD as of their retirement health enrollment date. Whoops! All Rights Reserved. The collective bargaining agreements known as SEBAC 2011 and SEBAC 2017 made This 1% COLA will have the effect of equalizing the annual salary of each grade and step between the STD and ASTD salary scales. Prior to joining CT Mirror Keith was State Capitol bureau chief for The Journal Inquirer of Manchester, a reporter for the Day of New London, and a former contributing writer to The New York Times. These retirees currently contribute to the cost of their insurance (as well as coverage for enrolled dependents) at the following rates: from 0% to 1.5% for hazardous duty retirees and retirees with 25 or more years of service; from 1.5% to 3% for all others. The Ohio Civil Service Employees Association represents approximately 30,000 public employees in state and local government. Gov. Add/Update Employee/Dependent Address. Its nothing more than a handout.. Because those who retire on or after August 1, 2022, will be reimbursed for only 50% of their IRMAAs, any such enrollee who reported income over the 2022 threshold for the relevant tax year would not be reimbursed for payments ranging from $35.85 to $216.75 per month under current rates. I want a salary structure that allows me to recruit the best and brightest, Lamont said during a late afternoon, online press conference. In the Keynesian view, aggregate demand does not necessarily equal the productive capacity of the economy. The contract covers the four-year period from July 1, 2021, through June 30, 2025. View a list of Connecticut State Departments and Agencies, Constitutional Offices, and more. Senate expected to approve deal on Friday, Click to share on Facebook (Opens in new window), Click to share on Twitter (Opens in new window), Click to share on LinkedIn (Opens in new window), Click to email a link to a friend (Opens in new window). Tier 3 (Non-Preferred brand name): $12.50 copay. All three concession packages also increased health care costs for workers, while two of the three tightened pension and retirement health care benefits. Effective July 1, 2022, retirees will continue to be reimbursed fully for the standard premium for Part B. The first states that COLAs may be awarded only on January 1 or July 1 of each year. Your co-pay will remain the same as it is today. And that was before surging state income and business tax receipts pushed this fiscal years surplus from $2.7 billion to $4 billion. For tests performed at Non-Preferred in-network labs or imaging centers, you'll pay 20% of the cost. This report (1) explains why state officials are anticipating a wave of state employee retirements before July 1, 2022, the date when changes to state employee retirement benefits take effect, and (2) uses historical data to provide an estimate of how many employees may retire before July 1, 2022. Watch Live at 7:00 PM: The U.S. and the Holocaust, a film by Ken Burns | Screening & Panel Discussion . Connecticut has a record-setting $3.1 billion in its rainy day fund and is on pace to wrap this fiscal year with an equally unprecedented $2.7 billion surplus. Theres a pro-rated bonus for part-time employees. General Employee Benefits As a State of Connecticut employee you may be entitled to a host of benefits that are not only attractive, but also may be portable should your career bring you to other avenues of state service. The budget announced by Gov. The 2022 Changes will increase the amount deducted from the retirement benefits of certain employees to pay for state-provided retiree health insurance. The House of Representatives approved a four-year package of raises Thursday that includes $3,500 in bonuses later this spring and summer for about 46,000 unionized state employees. "Thank you to my colleagues for finishing this in a timely manner," Sen. Lincoln Hough, R-Springfield, said in a statement. Because the Normal Retirement Age for Tiers II and IIA will change as of the Effective Date, members of those Tiers who retire on or after August 1, 2022, and who wish to avoid the pension reduction associated with Early Retirement, will have to wait longer before they retire. 37.5 Hour Dentist pay Plan Effective July 1, 2022, Governor Parson implemented a 7.5 percent increase..., 2023 SERS ( including the Hybrid Plans ) specifies a certain Age as Normal retirement Age pays nothing obtain... Rates can be found in a grid that appears in Attachment C to the reimbursement of premiums! 30,000 public employees in state and local government three concession packages also increased health care benefits 'll nothing! Of state workers by 2.5 percent raises on July 1, 2022 and July 1, 2022 receive a 2,500... The state pays to employees should be only one of several considerations in retirement planning on basis. 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( FY 23 ) active, full-time employees who are Medicare-eligible at the of! Type 2 ) Solutions ( CMSI ) at 1-877-687-1448 or visit www.cthep.com each retirement in! And July 1, 2022 and July 1, 2021, through 30... Keep state Services that are under extreme pressure and IIA pay increase for the state Connecticuts. Surplus from $ 2.7 billion to $ 101.14 per month for retiree health insurance Governor implemented... Increase for the pandemic short-term fiscal position is a Preferred provider ) at 1-877-687-1448 or www.cthep.com! In-Network PCP or specialist, there 's a good chance your doctor is a Preferred provider not! Retire two years ago and 2,656 in 2021 70 % of in-network PCPs and %...