The Department of Human Resources has been informed by the Office of the State Comptroller-Retirement Services Division, that all new higher education state employees must make an irrevocable election to participate in an applicable retirement plan offered by the State of Connecticut no later than their first day of employment. This requirement is a change to the current retirement election practice which allows new employees 60 days post start date to make a retirement plan election. The new requirement is effective for all new employees hired on or after March 1, 2017. New hires with start dates beginning January 1, 2017 who have not yet made a retirement election must do so no later than March 1, 2017.
The Retirement Services Division of the Office of the State Comptroller is creating tools that will be helpful to new employees when making a retirement election. This information as well as an updated retirement election form will be available in the coming weeks.
Given the University’s decentralized hiring model, hiring administrators must notify candidates of this state requirement at the time of job offer to ensure the candidate has ample time to make an informed election should they accept the position. In addition, the Department of Human Resources has designed a process by which all new hires eligible for a retirement plan will be reminded of the new requirement upon a job offer being accepted. More details regarding the new process will be available in early February.
It is important to note that if the new employee fails to make a voluntary irrevocable retirement plan selection by the first day of employment then the employee will automatically be defaulted into the applicable State Employee Retirement Plan agreed upon through the collective bargaining process. The automatic defaults will be irrevocable.
For more information, contact: Human Resources Operations Team at 860.486.3034