Aguon said only retirees who are employed as classroom teachers, nurses, doctors and other medical professionals can be reemployed for a period of up to two years without losing their retirement benefits.
The Retirement Fund issued a memorandum on Thursday reminding all government agencies that their double-dipping employees face the risk of losing their pension benefits.
“Employers should notify their double-dipping employees that they risk losing their retirement benefits for the remainder of the fiscal year,” Aguon said.
He cited Article 3 of the CNMI Constitution that makes double-dipping illegal beyond 60 days unless they fall under the exempted category.
The law states that an employee with less than 20 years of creditable service under the local retirement system shall be credited for an additional five years to be eligible to retire.
However, they cannot be reemployed by the government for more than 60 days in any fiscal year or they will lose their retirement benefits for that period.
“Following the five-year credit [except for permissible two-year exemption for classroom teachers, doctors, nurses, and other medical professionals], no retiree may be reemployed for more that 60days per fiscal year without forfeiting their retirement benefits for the remainder of that fiscal year,” said Aguon.
The Fund issued the memo after reports reached their office that some government offices have retained retirees beyond the mandated 60-day period.
Only the Public School System which continues to face shortage of teaching staff, and the local hospital are allowed to have double-dipping employees up to a maximum of two years.
