ESI is the founder and leader of the return to work employee lease back program in Arizona. From a humble beginning of only five teachers in a single elementary district in 1999, ESI has grown to currently serve over 160 Arizona school districts, colleges, cities and towns. We’ve amassed unparalleled experience in designing programs that give the employer ultimate control and yet provide a win-win solution for retiring employees. As the originators of the return to work program we would like to explain how the program works.
What is a return to work program?
Currently participants in the Arizona State Retirement System (ASRS) who retire and wish to return to work immediately can work only part-time with a ASRS employer without jeopardizing their retirement check. By utilizing the services of ESI, a retiring employee can return to work immediately and work full-time in their current position without jeopardizing their retirement check. In other words; an ESI employee receives their retirement check plus a check from ESI for an increase in pay up to 70%! This allows the employer to retain experienced employees that were planning on retiring as well as save money.
How does this save the schools, colleges, cities and towns money?
The vast majority of employers contracted with ESI do not bring back the retired employee at 100% of what they were previously making for an immediate saving to the employer. The employer can bring back the employee at any percentage they feel will best serve their purposes whether it is to improve the budget or retain excellence. The employer also saves by not having to match the employee's ASRS contribution. Other benefits, such as health insurance, that may not have to be paid by the employer after retirement also increase savings. The average savings per ESI employee for the employer is around 30%. This means on a $50,000 employee the employer would realize a savings of $15,000.
Having recognized the conflicting imperatives of employers facing the looming "baby boomer" exodus of valuable, experienced personnel and of employees reaching their vested age for normal retirement, ESI has crafted an innovative work-back program that serves both interests. In a time of teacher shortages and budget uncertainties, ESI is part of the answer! ESI is a proud vendor of both Mohave and S.A.V.E. purchasing consortiums. Mohave Contract #12E-ESI-0517. S.A.V.E. (Strategic Alliance for Volume Expenditures) Contract #29-42 MP.