State Senate Votes to Approve Retirement System Changes
PIERRE, S.D. (AP) — The South Dakota Senate has approved a measure to create a new retirement plan for future public employees that includes a two-year increase in the normal retirement age to 67 for many new workers.
The chamber approved the plan Monday. It now heads to the state House of Representatives.
Advocates say the measure is intended to maintain the sustainability of the retirement system. Republican Sen. Larry Tidemann says that life expectancy is increasing.
The changes would remove subsidies for early retirement to pay for an increase in base benefits for public employees such as teachers and city and county workers.
The normal retirement age for new public safety officials would jump two years to 57.
The changes would apply to people hired after June 30, 2017.
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