The bill amends Section 36-27-8.2 of the Code of Alabama 1975, allowing retired state employees under the Employees' Retirement System and Teachers' Retirement System to work in various roles without suspending their retirement benefits, as long as they do not take on permanent full-time positions and their earnings remain below specified limits. The annual earning limit, initially set at $30,000 for 2016, will be adjusted annually based on the Consumer Price Index. New employment categories for retirees include school resource officers, correctional officers, and police officers, with a compensation cap of $52,000 per year. Additionally, a minimum service requirement for retirees to qualify for these positions will gradually increase from 25 years in 2027 to 30 years by 2032.

The bill also introduces provisions for retired individuals to be hired as permanent full-time bus drivers without losing retirement benefits, provided they have received retirement benefits for at least 12 consecutive months, with a waiver for those who retired on or before January 1, 2026. The bill deletes a previous subsection (4) and renumbers the subsequent subsection to (7), while also removing a retroactive application clause that would have taken effect on January 1, 2023. It establishes that no individual may be employed under this provision after December 31, 2030, and is set to become effective on June 1, 2026.

Statutes affected:
Introduced: 36-27-8
Enrolled: 36-27-8