MEMPHIS, Tenn. (WMC) – The City of Memphis announced the restoration of its public safety pension plan.
All commissioned police officers, firefighters and dispatchers will have the option to return to the 1978 pension plan.
Memphis Mayor Jim Strickland and public safety leaders believe this will aid in the city’s effort to recruit and retain more police officers and firefighters.
“Over the last almost seven years, we have continually improved the pay and benefits for firefighters and police officers to better recruit and retain them. Now more than ever, these efforts are essential in maintaining our public safety workforce, and this investment will help us,” said Strickland. “With today’s change, the 2019 public safety referendum will allow us to offer the 1978 pension as an option for all of these essential employees.”
All employees hired before July 1, 2016, already participate in the 1978 pension plan. Now, this change will allow the 1978 plan as an option for all employees hired after that date, according to the city.
This would make approximately 1,000 employees eligible for the plan set to take effect July 1, 2023, pending Memphis City Council approval.
With this pension plan, public safety employees can contribute 8% of their salary towards retirement and the city will match the contribution of no less than 6% of the employee’s salary.
The city says, “upon retirement, employees will receive a monthly benefit, which is a percentage of their highest 3-year average.”
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