Retirement

Janet

How do other companies define "retirement"?
We've had a few situations where an employee terminates at a relatively early age (early- to mid-50's) with the intent of drawing their pension benefit. With our union employees, the pension benefit does not come from the Company, so we don't always know when/if the employee's pension is approved, or when it will begin. These employees want us to consider them "retired", but how are we to know if they truly are drawing their pension, and as of what date? We're unclear how to define an employee as "retired" or simply "terminated". The specific wording makes a difference, since "retirees" get benefits that terminated employees don't.
Any guidance on this would be most appreciated!

Down_the_Middle

Seems to me the definition that governs "benefits that term's do not receive" rests with you and how you define a retiree. I deal with this all the time and use whatever the departing employee specifies as reason for termination. Some people "retire" w/o commencing pension benefits, so it gets more awkward if you combine those 2 events and require both of them to occur. I don't have a special benefit structure for "retirees" so that issue doesn't concern me. If I did, I would have a definition that governs how you qualify for this status.

Normally, a retiree is one who is eligible to commence some type of retirement/pension benefit (e.g. age 55; rule of 85, etc....), but w/o knowing the extent of these "retiree benefits", you may choose to have a more specific definition. Sorry to offer such a general response, but your question is really very broad.