PocketLaw | Georgia Code | (Effective January 1, 2021) Reemployment of

(Effective January 1, 2021) Reemployment of Retired Members; Required Contributions From Employers; Suspension of Retirement Allowance

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As used in this Code section, and in addition to the definition provided in Code Section 47-2-1, the term "employer" shall include a retired member's last employer which reported to the retirement system prior to the member's effective date of retirement. Such term shall also include the Board of Regents of the University System of Georgia.
If a member who retired under this chapter accepts paid employment with or renders services for pay to any employer, including, without limitation, services directly or indirectly as or for an independent contractor, after his or her retirement:
1. Such employer shall pay to the retirement system the employer and employee contributions required by this chapter for members; and
2. Except as provided in subsection (c) of this Code section, payment of such member's retirement allowance shall be suspended.
  Such member shall not receive creditable service as a result of such employment or rendering of services. Upon termination of such employment or rendering of services, all rights shall vest in such member as if he or she had continued his or her option to retire.
The retirement allowance of a retired member who accepts paid employment with or renders services for pay to any employer after his or her retirement shall not be suspended if the employee has attained normal retirement age or has not been employed by or rendered services for pay to any employer for at least two consecutive calendar months and performs no more than 1,040 hours of paid employment or paid service, including, without limitation, services directly or indirectly as or for an independent contractor, for the employer in any calendar year; provided, however, that return to service directly or indirectly as or for an independent contractor shall not result in the suspension of an employee's retirement allowance or the requirement of an employer to pay to the retirement system the employer and employee contributions required by this chapter if the employing agency certifies to the board of trustees that:
1. The contracting entity has multiple employees;
2. The contracting entity has multiple contracts, and the contracts are not limited to employers, as such term is defined in Code Section 47-2-1; and
3. The contractual relationship with the employer was not created to allow a retired employee to continue employment after retirement in a position similar to the one he or she held before retirement.
Any employer that employs a retired plan member shall, within 30 days of the employee accepting employment, notify the board of trustees in writing of the name of the plan member and the number of hours the employee is expected to work annually and shall provide such other information as the board of trustees may request. If the retired plan member performs more than 1,040 hours in any calendar year, such employer shall notify the board of trustees of such as soon as such information is available. Any employer that fails to notify the board of trustees as required by this subsection shall reimburse the retirement system for any benefits wrongfully paid. It shall be the duty of the retired plan member seeking employment with the employer to notify the employer of his or her retirement status prior to accepting such position. If a retired plan member fails to so notify the employer and such employer becomes liable to the retirement system, the plan member shall hold such employer harmless for all such liability.

(Code 1981, §47-2-112, enacted by Ga. L. 2020, p. 474, § 3/SB 176.)

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