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Audit calls for end to rehiring retirees

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K-Dog | 9:42 a.m. Nov. 11, 2009
They definitely need to do something about the double dipping that goes on in the Utah school districts. There are Administrators and Principals who retire from one district and hire on in another district and collect one government pension while building another. These folks are making in excess of $150K per year double dipping while young teachers are earning $30K. Its a disgrace. There is a huge story here if the Deseret News would look into it.
Double dipping had to go | 10:17 a.m. Nov. 11, 2009
My coworker was removed from his job by the State due to budget cuts. The sad thing is that my coworker is a great professional with great qualifications and was doing an amazing job. Some of the workers that were left behind don’t work much or are old enough to be sitting at home because that is what they do every day at work and yes some are double dipping. Political influence, friends of friends , and I scratch my back I will scratch yours mentality are still going on in the state not to say discrimination. This has to stop. How can you justify those salaries for people who are already over the retirement age limit? Besides, I am daily afraid of a couple of my coworkers having a heart attack at work because they are too old. They are unproductive.
Retirement fund strategy | 10:40 a.m. Nov. 11, 2009
I hope the retirement fund did not get out of the market when it was low, and then stay out. Huge mistake if so. If they stayed in, the $6 billion issue would now be a $3 or even $2 billion issue, which is much more managable.
Comments continue below
Stop it | 10:47 a.m. Nov. 11, 2009
This is ridiculous. Why are we rehiring people into their same positions after they retire.

If someone decides to retire, then move on and let someone else do that job.

Nothing wrong with it | 10:49 a.m. Nov. 11, 2009
If demand is there then what's the problem? If the state offers early retirement and then wants to rehire an experienced person then let them do it. If they don't then they'll see shortages of labor. There is a reason they're all rehired, so if you don't want to lose them to retirement and then have to rehire govt needs to make changes. Either make it more appealing to not retire or absolutely refuse to rehire a retired person.
wrong because future | 11:58 a.m. Nov. 11, 2009
they rob other people of thier future. they do rehires at the u of u hospital and it does make me mad when I think of medicare and everything else being gone when I retire. which I most likley won't be able to. now the hospital is going to cut costs by buying chinese made dressing supplies that will make other people in the country lose their job. we need to not be just about ourselves but about everyone and the future.
To "Stop it | 10:47 a.m. " | 12:05 p.m. Nov. 11, 2009
Stop it | 10:47 a.m.

This has nothing to do with people being rehired into their same positions after they retire. That is already prohibited.
John | 2:56 p.m. Nov. 11, 2009
The comittee had better take some meaningful action to insure my future benefits while retired (next year)!!! The rehire thing is a huge drain and a major factor in the success of URS !! Stop it...
To Nothing Wrong With It | 4:04 p.m. Nov. 11, 2009
Shortages of Labor? Are you kidding???

This practice is nothing short of legalized robbery by public sector employees. The taxpayers are constantly getting fleeced by public sector employees that play games with numbers, cut backroom deals, justify the unjustifiable, etc.

It's time to stop this ludicrous practice.
Retiring Too Early | 5:19 p.m. Nov. 11, 2009
If the positions are needed, will hiring someone else save money? It seems the problem isn't that government workers are allowed to double dip but that they retire much too young. I wish I could retire after 20 years years of service, then start a second career while also collecting a pension.
To nothing wrong with it. | 6:17 p.m. Nov. 11, 2009
Shortage of labor what a jok. They are rehired because of political influence or friendships. What about all of those young graduate students out there that need jobs, careers, and future. Double dipping is not only bad, unproductive, but immoral. How do you justify someone over 65 making 4 or 5 times what a worker who is doing the real job is making. It is immoral no question.
On the other hand | 6:38 p.m. Nov. 11, 2009
Early retirement gets teachers out of the classroom that should have gone decades before, who then must compete for another job. Eliminating that option will keep unproductive tenured teachers in the classroom with no way to get them out.

