Sick time payouts spike with early retirement
ST. PAUL — The state of Minnesota allows its workers to store away unused sick days over time, and take them as payouts upon retirement.
Those payouts usually cost the state about $14 million per year.
But the St. Paul Pioneer Press reports that this year, Minnesota exceeded its annual sick time payout total by June 30, because thousands of workers took early-retirement incentives as the state tried to balance the budget.
Now, leaders of a joint committee that reviews state employee contracts say they will take an aggressive stance in looking all forms of compensation — including sick-time severance.
The state and unions say the payouts offset wages in the public sector, which they say fall below what employees could earn in the private work force.