Aldermen have approved an ordinance amendment to declare themselves city employees for retirement benefits.
The Illinois Municipal Retirement Fund, or IMRF, is usually open to full-time and part-time employees. Aldermen believe they are entitled to the benefit because they receive little pay and are working for the city, even though they are elected to their posts.
The IMRF is funded by a 4.5 percent salary contribution from the employee, and a variable matching rate from the municipality. Oak Forest this year contributed 8.79 percent of employees’ salaries to IMRF.
Treasurer JoAnn Kelly warned that their retirement benefit will come from city taxes, and that if an alderman became a full-time government employee in Illinois, Oak Forest would have to contribute at the higher salary rate.
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