Good teachers will be able to retire in Utah, then leave the state, draw their pension and get paid a much higher wage in another state. Do we really want to lose those who can get hired elsewhere for a higher wage.

There must be a better answer than keeping unproductive people in their seat while exporting our finest to other states. The current situation might need changing, but the solutions might be worse than the malady. We need to keep looking for a solution.
No different | 7:28 p.m. Nov. 11, 2009
This is no different with the Fed. Gov. I worked for the VA for 15 years, and saw the same thing over and over.
Double Dipping is Good! | 7:29 p.m. Nov. 11, 2009
We have a principal at our school who is double dipping. What a great asset he has become for our school, and at a beginning administrator's salary. His 30 years of experience benefit all 1,000 students in our school and is making it a better place to learn and grow. We need older individuals to be our leaders because some of the young'uns out there who have made their way through teaching for only four to five years and then go on to be administrators at the early age of 26, actually ruin our schools with their aspirations of grandure--they are terrible educational leaders because they never learned how to teach.
THROW | 8:26 p.m. Nov. 11, 2009
The legislature should go case by case on this issue. If a suitable replacement cannot be found, what will the agency do, hire someone unqualified?

Of course, there are positions where a suitable replacemnent can be found. A suitable replacement should be hired.

Better yet, if the position, in question, is not a critical position, the position should be terminated.

At the very least, the legislature should be careful to not throw the baby out with the bath water or cut their political nose off to satisfy their base.
Double dipping had to go | 8:30 p.m. Nov. 11, 2009
Double Dipping is good for the one who is double dipping.
Personally, | 9:53 p.m. Nov. 11, 2009
I always thought it was great when a teacher was finally earning what she or he was worth.
Waste of tax dollars  | 9:57 p.m. Nov. 11, 2009
I don't want my tax dollars paying for this practice. I will live with hiring a less experienced person. Remember the retiree was once an inexperienced person too.
This is the difference | 10:27 p.m. Nov. 11, 2009
between the private and public sectors. They are set up differently, and public employees should have the right to be rehired if they have served their 20-30 years. Many start at a young age and stay with the public system--this is why they are able to double-dip. If more people stayed with one company in the private sector and the private sector had better pensions, then you would see more double-dipping there as well.

It really boils down to someone choosing to remain with an agency or within a system to earn a solid, retirement that comes in that person's 40s. You do not get the opp. to double dip if you bounce around jobs. Reward someone for staying and if they do a good job, rehire them as opposed to someone who is not as qualified.
Seinfeld | 10:51 p.m. Nov. 11, 2009
You dipped the chip, you took a bite, and you dipped again!
Dear Seinfield | 2:53 a.m. Nov. 12, 2009
DUH. You failed logic.

Dear Waste of Tax Dollar. There is a difference of hiring an experienced person and having to hire an unqualified person. If there are no qualified applicants for a job then hire someone who has done that job. Of course it is illegal for a person to retire and then the next day or week go back to that same job. They have to leave and work for someone else.

Am I a double dipper, having retired from California and then decide to work for someone else here in Utah?

One high cost for school districts is their medical plans. As an example the Jordan School district pays more than $17,000 for an employees medical plan. Yet my California school district only paid $10,000 a year for me and my family. What did I get, full medical ($5 copay) and full dental plans, a minimal vision plan, a 10 copay on prescriptions and a $100,000 life insurance policy. I had my choice of doctors. Why is a similar plan here in Utah far more expensive? THAT SHOULD REQUIRE AN INVESTIGATION. The school districts are being ripped off by the insurance companies.
Call it fraud. | 4:26 a.m. Nov. 12, 2009
What ever the reason, it's willful fraud and waste. It's also rampant in law enforcement. This keeps younger and newer ideas from being implemented with new hires.

The state, county, city, and all government agency's should follow the federal guidelines about retirement. If a person retires from a federal job they must wait a minimum of 5 years before they can even be considered for rehire in any federal job.

