BOSTON (WWLP) – Governor Charlie Baker hopes to cut state spending through an early retirement program for people working in state agencies under the Governor’s control.
The state is facing a $1.8 Billion budget gap in the fiscal year that begins July first. In an effort to save money, Governor Baker filed a bill that would allow up to 4,500 employees from state agencies to retire early with higher pensions.
Employees would qualify if they are either 55 years of age or have reached twenty years of service. The Baker administration expects $178 Million in savings through the early retirement program.
The bill must be approved by the Massachusetts House and Senate, and then signed by the Governor, before it can go into effect.
“I think all in all, it’s a strategy that certainly can work as long as we do everything we can to protect the savings,” said State Rep. John Sciback (D), 2nd Hampshire District.
The Baker administration estimates that 14,000 state employees qualify for early retirement.