HomeMy WebLinkAboutExhibitARTICLE 42
PENSION
42.1 The Parties agree that for the term of this Agreement the pension benefits and
employee contributions of employees covered by this Agreement shall be as provided in the City
of Miami General Employees' and Sanitation Employees' Retirement Trust, Section 40-241
through 40-290, Miami City Code ("GESE") ("Pension Plan"), as amended, except as follows:
42.2 Effective upon ratification, member retirement allowance shall not exceed the
lesser of 100% of the member's average final compensation or an annual allowance of $120,000
as of retirement. Effective October 1, 2022, member retirement allowance shall not exceed the
lesser of 100% of the member's average final compensation or $100,000 as of retirement.
42.3 The service retirement benefit for employees hired prior to October 1, 2010 shall
be equal to three percent (3%) of the member's highest one year of compensation multiplied by
the number of years of creditable service. The service retirement benefit shall be based on a
member's total creditable service and the benefit multiplier set forth in this provision (not the
benefit multiplier in effect at the time the service is earned) multiplied by average final
compensation in effect at the time of retirement or separation from employment.
42.4 Upon retirement, bargaining unit members shall receive a retroactive salary
increase of five percent (5%) for the bargaining unit member's highest one (1) year's salary. The
five percent (5%) salary increase shall be reflected in the hourly pay rate for the purpose of
calculating leave balance payoffs. The five percent (5%) salary increase shall not be applicable
to overtime.
42.5 For employees hired prior to October 1, 2010, effective September 30, 2020, a
member who separates from employment with ten or more years of service shall be considered
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eligible for a service retirement upon attaining the earliest of the following: (a) age 55 with ten
years of creditable service, or (b) the completion of a combination of years of creditable service
plus attained age equaling 70 points.
42.6 Effective September 19, 2022, the maximum period ofparticipation in the DROP
shall be 84 months. The backdrop option shall not replace the DROP program. All bargaining
unit employees who attain normal retirement eligibility shall be eligible for the forward DROP as
amended, and any bargaining unit employee who chooses not to enter the forward DROP shall
be eligible for the backdrop.
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