The system in state government encourages fraud and an instant doubling of their wages. This is not a matter of experience, its a matter of individuals defrauding the tax payers who pay both of the salaries, the retirement and the job salary. It is imperative this double dip income to defraud must end.

State employees think of this fraud as a job benefit. To put a time limit on rehire would force state workers to either retire and stay retired or remain on the job until they do retire. Double dipping off the tax payers should not happen. There is no government employee that is indispensable or not replaceable. It's okay to bounce around government jobs, but not if you are drawing a retirement.
Nancy N. | 5:42 a.m. Nov. 12, 2009
I am appalled at all the ways the public employees cheat the private citizens. Almost every aspect of government work is infected by corruption and greed. Double dipping is one smalll exampple of why we no longer have confidence in our government.
Do your math | 6:40 a.m. Nov. 12, 2009
I really don't see the problem. If a person retires and you are liable for his retirement funds then you have to pay him. Simple. You then have to hire another person. Who cares who that person is. you still have to pay the new hire. Given that, you still have to pay the same amount. Whether or not you re-hire the retiree or another person, the cost is the same.

Can somebody tell me where the auditors who found this got their math skills and auditing skills from? Oh, it must have been Investigations...

It sounds more like sour grapes than anything else.
Why not benefit all | 6:43 a.m. Nov. 12, 2009
With a couple of tweaks, double dipping could help the retiree, URS and the taxpayer:

1 - Max retirement benefit at 60% of highest pay (30 yrs), but continue URS contributions (build URS reserve, solve current shortage)

2 - Rehire only the best who will get 60% in retirement plus a locked beginning wage (about half) for a paycheck about 110% of their former wage (government saving half the cost for a quality experienced employee).

3 - Not allowed to work for the same entity for at least a year (introduce competition & stop the insider network from staying forever)

There are ways to increase pay / benefits for the best employees (within reason), introduce competition to counter tenure laws all while saving taxpayer dollars. Come on, think outside the box and find a win-win.
What | 6:51 a.m. Nov. 12, 2009
Double Dipping Had To Go you are a walking ADA liability. You are going to cost the tax payers millions with that attitude. I suggest you quit now before that happens. To fix the double dipper issue is easy. If you retire and come back you are no longer retired. It's that simple.
Chuck | 7:15 a.m. Nov. 12, 2009
This was an audit done with a predetermined outcome, to inflame the public in order to take away another option from public employees.

This option DOES NOT COST THE STATE ANYTHING! They still have to hire someone to do the job. They don't give the retiree anything they would not be giving a new employee! In fact it caps the retirees pension from increasing, which would happen if they continued employment. It is a win-win for the state! Why take away that option?!

Once again, this was an audit where the staff "found" what a few legislators told them to "find." This would give them ammunition to take away something that while good for employees as well as the state, looks like a perk.
crystallball | 7:16 a.m. Nov. 12, 2009
AMEN!!!!
I've talked to my supervisors about this for the last 7 or 8 years now. I'm totally against it! The state will bring back people who retired and when they do thier starting wage is at the TOP of the salary range for a job. Yes, they bring knowledge back, but every other private company out there deals with new hires and their training for a job. Why should the state be any different. Let someone who is young and energetic have a chance at a new job. In the long run it will be not only cheaper for the state, but they will likely develop into a better employee than their predecessor! STOPO THE DOUBLE DIPPING IMMEDIATELY!!!
Chuck | 7:54 a.m. Nov. 12, 2009
"Do Your Math" is absolutely right! It must have been Investigations "creative" Math (Fuzzy math) the auditors used! This audit inflames uniformed citizens.
Re: do your math | 7:56 a.m. Nov. 12, 2009
I am not sure but I think a lot of these cases they are not putting money into the retirement system but are putting it into the individuals 401-k, where if it were a new teacher they would be putting money into the USR for the new teacher. That is what I have heard not 100% sure.
Craig | 7:56 a.m. Nov. 12, 2009
The solution is to get rid of the retirement plans that government offers. They should be 401k,s like private enterprise has. When you figure retirement benefits government workers are paid much more than private and they have more job security. The taxpayer is getting hosed.
Matthew | 8:10 a.m. Nov. 12, 2009
Double dipping should be illegal, period. If they want to return to work, fine. "Unretire" and start collecting a pay check instead of a pension AND start paying into the system again. Otherwise, stay retired or work in a different sector of the economy.
It is ridiculous that this is even a subject for discussion.
Anonymous | 8:10 a.m. Nov. 12, 2009
Don't blame the teachers and administrators who figured out how to advantage themselves economically by doing what the system allowed them to do! For the first time they are being paid what they're worth!
thunderbolt | 8:22 a.m. Nov. 12, 2009
Hmmmmm. "...struggling to figure out how to make up a $6.5 billion shortfall ... as a result of last year's stock market plunge." Since when are funds exposed to stock-market rick guaranteed a profit? What dolt set that up, and how can I join in?
Hapy Parent | 8:25 a.m. Nov. 12, 2009
Both of my sons had retired teachers last year who missed teaching so much they came back. These 2 teachers are ABSOLUTELY AMAZING! It is not uncommon to see them there until 6:00 at night and on weekends.

