TRUMBULL COUNTY Retirement incentive draws workers' interest

The more people who are approved to participate, the higher the bonus payout will be.
By SHERRI L. SHAULIS
VINDICATOR TRUMBULL STAFF
NILES -- More than a dozen people employed in the Niles City School District have expressed their intent to take advantage of a retirement incentive bonus.
In a two-year pact approved last month by the Ohio Association of Public School Employees union Local 365 and the board of education, eligible union members can take advantage of a one-time retirement incentive, provided enough employees agree to the deal by Tuesday.
Superintendent Patrick N. Guliano said he's received more than 12 letters since early May from employees who are eligible for the program and plan to take advantage of it.
It's a cost-cutting measure used by the board and school officials to reduce staffing levels through attrition, thereby saving money through salaries and health-care benefits costs, Guliano said.
A similar deal was struck last year with the Niles Classroom Teachers Association during contract talks. In that case, eight eligible union members needed to retire by the end of the school year to qualify for a $15,000 payout.
Requirements
With the classified union -- which represents more than 120 bus drivers, secretaries, cafeteria workers and more in the district -- four employees with at least 10 continuous years of service must announce by June 15 their intent to retire into the state School Employees Retirement System.
The hours worked by each of the eligible employees must also equal four full-time equivalents, Guliano explained. In other words, the hours worked by the nonteaching employees who want to participate in the program must total the same amount of hours worked by four full-time teachers, or 40 hours a week.
Union members who are eligible for retirement by Sept. 1, 2004, or June 30, 2005, can take advantage of the bonus, the contract says.
Payout
The payout for each union member is based on their salary and the number of hours they work each week, as well. The bonus -- which will be different for each classified employee -- will be 85 percent of the difference between the highest and the lowest salary for each job classification, and will be prorated for employees who work fewer than 40 hours each week.
However, the contract states that if six employees agree to the retirements, the percentage of the payment would increase to 100 percent, and if eight people participate, it would increase to 115 percent.
To date, seven full-time classified employees have submitted letters stating their intent to retire either this year or next, and the rest are part-time employees who work between 10 and 30 hours each week, meaning the quota according to the contract has been met, Guliano said.
The list of names and the employees' planned retirement dates are expected to be presented to the board of education for approval at the next meeting. The board is set to meet at 7 p.m. June 24 at Jackson Elementary School.
slshaulis@vindy.com