House approves early retirement option for state workers to save taxpayer dollars

JEFFERSON CITY, Mo. -- State Rep. Chuck Gatschenberger, R-Lake St. Louis, is seeking to save the state some money without losing any more state employees.

Gatschenberger is sponsor a bill that would give a cash incentive up to $20,000 to state employees who take early retirement during a three month period at the beginning of 2013. Under Gatschenberger's bill, employees will have to be at least 48 years old and be eligible to retire under the state pension system's "80-and-out" provision of age plus time worked for the state. Employees must have worked for the state ten years.

Gatschenberger said a conservative estimate shows his plan would save the state $36 million in salaries over a three-year period.

A similar plan instituted in Iowa was estimated to save the state $57 million. In Michigan, where more than 17,000 state employees took the state up on its early retirement offer, the state realized a savings of $515 million.

According to the fiscal note filed with Gatschenberger's bill, the state's legislative research division used numbers calculated that between 26 and 33 percent of about 7,000 state workers eligible for the program would take the incentive.

Though the bill passed the House by a comfortable 110-38 final margin, there are still some lawmakers who have concerns about the drain on veteran state workers in areas such as the Department of Mental Health and the Department of Corrections.

"(The bill) is going to either result in a reduction of force, or a reduction in pay," said Rep. Genise Montecillo, D-St. Louis.

The bill came to the floor on the same day that the House debated a bill that would prohibit state employees at maximum or medium security mental health facilities from working more than 12 hours in any 24 hour period, except as directed by the governor during a time of emergency.

Rep. Jeanie Riddle, R-Mokane, who represents a district that contains the Fulton State Hospital, said the limit is necessary to protect staff that work there. She said staffers routinely work back-to-back eight-hour shifts.

"The consistent lack of sleep and constant exposure to a violent and stressful work place leaves (staff members) susceptible to poor decision making, slower reaction times and overall poorer health," said Riddle. "It makes an already naturally unsafe working environment even more unsafe."

Montecillo said she fears too many workers in Mental Health and Corrections will take the state up on its early retirement incentive.

"My concern is that we're not going to be able to replace and have adequate staffing in places like Fulton and corrections," said Montecillo. "I think this (bill) causes some long term risks and concerns."

Gatschenberger's bill is now in the state Senate, where it has been referred to a committee, but it has not been taken up yet.

Missouri state government already faces a challenge when it comes to attracting and maintaining a skilled workforce. In recent years, Missouri government employees have been either the second worst or worst paid state government workers in the country on average.