Reduced Worktime Program

1
Reduced Worktime Program

• Classified/Certificated School Members

2
Program Description

• Certain classified and certificated school
  district members may enter into a reduced
  worktime program, with out loss of retirement
  credit.

3
Program Description

• The governing board of a school district must
  elect to implement such a program.
• Government Code Section 20900 and 20905
• Education Code 89516

4
Program Requirements

• 1. The employee must be at least 55 years old
• 2. The employee must have 10 years of
  full-time classified service and the immediately
  preceding five years must be without a break in
  service
• 3. Transfer to reduced work time is optional to
  the employee and termination requires employee
  and employer consent

5
Program Requirements

• 4. Salary shall be a pro-rata share of the
  active salary and no benefit entitlements shall
  be lost,
• Including health,
• Survivor benefits,
• Disability benefits
• And retirement

6
Program Requirements

1. The minimum part-time employment level is 50 of
   the employee's previous full-time employment
2. The part-time program shall not exceed five years
   nor extend beyond the end of the school year
   during which the employee reaches age 70.

7
Additional Program Information

• The employer, not CalPERS, is required to verify
  the eligibility of the employee and to maintain
  the necessary records to identify the employees
  involved in the program.
• No notice is required to be sent to CalPERS.
• The employer should report employees under the
  reduced worktime program as if they had worked
  full time.

8
Additional Program Information

• The employee will also pay member contributions
  based on the full-time earnings reported.
• This will provide full service credit and
  benefits based on full-time salary levels.
• The employer contributions on the full-time pay
  will automatically pay the cost of the program.