Knox County Schools will offer an early retirement incentive for teachers to consider this year to mitigate future budget shortfalls, according to a unanimous decision by the school board Aug. 3.
This proposal came fresh off the loss of nearly $8 million in funding from both the county and statein June. The incentive encourages older, higher-paid teachers to retire at the end of the school year to "proactively create budget flexibility," district leaders say.
The cost for the district to offer this incentive in fiscal year 2028 would be more than $502,000, but it could save upwards of $8 million.
If an educator were to qualify and take the offer, they lose their salary when they leave but will receive about $470 per month for a designated time
after they retire to use toward health insurance.
This is the first time KCS has offered an early retirement incentive since 2018 when the district was similarly looking to save millions.
Not all KCS employees will be eligible. The offer only applies to certified employees − teachers, librarians and counselors − who have served in KCS for at least five years (with the last five being consecutive). Right now, there are 741 eligible employees.
Here's who else is eligible, according to KCS:
- Those who have worked 30 certified years
- Those who have worked 15 certified years and are at least 55 years old
- Those who have worked five certified years and are at least 60
- Those who meet requirements and are 65
The $470 is payable until each employee is 65. If an employee is already 65, they'll receive one year of payments.
The deadline to file for early retirement is Nov. 9, and employees are able to rescind until Dec. 18.
A general information session will be held at 5:30 p.m. Aug. 24 at Bearden High School.
Caitlyn Meisner is the K-12 education reporter for Knox News. Email tips and story ideas to caitlyn.meisner@knoxnews.com.
This article originally appeared on Knoxville News Sentinel: KCS teachers, here's what to know about the new early retirement offer
