The Mayor and Tucson City Council yesterday approved a plan by City Manager Michael Ortega to offer a health insurance incentive for City of Tucson employees eligible to retire. The latest plan offers a varying one-time payout (based on number of dependents) to those who permanently opt out of City-provided insurance. Those who take advantage of the offer can spend the taxable money on insurance premiums for other plans they choose.
To get the incentive, the eligible employees must retire from the City by June 10. The newly-approved incentive is in addition to an earlier incentive that offers three months pay to those who retire by Feb. 5. The incentives are aimed at encouraging employees to retire to save on labor expenses and costs to the General Fund.