Common use of Reduction in Reverse Pickup Clause in Contracts

Reduction in Reverse Pickup. 1. Effective the first day of the first full pay period following Board of Supervisors adoption of this MOU, the annual reverse pickup contribution rate for employees in the PEPRA and 1.62% at 65 Classic benefit formulas will be frozen at the fiscal year 2019-2020 rate. The reverse pickup contribution rate for employees in the 2.7% at 55 benefit formula shall continue to be calculated pursuant to Section 2 of this Article. 2. Effective the first day of the first full pay period after Board of Supervisors adoption, the County will assume responsibility for a fixed 1.2% reduction of the employee’s paid reverse pickup. 3. Effective July 3, 2020, the County will assume responsibility for an additional 1.2% for a total fixed 2.4% reduction of the employee’s paid reverse pickup. 4. Effective July 3, 2021, the County will assume responsibility for an additional 1.2% for a total fixed 3.6% reduction of the employee’s paid reverse pickup. 5. Effective July 1, 2022, the County will assume responsibility for an additional .5% for total fixed ongoing 4.1% reduction of the employee’s paid reverse pickup. 6. By July 1, 2022, the entire Reverse Pickup for employees in the PEPRA and 1.62% and 65 Classic benefit formulas shall be eliminated. It is the intent of the parties that the reverse pickup amount for Legacy employees will continue to be reduced by a fixed 4.1% from July 1, 2022 into the future.