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Educators, legislators clash over deferred retirement repeal
Published 2:34pm Monday, March 28, 2011By NEAL WAGNER / City Editor
A pair of Shelby County legislators said they supported a recently passed bill repealing the state’s deferred retirement option plan, but a local school administrator said he believes the sudden cut is “unfair.”
Through the plan, state employees, such as teachers, were allowed to continue working after they were eligible for retirement and place their retirement savings into a high-interest account.
“After you worked for 25 years and became eligible for the state’s retirement plan, you could work five years beyond that and take your retirement savings and put them into a special account with a high interest rate,” said state Sen. Cam Ward, R-Alabaster.
“It generated a lot of revenue for a lot of people,” Ward added, referencing those who took part in the program in the past.
The bill repealing the DROP program was signed into law March 24, and will allow only those who have already filed their application for the program and met its eligibility requirements to enroll.
Ward and state Rep. Mary Sue McClurkin, R-Indian Springs, said the program was a good idea, but it was negatively impacting the state’s education budget.
“It will bring us a savings of several million per year,” McClurkin said. “I approve of the repeal whole-heartedly.”
McClurkin said the program originally was intended to reward teachers who wanted to continue teaching beyond their retirement date.
“But now, it’s gotten way out of hand,” she said, noting the program cost the state more than $30 million per year. “The money we were spending on that program will now go straight to the classrooms. It will be placed into the state education trust fund.”
Ward said the plan would have been “worth saving” if it did not come at a cost to the state. However, he said he did not agree with the sudden nature of the repeal.
“I actually delayed repealing it in the Senate. I think the repeal date should have been later,” Ward said. “I think people who are already eligible for the program could have taken advantage of it.”
Riverchase Middle School Principal Charles Smith said the immediate repeal will have negative effects on teachers who have been planning for years to enter the program.
“(The repeal is) a burden to those who have been planning for this for years,” Smith said. “I knew people personally who were planning to get into the program, and all of a sudden it’s gone overnight. That’s unfair.
“How would (legislators) have felt if we were to say ‘We are taking this away from you tomorrow?’” Smith added. “Do I think the state should have limited the amount you could get from that program? Sure. But to suddenly cut someone’s retirement, it’s wrong.”
Why do you educators always stick politics into this issue? You say to “stop drinking the Republican Kool-Aid” – I’m a Libertarian, not a Republican.
You also want to know why I “care what [y]our retirement looks like.” Of course we do – we have to pay for it. If you don’t care where YOUR money goes, that’s your problem.
You say “maybe you should become a teacher and then your attitude would change.” NEWSFLASH – I was a teacher!! I simply decided to go into business for myself but my perspective about teachers having to take the cuts like the rest of us isn’t changed. No “ignorance” here . . .
Just to be clear to teachers – capitalism IS A-OK – it is what gives you a job, allows you to keep a job and allows you to have ANY benefits. Your benefit structure is modeled after private business benefits. Your comments are indicative of the prevailing thought process in the teaching community that doesn’t believe in capitalism or private enterprise – rather you would have government controlling just about every facet of our lives.
This is the bottom line people – YOU ARE NOT THE MAJORITY, WE ARE! You need to accept the fact that money doesn’t grow on government “trees” and right-thinking people have to lead and take control of this situation. Cuts HAVE to be made – if you don’t see that – you really aren’t very good educators because you lack the basics of research.
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Uhhh, everything in Alabama is pretty much linked to politics (that’s why the Republican guard was so quick to tell us they were making all these sweeping changes)…but that is neither here nor there…so you are a Libertarian…you do know from your research that the ethos of your state organization is based on the Alabama Constitution of 1901 and I quote “The sole object and only legitimate end of government is to protect the citizen in the enjoyment of life, liberty, and property, and when the government assumes other functions, it is usurpation and oppression”-Alabama Constitution. This is the most outdated & over-governmentalized (I know it’s not a word)document in the history of mankind. So, let’s talk about this document and your organization and its IRONY since you are for the protection of life and liberty of ALL…let’s take the document first…the Alabama Constitution of 1901 has been demonized not only for its length but its overall content. This document did all it could to OPPRESS-mainly trying to keep a whole people group from being considered citizens; it robbed people of liberty & for thousands their LIFE…AND before you go making this about RACE and people living on the government dime, I will submit to you that we are way over-reaching with government outreach. I am on the side of capitalism; however, it is the capitalist that have bastardized the system and corrupted the very core of what our system of economics was founded on…however, I am for reason & decency…but, again, I digress. Your organization, and I quote again, “believe that each person owns his own life and property, and has the right to make his own choices as to how he lives his life…” What if that person does not have the physical abilility to own his own life or to make his own choices…is he/she to tossed out with the trash; are they to be denied the pursuit of life, liberty; do we systematically extinguish them. Yes, we have seen your kind before. You definitely do not have a head issue; you seem quite the intellect. Your issue is with the heart. Your message is based on flawed ideology from a document that is not relevant in the 21st Century; however, I submit to your superior intellect. I agree to not engage you because we are coming from 18 inches apart. AND yes, yes…the organization was created in the 70s and you are for not using force and tolerance…whatever…you can put lipstick on a pig and it’s still anarchy…everyone fend for themselves, just don’t tread on me. If you really believe that my heart so breaks for you. But anyways it was great reading your messages; you are quite eloquent in your points and it encourages me to do my research.
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I believe that the DROP program, in the beginning, was a great idea. Over time, it was abused and that’s why some have a million + in their accounts.