I would much rather have my boys have teachers like these and don't mind a bit that they "double dip". The amount of time, love and concern they contributed was priceless. The amount of their own money they contributed to my sons' educations for additional items not provided by tax dollars was unbelievable. They deserve both salaries!!!!
teachers wife | 8:50 a.m. Nov. 12, 2009
In AZ if you retire then go back to work you stop receiving your pension. When you retire--again--you get your pension again. Simple as that. You can't get paid twice.
Taxpayer | 8:56 a.m. Nov. 12, 2009
If they retire, they collect retirement pay. If they want to get rehired, then they should stop the retirement pay and resume regular pay with continued contributions towards when they really retire. THeir choice- one or the other, but not both.

End double dipping.

And DEFINITELY do not allow them to come back as consultants, independent contractors or anything like that to do the same job under some disguised double dipping.

Same goes for legislators- One pay check from the state (and or subordinate entities) EIther take the legislative pay, or the County commissioner/top cop pay, not both.

And, quit paying teachers their pay when they are not teaching, but doing full time union boss stuff instead.
Anonymous | 9:12 a.m. Nov. 12, 2009
What no one is telling you about teachers....

If they come back to work after retiring they are taken back to the beginning of the salary schedule.

They don't get to keep the same salary they were getting with 30 years of experience. The most years a district will give a new hire (or retired) is usually 7 years experience. That equates to a huge pay cut.

Plus it isn't like the districts are rehiring the horrible teachers. They would only do this for the ones that are really doing a great job.

It is a win win for all of us.
To Sen. Liljenquist | 9:13 a.m. Nov. 12, 2009
When you Legislators retire why do you get full medical benefits for the rest of your life. This is a part time job. This should be looked into. This is costing takpayers millions of dollars.

Take away all your medical benefits and quit free loading of the public.
Clare | 9:22 a.m. Nov. 12, 2009
I totally agree that double-dipping should not be allowed. I know of two teachers at our school who are making out like bandits. My only concern is that I won't be able to buy out my early retirement. I've saved like crazy to do it. I want to teach my full thirty years, but having Multiple Sclerosis, it's been a miracle I've made it to my 25 year. I was hoping to go a few more years, maybe evenmake it to thirty years. This may be the last year I can retire early. I'll be fifty years old. I know that seems young, but I think in my case it is acceptable. I'm worried that they will change the retirement age. I'll have to retire this year if that occurs, but I still want to teach. I'm doomed if I do that. I would qualify for disability, but I'd rather not make the state pay for it. When I retire I will not be going back to teaching. If I need a job, I'll look somewhere else. It's just too stressful, and I'm getting older.
Anonymous | 9:37 a.m. Nov. 12, 2009
Yeah we know how great 401k's are working out for America.

We need to return every job to a pension retirement and stop shipping our jobs overseas.

