Additional Information - Employment of Retired Faculty

Please read the following text taken from a memo from Allan W. Barber, Senior Vice President for Finance and Administration, dated July 27, 1998:

The 1998 session of the General Assembly passed legislation (SB558) dealing with the re­employment of persons who are retired and receiving benefits from the Teachers Retirement System. The effective date of the legislation is July 1, 1998. Summarized below are the major provisions of the Bill.

(1) A person who has retired and is receiving monthly benefits from the Teachers Retirement System may not be re-employed until one month has elapsed since the date of his/her retirement. This also applies to a consulting relationships.

(2) If a retiree is hired after the one month break has occurred, the University is required to provide the Teachers Retirement System (TRS) with the re-employed retiree's name, salary, number of hours worked, whether the employment is as a "teacher" (as defined in TRS law) and such other information as TRS requests. Failure to comply with this provision will subject the University to financial penalties.

(3) If a retiree is hired earning 50% or more of his/her average annual compensation or final salary, whichever is greater, the University will be required to reimburse the TRS for the benefits that were paid to the retiree by them.

(4) It is the legal duty of the retiree to notify the University of his/her status prior to accepting employment, and if the University becomes obligated to make reimbursement under (1), (2) or (3) because of his/her failure to so notify the University, it will be the retiree's legal duty to make reimbursement to the University for such payment.

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