WITH THE HOUSE AND SENATE DEAL DONE, STATE EMPLOYEES TO RECEIVE A 5% ACROSS THE BOARD PAY RAISE!!!
FINAL FRS AGREEMENT TO RESTORE AGE AND YEARS OF SERVICE FOR SPECIAL RISK MEMBERS TO AGE 55 AFTER VESTING OR AGE 52 AFTER 25 YEARS OF SERVICE
Florida PBA President John Kazanjian said, “I’m very pleased to report that it appears that the House and Senate have a deal in place that will grant all state employees a 5% across the board pay increase and a final agreement on FRS has been reached. Both of these major deals have been among the PBA’s top legislative priorities since the beginning of the legislative session. The House and Senate are still negotiating over $96 million in agency discretionary pay compression monies, along with $60 million for the Florida Department of Corrections to address pay compression, recruitment and retention issues. We remain actively involved in these final negotiations as the session comes to an end and we look forward to sharing more good news on the progress of our legislative agenda.”
Below are a few highlights of the FRS agreement:
- Restores the age and years of service for Special Risk members to age 55 after vesting or age 52 after 25 years of special risk service.
- The employer contribution for all investment plan participants is increased by an additional 2%. For Special Risk that is 19%.
- Prospectively, all employees on or after June 30, 2023, can participate in the 96 months of DROP and there is no longer a 12-month window period to choose to enter DROP.
- The annual DROP interest rate will increase from 1.3% to 4% effective June 30, 2023.
- The Health Insurance Subsidy will increase to $7.50 per year of service. The House and Senate are still negotiating over the funding for this issue.