As far as getting paid for holidays (spring break, Christmas), a teacher is a 9 month employee. Their salary is only for 9 months, but the paychecks are spreadout into equal payments over 12 months. A teacher is paid for 187 days out of the year.
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Wow, it continues to amaze me the audacity of the teaching community who continues to believe that they are some kind of privileged class that should be able to work 25 years and RETIRE and if they work a mere 5 more years they should be entitled to a bloated “retirement” program.
You are PUBLIC SERVANTS! As long as your paycheck comes from the public, you should and you WILL be subject to what the MAJORITY of us Alabamians have been dealing with – DOWNSIZING.
Get out of your ivory towers academia! You aren’t THAT special!
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You are right, teachers are PUBLIC SERVANTS. If teaching is such an easy thing and we “aren’t THAT special”, why do you care what our retirement looks like. You are a prime example of Alabama ignorance at its worst. Maybe you should become a teacher and then your attitude would change.
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Thanks, I’ll remember to feel sorry for you when you have your two weeks off at Christmas (paid) week off during the spring (paid) and the entire Summer off (also paid)
Newsflash. Teaching isn’t the only difficult profession, but it certainly has the best benefits. (at taxpayer expense) Suck it up, and cut back like everyone else has to.
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Well said Sunshine64. What I would love to know is why is there so much hate towards educators?
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Check your facts… We DO NOT get paid for ANY holidays. While we may be off, we do not get paid for it. We do work on our own time and pay for materials out of our own paychecks. We also hold advanced degrees which in almost any other field would earn us twice our current pay! And by the way, we care for your children as if they were our own. They are why we became teachers, not the pay or the benefits. I challenge any one to spend ONE DAY in the shoes of good teacher and tell me we are “bloated public servants”!
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Do you not get paid the same amount year round? Does your check have a smaller amount during the summer, spring and Christmas breaks? No, it does not, therefore you are paid to be sitting at home while everyone else works.
No one hates teachers, educators, etc etc. People just think it’s high time they, along with other government workers cut back like the rest of us have had to.
You have a tough job. You also pay small amounts for healthcare coverage. You have excellent retirement, you are paid year round for 9 months of work. Once you are tenured, you can get away with almost anything and still keep your job. I know there are many teachers who work extra, but most do not. All you have to do is drive by a school around 330 to 4pm and see that the place is empty. Same with holidays and most of the summer. Cry me a river.
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Actually trying to reply to “panther” and “seminole” but it has me replying to yours…panther/seminole while you have some valid points, most are wrong. As “shelby” pointed out…I preface this by saying I am a voting repub, working in education, not paying dues to AEA nor a member…Teachers are paid 12 months but it is based on 9 months salary. If you look at the Shelby County Boards Personnel page you will see that a masters level first yr teacher makes $222.27 per day (a little under $28/hr); basic multiplication would show 222.27 x 20 work days in a month x 12 months would be a little over $53,344. So, $222.27 X 187 (school days) = $41,565 or there abouts…so while they are paid 12 months, it is for 9 months work.
Not all feel “privileged” to work in education but we do feel it is a privilege to work with your children. I like retirement programs like AT&T & Alabama Power where their employees can retire after 20-25 years and then go to work for their subsidiaries and draw a full salary plus retirement; that way they can stick it to the consumer and we can call it capitalism and it’s A-OK.
Yes, I enjoy sitting in my ivory tower as I take my wife to the doctor for a MRI in a $250K (I may be wrong) machine; then they charge the insurance comp $8500 for a 10 minute picture…my bad…so basically, the hospital can pay off the machine and make a profit on its service in a month. The same insurance company who draws approx $4 million in premiums per month from the employees before the employer kicks in their part…again my bad
But I digress, lets just work under panthers pay schedule…lets say we work 20 days per month X 12 months…thats 240 work days…subtract 10 days vacation and another 10 days for other holidays/sick days (Memorial Day/4th of July, etc…)…230 days x $222.27…that’s a salary of $51,122.10…that’s a raise of almost $10,000. You know the repubs are not going for that!!
Now, let’s look at counselors…how much do you or your friends pay to take your/their kids to see a counselor…the initial visit is around $300/hr…and that’s just the first visit. Don’t you think all kids should see a counselor at least once, maybe twice (probably even 3-4 times or more would be best). Their are about 400 kids per grade at Pelham High. Let’s cut the price in half. If each kid paid $150 for one visit that would be a salary of $60,000. Counselors begin around the mid-$40K. They probably need to see them at least twice or more, but you are not going to pay more than $120K for your child’s personal, emotional, college/career development.
Again, you have some valid points…if you want to treat education like everything else then ante up and stop drinking the Republican Kool-Aid…while you see noone there at 330-4, it is probably because you didn’t drive by between 7 and 7:30 AM…a teachers’ school day usually begins between 7 & 7:15; they get 25 minutes for lunch…same as the kids & yes, they get a period without kids but is not duty-free as many think.
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I apologize…my new work schedule should be 220 days X 222.27 = $48,899.40…got to thinking too fast…didn’t check my work…I’ll still take the $7,000 raise
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Everyone thinks they are underpaid. Not everyone gets two weeks off at Christmas, a week in the Spring, major holidays and two months during the Summer, along with the retirement and low cost health insurance. It’s not going to hurt you to take a cut. The rest of the world has. The AEA and Dem’s influence are fading fast and that’s good for us taxpayers.
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