The bonus offer, which was signed into law by Acting Governor Swift on December 31, 2001 (Ch. 219, Acts of '01), will avoid the layoff of several thousand state employees.

On this February 1, the court retirement deadline, 365 employees had signed for the ERI and are now retired. This was well short of the 1,000 limit under Chapter 218 and court layoffs are still in the offing.Chapter 219, which was for Group 1 employees only and excluded employees whose payrolls were not under the Commonwealth's human resources compensation management system or the UMass human resources system, was limited to 6,700 retirements, plus all 5 and 7 percent annuity contribution employees who opted to retire.

As of this February 1, approximately 2,200 employees had signed to retire under Chapter 219 and if state revenues do not emerge from a lengthy slump there could still be across-the-board layoffs.

The 1992 early retirement was the result of nearly two years of work spearheaded by then

Representative Kevin Blanchette, who was the House chairman of the Joint Committee on Public Service. Blanchette worked tirelessly for months, as he and the committee staff researched the various proposals.

During the legislative process in 1992, a change was made to the bill which created the first-come, first-serve situation. This had not been the intent of the Public Service Committee.

Unlike the 1992 ERI, which was created under similar fiscal distress, the 2002 ERI cannot be termed deja vu. The lines of people in Boston, waiting outside to ensure their application would be accepted, did not materialize this time around.

"The 1992 ERI was not well-managed. Chapter 22 (the act) called for 6,700 retirements, with a Group 2 maximum of 1,400 on a first-come first-serve basis. This resulted in an unfortunate situation," said Association President Ralph White.

"Elderly employees were camped out in a garbage-strewn area behind the McCormack Building two days in advance of the May 2 filing date, like teenagers waiting for rock concert tickets. Temperatures at night were in the 30s and it rained during the second night, prompting Joe Malone (State Treasurer) to open the doors and allow the applicants to file in and have their applications time-stamped at 12:01 a.m. on May 2.

"Even with the first-come language in the bill, when state officials saw what was happening accommodations could have been made to put the applicants indoors... it was a dark day for Massachusetts' Public Retirement."

Shortly after Acting Governor Jane Swift filed the 2002 ERI legislation on November 19, Senator Brian Joyce and Representative Brian Dempsey, co-chairmen of the Legislature's Public Service Committee, held a hearing in Gardner Auditorium, seeking ways to improve the bill.

White, in testifying at the hearing, related what happened in 1992 and urged the Committee to place a seniority clause in the bill in the event the maximum numbers of allowed retirements were met. The Committee added this key language, thus avoiding the 1992 scene being repeated.

"The limit on retirements was not reached in 1992; however, employees had no way of knowing in advance. We felt the same would hold true in '02, but without seniority language there would have been, regrettably, another early line," said White.

Prior to the January 2 initial filing date, State Treasurer Shannon O'Brien notified all state agencies that applications would be available throughout the state and that employees could mail in their applications between January 2 and the February 15 filing deadline (Jan. 23 deadline for court employees.)

Even though there were no lines of people waiting outside, hundreds of state employees made their way to the Retirement Board on January 2, the first day in which to apply for the benefit.

Shortly after 7:00 am, Neil McLeod, an assistant professor at the Mass. College of Liberal Arts, walked through the doors of the McCormack Building and was the first employee to file his application for the 2002 ERI. McLeod, who has over 34 years of public service, had driven to Boston from his home in North Adams on New Year's day.

"I remembered what had taken place in 1992 and wanted to be sure that my application would be accepted. When I got to the McCormack Building on Tuesday (New Years), I was surprised and relieved not to find anyone waiting," said McLeod. "I had been prepared to stay outside in the cold, but found a hotel room in Brookline to be far more comfortable."

Gail Loughlin, the first assistant registrar in the Dukes County Probate Court, had a similar expectation. She had driven up to Boston from her home in Falmouth early that morning expecting to find people lined up around the block.

"It was so cold that Wednesday morning; thank God nobody was forced to stand outside," says Loughlin, who had commuted for many years via ferry to the court on Martha's Vineyard. "I ended up being the first court employee to submit my retirement papers, an honor I did not expect."

Led by Retirement Board Director Ellen Philbin and Deputy Director Bob Minue, the staff of the Board was well-prepared for ERI applicants. The traffic was especially heavy the first two weeks of the bonus offer and at times there was a 40-50 minute wait to see a counselor, but there were few complaints.

"Any complaints were about the ERI law itself, which wasn't a perfect fit for everyone," said White. "Some people found they were not eligible and others found that the law was not quite what they expected. But the Board's staff did a commendable job and the applicants received every courtesy."

The ERI consists of two separate laws, Ch. 218 applies to Group 1 and Group 2 employees of the judicial branch, while Ch. 219 applies only to Group 1 state employees. State employees in Groups 2, 3, and 4 are not eligible for the ERIP. The two plans are as follows:

Chapter 218: Employees of the Judiciary in Groups 1 and 2

• Must have been employed as of December 29, 2001.
• Must be eligible to retire.
• Had to apply between January 2-23, 2002.
• Extra five years granted towards age, years of service, or a combination of both, not to exceed a total of 5 years.
• Maximum of 1,000 employees allowed to retire, with preference given based on years of service. However, all eligible 5% & 7% employees who apply will be allowed to retire.
• Retirement date to be no later than February 1, 2002.
• Regular compensation cannot be funded from federal, trust or capital accounts pursuant to Chapter 29.

  Chapter 219: Group 1 State Employees

• Must have been employed on December 31, 2001.
• Must be eligible to retire.
• Had to apply between January 2 and February 15, 2002.
• Extra 5 years granted towards age, years of service, or a combination of the both, not to exceed a total of 5 years.
• Maximum of 6,700 employees allowed to retire, with preference given based on years of service. However, all eligible 5% & 7% employees who apply will be allowed to retire.
• Retirement date shall be March 15, 2002.
• Regular compensation cannot be funded from federal, trust or capital accounts pursuant to Chapter 29.

Local option is allowed under Chapter 219 for Mass Port, Mass Pike, MWRA, and the Mass Housing Finance Agency.