Charles Commissioners Approve Early Retirement Incentive Plan - Southern Maryland Headline News

Charles Commissioners Approve Early Retirement Incentive Plan

As the Charles County Government begins to make preparations for the Fiscal Year 2011 budget, they are exploring options to help offset the anticipated state budget cuts and declining revenues. In an effort to reduce the Fiscal Year 2011 Operating Budget the Departments of Human Resources and Fiscal & Administrative Services proposed an Early Retirement Incentive Plan (ERIP) for County Commissioner approval. The proposed Plan was approved by the Board of Commissioners on Tuesday, December 8, contingent upon the County Administrator achieving a financially feasible salary savings plan with the outside agencies, such as the Sheriff’s Office, who have employees that are eligible for this program.

The Charles County Pension Plan includes employees of the Charles County Government, Circuit Court, State’s Attorneys Office, Soil Conservation and administrative staff at the Sheriff’s Office. Sworn deputies, correctional officers and dispatchers belong to a separate pension plan and are not included in this staff reduction proposal.

The Early Retirement Incentive Plan (ERIP) allows for staff-friendly workforce reductions and salary savings. Under the ERIP, Pension Plan participants who are eligible for early or normal retirement (age 52 or older with 5 or more years of service) on or before July 31, 2010 may add up to 3 years of service and 3 years of age to their benefit calculations. It is estimated at this time that 218 employees are eligible for the ERIP with a goal to realize approximately 25% participation.

Dr. Rebecca Bridgett, County Administrator commented, “The County Commissioners took a proactive step implementing an employee-friendly way to reduce staff and the potential significant salary savings realized by anticipated employee retirements will help to reduce the Fiscal Year 2011 Operating Budget.”

Source: Charles County Government

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