Michigan House Bill HB4485

Michigan 2025-2026 Regular Session

• Introduced: 5/8/25
• Refer: 5/8/25

Caption

Retirement: county employees; employment of retirant in a county sheriff's office; allow without forfeiting retirement allowance. Amends sec. 12a of 1851 PA 156 (MCL 46.12a).

Impact

The implications of HB 4485 could lead to significant adjustments in how counties manage their workforce and budget for retirement benefits. The potential benefits of having experienced employees return to work may enhance local services, particularly in areas where specialized knowledge is useful. This legislative change is perceived as a means to attract retired personnel back to service, thereby aiding counties that are experiencing hiring difficulties. However, it could also create financial pressures on existing retirement systems, as more retired employees engaging in work might result in increased administrative complexities regarding pension distribution.

Summary

House Bill 4485 seeks to amend the 1851 PA 156, specifically to modify provisions regarding the retirement and re-employment of county employees in Michigan. The bill allows for the re-employment of retired county employees within a county sheriff's office without jeopardizing their retirement allowances. This change is expected to benefit counties that face challenges in filling certain positions due to staffing shortages. By enabling retirees to work limited hours without forfeiting their pensions, the bill aims to facilitate a more flexible workforce while maintaining essential county services.

Contention

Discussion surrounding HB 4485 raises concerns about the sustainability and fairness of allowing retirees to be re-employed in crucial roles while receiving pension benefits. Critics argue this could lead to potential manipulation of retirement systems, with individuals possibly exploiting the system by retiring only to return for additional income. Supporters, however, counter that the measure provides essential flexibility for counties to maintain high service levels, particularly in emergency or critical roles where the expertise of seasoned employees is irreplaceable. The bill's passage will require careful monitoring to ensure it balances the needs of the workforce with the integrity of retirement systems.