NCPA - National Center for Policy Analysis

Public Employees Double Dip in Retirement

April 5, 2011

There is a growing number of public employees who are retiring one day and then going right back to the same jobs the next, enabling them to supplement their income with retirement benefits without really retiring at all.  The practice, restricted under law by many states but commonplace nonetheless because of loopholes, has come under fire recently by critics who say such "double dipping" is endangering the financial health of state pension funds, says the New York Times.

Carlos Bejarano, 58, the superintendent of the Isaac School District in west Phoenix, is the latest example of a nonretiring retiree:

  • He intends to officially give up working on June 30 and then go back the very next day to the very same job, as a consultant for a private education firm.
  • He will receive the same salary and benefits of about $150,000 a year, along with a pension of about $100,000.
  • His restructuring comes as the struggling school district he oversees is planning to lay off staff members and close two schools.

Source: Marc Lacey, "For Some Phoenix Officials, Retirement Is Just a Pay Supplement," New York Times, April 1, 2011.

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