City of Quincy officials say ERI has saved $3.2 million

City of Quincy officials say ERI has saved $3.2 million

9 months ago by Bob Gough

City had 348 employees before early retirement was implemented, today there are 316 municipal workers

Officials with the City of Quincy say they have saved $3.2 million dollars during the first three years following the City’s implementation of an early retirement program.

The City offered up the plan in 2009 and had 22 people accept the proposal. Only one of those positions has been refilled so far, in the Police Department. The City left a majority of those retired positions unfilled, seeing the headcount drop from 348 in 2009 to 316 as of today.

The initial start up costs of the program, which included buying out unused time from some employees and paying for their health insurance for 48 months after they retired, were $431,078 in 2010.

Most of the City’s net savings of $2.8 million have come from the reduction of clerical and administrative positions, saving a little more than $550,000 in each of the last two years.

The Fire Department has averaged about $416,000 in reduced costs each of the last two years through four retirements and a department restructuring.

The bulk of the other savings have come from the elimination of eight rank and file union positions in Central Services and other departments. Those savings have averaged $355,000 over the last two years.

The Police Department has had minimal savings because only one QPD employee took advantage of the ERI. The department has averaged $39,000 in savings over the last two years.

The overall plan was designed to save the city $5 million from 2010 to 2014.