A few hundred Metro employees have already accepted retirement buyouts offered by Nashville Mayor Karl Dean to save money and reorganize some departments. The 2,600 people eligible have until Friday to accept the early retirement incentive.
Thomas Wilson worked his last day at Bordeaux Library this week after nearly 40 years with the city. He says the buyout will allow him to pay off his mortgage and launch a second career.
“I’m a certified personal trainer, and I have a business that I haven’t been able to do much with. But now I am hoping to expand it.”
Metro employees are eligible for a lump sum payment equal to $700 for every year of service. The bonus is in addition to their regular pension.
Nearly a decade ago, the city offered slightly less money in an early retirement program that 440 employees ultimately accepted.
Anyone taking this buyout must be off the payrolls by the end of February.
Retirement Incentive Qualifications from Metro HR:
To be eligible for Retirement Incentive, you must:
1. Be eligible for Early or Normal service pension – you cannot vest and defer your pension to a later date
2. Have held a full-time position for a one-year period before your retirement application
3. Have held a full-time position on or after November 9, 2012
4. Be on active payroll on or after November 26, 2012
5. Work your last day on or before February 28, 2013 and be lump sum paid for any remaining vacation leave
6. Sign your Pension Application Request and Retirement Incentive between November 26 and by 4:30 on January 18
General Government Pension – Division B
– Early Service: Age 50 with 10 years credited service with a 4% reduction for each of the first 5 years and an 8% reduction each year afterwards
– Normal Service: Age 60, provided your age plus years of credited service equals 85 (Rule of 85) or at age 65 with 5 years of service
Age + Years of Credited Service = 85
General Government Pension – Division A
– Early Service: Age 55 with 20 years of credited service
– Normal Service: Age 65
Police and Fire Pension- Division B
– Early Service: age 45 with 10 years credited service with a 4% reduction for each of the first 5 years and an 8% reduction each year afterwards
– Normal Service: Age 53 provided your age plus years of service equals 75 (Rule of 75)
Age + Years of Credited Service = 75
Police and Fire – Division A
– Early Service: Age 50 with 20 years credited service
– Normal Service: Age 55 with 20 years credited service