Oregon PERS reduces retirement age and adds hazardous position benefits by 2030

The Joint Committee on Ways and Means Subcommittee on General Government convened on April 22, 2025, to discuss significant changes to the Oregon Public Employees Retirement System (PERS) affecting police, fire, and hazardous position classifications.

One of the primary topics was the adjustment of the retirement age for members of the Oregon Public Safety Employee Retirement Plan (OPSER P and F). Effective January 1, 2025, the retirement age will be lowered from 60 to 55 for members with fewer than 25 years of service. Additionally, district attorneys, forensic scientists, and evidence technicians will now be included in this retirement plan.

The committee also addressed the establishment of a new member class for hazardous positions, set to take effect on January 1, 2030. This new classification aims to provide enhanced retirement benefits for employees in hazardous roles, which may include staff at the Oregon State Hospital and others who do not fit neatly into the police and fire categories.

The implementation of these changes is already underway, with manual processes established to ensure compliance with the upcoming retirement age adjustment. The committee reported that they are in the final stages of procuring a vendor to assist with the necessary system updates and calculations related to retirement, death, and disability benefits.

For the current biennium, the budget allocated for these changes is approximately $2 million, with an expected underspend. Looking ahead to the 2027 biennium, an additional $2.7 million has been requested to support the ongoing implementation of the retirement age change and the development of the hazardous positions classification.

The committee emphasized the urgency of these changes, noting that the effective dates are approaching faster than anticipated. As they move forward, they will work on defining which positions will qualify as hazardous and ensure that the necessary rulemaking is completed in time for the 2030 deadline.

Overall, the meeting highlighted the Oregon Legislature's commitment to modernizing retirement benefits for public safety employees and addressing the unique needs of those in hazardous roles.