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Sunday, September 4, 2011

Smaller pensions for some Ala. state employees

MONTGOMERY, Ala. (AP) 
Thousands of state employees could receive smaller pensions as a result of a state attorney general's ruling that says overtime and law enforcement subsistence pay don't count toward retirement benefits.
The overtime and subsistence pay had been counted since the 1970s. But the state personnel director and comptroller asked Attorney General Luther Strange if that was legal. His office issued an opinion saying no. The deputy director of the State Employees Retirement System, Marc Reynolds, says the change took effect Thursday and it won't impact credit that employees have already compiled.
State Personnel Director Jackie Graham said about 10,000 state employees earned overtime last year and more than 5,000 received subsistence pay.

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