San Francisco City and County Employees' Retirement System Layoff FAQs

Employees who are placed on Involuntary LEAVE status:

• Automatically continue membership in the Retirement System while on “Involuntary Leave” regardless of age or service credit. An employee who is placed on “Involuntary Leave” is not required to contact the Retirement System unless they wish to apply for retirement or a vesting allowance.

Employees who are placed on Involuntary LAYOFF status:

• Automatically end active retirement membership on the effective date of separation by reason of "Involuntary Layoff”.
• Must contact the Retirement System within 90 days of the separation date to choose an option for their employee contributions on account with the Retirement System. The Retirement System will counsel you on the available options (e.g., retirement, vesting, reciprocity, or refund).If you return to City service after a layoff, you should contact the Retirement System.

If an employee is placed on Involuntary LAYOFF status and is separated from City employment:

1. You may voluntarily retire for service or apply for a vesting allowance if, depending on your plan and as of your separation date, you are eligible. To determine eligibility, employees may find their plan requirements here: Summary of Key Plan Provisions.
2. An employee who is eligible for a service retirement or vesting allowance as of their date of separation may elect to apply for retirement at any time after separation. Service retirement benefits are calculated as of the date of your separation from City employment, so there is no advantage to waiting to apply. An employee who delays applying for retirement will not be eligible for retroactive retirement benefits. You can retire no earlier than the first day of the month in which you file an application to retire with the Retirement System.
3. Employees who have less than five (5) years of Plan service credit have two options:
   a. Refund: You may receive a refund of your retirement contributions. The pre-tax portion of your contributions is eligible to be rolled over to a tax-deferred account, such as a 403(b) or IRA. The normal processing time is eight (8) weeks after verification that the employee has separated from City employment.
   b. Reciprocity: Employees who become a member of CalPERS or another California public retirement system within six (6) months of separation from City employment may elect reciprocity. They should work with their new employer to establish reciprocity.
4. For separated employees who are only eligible for a refund, if an application for refund has not been filed with the Retirement System within 90 days of the employee's separation from City employment, the Retirement System will process an automatic refund of the employee's retirement contributions and mail the refund check to the employee's last known address.
5. Refunds and rollovers may be subject to federal tax liens, family support orders, and community property claims.
6. Any contributions that are withdrawn from the Retirement System may be eligible for redeposit upon the employee again becoming a member of the Retirement System. If an employee becomes a member of the Retirement System again, they should contact the Retirement System about their options.
7. A retired employee may not re-enter covered City employment except under specific conditions. Retired employees should check with the Retirement System prior to accepting City employment after retirement.

If an employee is placed on Involuntary LEAVE status:

1. You remain a member of the Retirement System.
2. You are not eligible to refund or roll over your retirement contributions.
3. An employee on "Involuntary Leave" who is eligible for retirement or a vesting allowance may file an application at any time during their leave. However, to schedule a retirement appointment, the employee must change their status from "Involuntary Leave" to "Involuntary Layoff" by contacting their department to request the change and separate from City employment.
4. SFERS cannot process a retirement application until the employee is separated from City employment. The retirement application must be filed during the calendar month in which the employee elects to retire.
5. It is the employee’s responsibility to contact their department and request that their status be changed from "Involuntary Leave" to "Involuntary Layoff” and that they be separated from City employment.

Employees can learn more about the impact of a layoff on their SFERS retirement benefits by logging into the mysfers portal at mysfers.org and using the benefits calculator to estimate benefits; emailing sfersconnect@sfgov.org; calling 415-487-7000; or visiting the Retirement System during walk-in hours.

SFDCP participants may continue to keep their funds with the plan either while on “Involuntary Leave” or after “Involuntary Layoff”. For questions about your SFDCP account, please visit www.sfdcp.org or call (415) 487-7500.

Employees who are separated from City service and are placed on a Holdover Roster may be eligible to continue receiving their health, dental, and vision benefits (including covered dependents) for up to five (5) years, if they meet the following requirements:

1. Employees must certify that they do not currently have health coverage from another source, and
2. Employees must complete and submit a Certification of Eligibility Form to the San Francisco Health Service System (SFHSS) upon request.
3. Employees must pay the same healthcare (medical and dental) premiums as were deducted from their paycheck prior to layoff. Payments must be made directly to SFHSS. To learn more about making direct payment for your premiums visit https://sfhss.org/how-make-payment. Rates are subject to change each plan year.

Employees who have no holdover rights or lose holdover rights may be eligible to continue medical, dental and vision coverage under COBRA. The healthcare coverage you had as an active employee will end on the last day of the coverage period in which your employment terminates.

For more information regarding Frequently Asked Questions related to Layoffs and Health Benefits, please see SFHSS Layoff FAQ provided on the following pages.

For information about COBRA, visit https://sfhss.org/benefits/cobra or contact SFHSS' COBRA Administrator P&A Group at (800) 688-2611 or visit padmin.com.

SFHSS is located at 1145 Market Street, 3rd Floor, San Francisco, CA 94103. Please call (628) 652-4700 if you have additional questions.