COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Employee and Public Services Department

DATE:

May 7, 2003

BOARD MEETING DATE:

June 10, 2003

   

TO:

Honorable Board of Supervisors

FROM:

Mary Welch, Employee and Public Services Director

SUBJECT:

Early Retirement in Lieu of Layoffs

Recommendation

Adopt a resolution enacting Section 31641.04 of the Government Code enabling otherwise eligible employees in the classification of Deputy Director of Community Clinics to select an early retirement option to reduce staff as an alternative to the layoff of employees.

 

Background

Government Code Section 31641.04 permits members of the County Employees' Retirement System to receive two additional years of service credits toward retirement under conditions established by the Board of Supervisors. This code section was enacted on a broad basis in 1988 as a result of curtailment of services and changes in the manner of services. By invoking this code section the number of layoffs as a result of the cost savings was reduced. Since that time, your Board has periodically adopted resolutions that allowed employees in various departments to select the early retirement option to reduce costs and prevent employees from being laid off as a result of the cost cutting.

 

Discussion

As a result of organizational changes the San Mateo Medical Center anticipates eliminating a filled position. Exercising an early retirement option will prevent lay-offs. We are recommending that the early retirement option be implemented for the classification of Deputy Director of Community Clinics.

 

Fiscal Impact

Long term employees who elect this option will benefit by receiving an additional two years of service credit in the calculation of pension benefits, which will increase the pension benefit by approximately 3.5%.

 

Vision Alignment

This item keeps the commitment of responsive, effective and collaborative government through goal number 20: Government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain.

 

c

Nancy Steiger

Dennis O'Rourke

Sid McCausland