A total of 57 state employees retired during the first three months of 2006, the final deadline for leaving with a costly benefit that the Utah Supreme Court recently ruled could be eliminated.
That was fewer than half the number who stepped down from government jobs during January, February and March of 2005. State Department of Human Resource Management Executive Director Jeff Herring said that's what he expected.
"It really didn't surprise me," Herring said. The deadline was extended from the end of the year for employees to leave without losing the ability to convert their unused sick days into health-insurance premiums.
State workers were given, in effect, an extra three months to decide whether to retire with the benefit because the court challenge was still pending. Herring said he did not know how many of the retirements were due to the benefit loss.
Utah Public Employee Association officials said they were aware of several workers who had stayed on after the beginning of the year in the hope that the court would rule in their favor.
But in February, the high court ruled against the UPEA, and the benefit was eliminated 30 days later under the terms of the extension. Workers who took advantage of the additional time to make up their minds still could only use sick days accumulated through 2005.
Fears over the effect of the benefit loss contributed to a much higher than normal number of retirees in 2005. A total of 866 workers left last year, about triple the number for 2004.
Lawmakers passed the controversial legislation during the 2005 session, after being warned that the price tag for continuing to offer the retirement benefits could add up to more than $300 million within just a few years.
UPEA officials countered that the benefit was given to state workers in lieu of pay increases during tight economic times and that many employees were counting on the benefit to cover expensive insurance premiums.
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