Purpose:

The purpose of this bulletin is to inform agencies of PayServ changes that must occur when an employee is Retired and Rehired. 

Affected Employees:

Employees that have a Retire Job Action followed by a Rehire Job Action and whose ORP or VDC Savings Plans panel is set to Elect are affected.

Background:

OSC has identified several individuals that are currently Retired and Rehired in PayServ who still show as Elect in the Savings Plans page and are receiving service credit and/or Employer contributions to which they are not entitled. 

Effective Dates:

Beginning in paychecks dated November 15, 2017.

OSC Actions:

Beginning on November 2, 2017, OSC will Terminate the ORP or VDC Savings Plans panel for any employee that is Retired and Rehired if the agency has not Terminated it or processed a Correct History to remove the retirement row.

Agency Actions:

If an employee is Rehired after Retiring and is receiving a pension or annuity from a retirement plan provider, the agency payroll officer must insert a row in the Savings Plans page to terminate the current ORP or VDC election. 

If an employee is Rehired after Retiring and is NOT receiving a pension or annuity from a retirement plan provider and/or did NOT take a retirement incentive and would like to continue to contribute or earn service credit with a retirement plan, the agency should follow the instructions below to correct the employee’s history.

1. Verify the employee did not receive a retirement incentive. 
2. Verify the employee is not receiving a pension or annuity from their retirement plan provider. 
3. Notify [email protected] and include written proof from the retirement plan provider from step 2. 
4. Payroll Retirement staff will review documents provided and the employee’s record to verify they can have “Correct History” completed.
5. Payroll Retirement will notify the agency and the PayCalc team if the information is approved, and the agency should enter a Correct History.
6. Agency will enter Correct History to change the retire row (RET) on the employee’s Job History to a termination row (TER).
7. The PayCalc team will review and approve the Correct History. 
8. Agency will work up an arrears spreadsheet and have it reviewed, if required, for the retirement plan.
9. Once the Correct History has been completed, the agency will contact the Payroll Retirement team and after confirmation, Payroll Retirement will approve the agency to restart the Savings Plans panel in PayServ. 
10. Agency will enter the reviewed arrears, if required, for the retirement plan.
11. Agency will enter General Comments. 
12. Payroll Retirement will review the Savings Plans panel, General Comments, and Arrears. 

Questions:

Questions about this bulletin should be directed to the Payroll Retirement mailbox.