Oklahoma Administrative Code
Title 590 - Oklahoma Public Employees Retirement System
Chapter 10 - Public Employees Retirement System
Subchapter 7 - Retirement Benefits
Section 590:10-7-18 - Post-retirement employment - eligibility
Current through Vol. 41, No. 13, March 15, 2024
(a) Retiree subject to restrictions. Returning to work for a participating employer may affect the retirement benefit of a retiree. A retiree returning to work for a participating employer is subject to various state and federal restrictions, including, but not limited to, the requirements set forth in 74 O.S. § 914 and certain Internal Revenue Service regulations.
(b) Bona fide termination of employment. Prior to the payment of any retirement benefit to a member, the participating employer shall certify in writing to the System that the member has terminated employment. Termination of employment shall be governed by guidelines and regulations set forth by the Internal Revenue Service, and shall generally mean the member must have experienced a bona fide separation, severance or termination of employment or service in which the employer and employee relationship is completely severed. Changing from full-time to part-time employment with the same participating employer does not qualify as a bona fide termination.
(c) Returning to work for former employer. A retiree may not be rehired in any capacity by the retiree's same participating employer for a period of one (1) year after the retiree ended his or her employment with such same participating employer. A retiree may not enter into an employment contract of any kind, including through a third party, with the same participating employer for a period of one (1) year after ending his or her employment with such same participating employer. The provisions of this subsection shall not apply if the retiree waives his or her benefit as provided under 74 O.S. § 914(E)(2).
(d) Pre-arranged rehires. If any agreement is made between the employee and the employer prior to the retirement of the employee which would allow the employee to return to work for the same participating employer, the retirement of such employee shall not be considered a bona fide termination of employment. Upon discovery of such an agreement, the employee shall be subject to having the retirement benefits stopped pursuant to 74 O.S. § 914(D).
(e) Independent contractors.
Added at 25 Ok Reg 1001, eff 5-11-08; Amended at 26 Ok Reg 120, eff 9-18-08 (emergency); Amended at 26 Ok Reg 952, eff 4-25-09; Amended at 28 Ok Reg 95, eff 9-17-10 (emergency); Amended at 28 Ok Reg 664, eff 5-12-11