Joint Statement in Support of S.6956-B (C. Ryan)/A.8720-A (Stirpe) – Increasing Earnings Limitations for Retired Public Employees

Local governments across New York State are grappling with significant workforce challenges across all areas of public service. The ability to recruit and retain qualified employees for positions ranging from public health nurses to assessors and municipal finance officers has become increasingly difficult, particularly in rural areas where specialized expertise is at a premium.

The current $35,000 earnings cap for retired public employees seeking to return to government service has become a significant barrier to addressing these staffing shortages. This limitation, which has been adjusted only once since 2007, has not kept pace with inflation and no longer provides sufficient incentive for experienced professionals to continue contributing their invaluable knowledge and institutional expertise to public service.

S.6956-B (Ryan)/A.8720-A (Stirpe) would increase the earnings limitation from $35,000 to $50,000, providing local governments with the flexibility to address urgent staffing needs while ensuring that seasoned professionals can afford to return to public service roles without devastating impacts to their retirement benefits.

This legislation represents more than just a salary adjustment—it is an essential step toward addressing local government staffing challenges that will enable counties, cities, towns, and villages to recruit experienced professionals for hard-to-fill positions in specialized fields like public health, finance, corrections, and social services. It will preserve institutional knowledge by allowing retiring employees to share their expertise to new workers, reduce recruitment costs and training time, and maintain high-quality public services during challenging workforce transitions.

The importance of this reform was demonstrated during the COVID-19 pandemic, when an Executive Order temporarily removed the earnings cap to support staffing continuity. This temporary measure proved vital to maintaining essential services, but it expired in 2023, leaving local governments once again constrained by the outdated $35,000 limitation. Notably, the Legislature has already acted to suspend the cap for retirees working in schools and BOCES through 2027—recognizing the urgent need to expand the public workforce. This bill would extend that same flexibility to counties, cities, towns, and villages facing similar staffing challenges.

Local governments cannot afford to wait another year to address these pressing workforce challenges. We commend the Senate for passing this legislation and urge the Assembly to act swiftly to advance this bill before the end of the 2025 Legislative Session.

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Media Contact: Mark LaVigne| mlavigne@nysac.org | 518-465-1473 x206