Louisiana House Bill HB81

Louisiana 2014 Regular Session

• Introduced: 3/10/14
• Refer: 3/10/14

Caption

Provides relative to membership in the Louisiana State Employees' Retirement System and the Teachers' Retirement System of Louisiana

Impact

The passage of HB 81 would primarily impact new employees hired by primary health centers and those working for specific educational organizations, denying them membership in state retirement systems. This change reflects a shift in policy regarding who can access state retirement benefits and may affect the recruitment and retention of employees within the healthcare and educational sectors. Advocates may argue this could lead to a reallocation of burden onto private employers who may need to establish alternative retirement options for new hires.

Summary

House Bill 81, introduced by Representative Nancy Landry, aims to amend eligibility criteria for membership in the Louisiana State Employees' Retirement System (LASERS) and the Teachers' Retirement System of Louisiana (TRSL). Specifically, the bill prohibits new hires of certain private employers, particularly employees of primary health centers, from becoming members of these retirement systems if hired on or after September 1, 2014. However, it allows current members of these systems to retain their membership, ensuring that existing employees are not adversely affected by the new regulations.

Sentiment

The sentiment surrounding the bill appears to be mixed. Supporters see it as a necessary adjustment to the state’s retirement obligations, potentially preventing undue strain on the retirement systems caused by expanding membership. Conversely, opponents might raise concerns over the long-term ramifications of excluding new employees from retirement benefits, viewing it as a potential disservice to future workers in essential public-service roles such as healthcare and education.

Contention

Debates on HB 81 likely center around the balance between managing public retirement systems' financial sustainability and providing adequate benefits to future employees in critical sectors. Key points of contention include whether this move undermines the attractiveness of careers in public service and healthcare, specifically at a time when employee retention in these fields is critical. Controversial aspects may arise regarding the fairness of denying retirement benefits based on employment status, and whether this legislative action might influence the overall quality of services provided in health and education.