Our economy is a mess because we thought we could go the cheap route and look what it has done to our country.

Work in your career for 30 years, retire, get your pension, enjoy life while spending your money and boosting the economy.

It worked for lots of years but greed has taken over and made a mess of everything.

Pensions are the answer for everyone!
Don't believe everything | 9:44 a.m. Nov. 12, 2009
you see in an audit. A CPA only looks at the numbers, not the "why" behind the numbers. The State would have to hire someone else after an employee retires. This person would still need to be paid. The only problem I have with this system is it does not let new workers into the system. You old people, go have some fun now, try to enjoy your life before you die. Oh, I forgot, you had to go back to work because George Bush destroyed the economy. Well, that's what you get for voting for him. Now Obama has to clean it up and it is not going to take just a few months. So let these people keep working so they can pay the bills. Take your audit and stick it.
The Effect  | 9:48 a.m. Nov. 12, 2009
that this will have is a "mass retirement" of public school employees. No problem you say ? Big problem I say !! There will be a teacher shortage of biblical proportion. Who in their right mind would work for the STARTING salary of a UTAH teacher ? Many will flock to Nevada, Colorado, Wyoming, or elsewhere rather than work for the JOKE of a salary thay pay teachers in Utah. This is still the state legislatures way of getting back at the teachers who DARED to strike for 1 day 10 years ago !! Bravo Buttars, Stephenson and all of you "FRIENDS" of education maybe your "auditors" found Jimmy Hoffa too ?
Anonymous | 9:48 a.m. Nov. 12, 2009
The big thing is, if you are employed full time you shouldn't be collecting retirement pensions. That needs to happen after retirement, or if only working part-time. I do hate to say that as it will kill me later on when I retire.
Anonymous | 9:56 a.m. Nov. 12, 2009
I retired from the Army after 22 years, came home went to work for the city and retired from there at 10 years. Within a few months of city retirement I was elgible for Social Security (age 62), I took it. One year later my wife took SS at 62. For the last year I have been working full time (40hrs wk) in the private sector. I really get tired of all the people telling me how lucky I am to get all that "free" money from the Army and SS. Call it what you like --but--I payed for every penny I get with 32 years of my life and it is all legal within the system....so double dip away if you have earned it.
Still working | 10:08 a.m. Nov. 12, 2009
Boy... a whole lot of people making a whole lot of judgments! In my area of expertise they are begging for people. My school district has 2 positions open right now that they can't find applicants to fill. It is a good thing some people want to come out of retirement.

Are some changes needed? Yes, it looks like it, but the last thing education needs is to make a great profession less attractive or too create additional shortages.

Sen. Liljenquist and his committee need to look at the flip side - why are school districts hiring retirees? THEY NEED THEM. We aren't pushing our way in! Districts can hire someone else if they want... if they can find them...if they will work for education wages.

With Utah last in the nation for per pupil expenditures, it is not debatable that our legislature has done a pretty poor job of funding. Let's fix that!
Bogus Report | 10:11 a.m. Nov. 12, 2009
If state workers made a decent wage to start with, they wouldn't have to double dip. Pretty soon the state will be hiring high school drop outs.
Reality | 10:12 a.m. Nov. 12, 2009
Annoying as the double dipping is to many... If a person retires and then works for the state.... the cost is no different... than if he or she retires and someone new is hired. The $ amount is the same.
@Anonymous 9:48 AM | 10:35 a.m. Nov. 12, 2009
So, since I retired from the Army at age 40 (20 years of service) and draw my military pension (40% of my base pay), I should lose that if I get another job? I fulfilled my obligation to the Army, and I deserve my retirement regardless of my employment status. It isn't enough to live on, so I have to work - I still have children at home.
Chuck | 11:17 a.m. Nov. 12, 2009
Even though a retiree isn't putting into the retirement system, their retirement has been capped. If they continue to put into the system, they will get a bigger retirement.

In other words "double dipping" doesn't cost the state a cent! The audit is an attempt by some legislators to whip up the public against this option.

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