GOV, early retirement plans [FP]
Forest Park Review (Diana Oleszczuk) covers the fact Forest Park is considering an early retirement package that would affect eight employees.
Kevin Peppard an Oak Park activist pointed out to me a problem with trying to save money with early retirement.
When the employee is replaced eight years early it means the replacement employee has eight years more seniority when the early retirement employee would have retired. So, money saved in the short-term is paid in the long-term.
The article seems to reflect Village Administrator Mike Sturino and the commissioners having a grasp of this. They seem skeptical of the early retirement plan unless the employees aren't replaced.
But if the village can sack eight employees without replacing them why have they been carried on payroll. Are they "retired on active duty"?
Kevin Peppard an Oak Park activist pointed out to me a problem with trying to save money with early retirement.
When the employee is replaced eight years early it means the replacement employee has eight years more seniority when the early retirement employee would have retired. So, money saved in the short-term is paid in the long-term.
The article seems to reflect Village Administrator Mike Sturino and the commissioners having a grasp of this. They seem skeptical of the early retirement plan unless the employees aren't replaced.
But if the village can sack eight employees without replacing them why have they been carried on payroll. Are they "retired on active duty"?
posted by Carl Nyberg at
4:17 PM
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