Kentucky Retirement Systems v. EEOC
Issues
The Commonwealth of Kentucky ("Kentucky") provides normal retirement benefits to public employees who are 55 years of age and have satisfied a minimum service requirement, or who have worked for Kentucky for 20 years. Kentucky also provides disability-retirement benefits to employees who are ineligible for normal retirement benefits (e.g. employees who are under 55 or who have not satisfied the service requirement) and who become disabled. Because age is a factor in determining whether an employee may receive normal retirement benefits, by definition, age is also a factor in determining whether an employee may receive
Moreover, the calculation that determines the amount of benefit paid to an employee under both plans includes the employee's age as well as the years served. Under the
The question presented to the U.S. Supreme Court asks, as the benefits provided under the
After finding that older individuals faced discrimination in the workplace, Congress passed the Age Discrimination in Employment Act ("ADEA"), 29 U.S.C. ?621 et seq. The ADEA prohibits employers from arbitrarily discriminating against older employees. The Equal Employment Opportunity Commission ("EEOC") brought suit against the Jefferson County Sheriff's Department, the Commonwealth of Kentucky, and Kentucky Retirement Services ("KRS"), who administers the state retirement program, because the retirement program distinguishes among recipients, at least in part, on the basis of age. The U.S Court of Appeals for the Sixth Circuit, sitting en banc, held that the retirement scheme in question violated the ADEA. In this case, the U.S. Supreme Court will determine whether an employer may deny an employee disability benefits because of his or her eligibility to receive normal retirement benefits under the ADEA.
Questions as Framed for the Court by the Parties
This Petition involves a public employee retirement plan that includes normal and disability retirement benefits. A member who is eligible for normal retirement benefits based on attained age plus a minimum service requirement, or based on service alone, is not eligible for disability retirement benefits. Because age may be a factor in determining eligibility for normal retirement, it is an indirect factor in determining eligibility for disability retirement. Moreover, the calculation of disability retirement benefits is based upon actual years of service plus the number of years remaining before the member reaches retirement age or eligibility based on years of service alone; age may thereby be an indirect factor in determining the amount of disability retirement benefits.
The question presented in this Petition is accordingly: Whether any use of age as a factor in a retirement plan is "arbitrary" and thus renders the plan facially discriminatory in violation of the Age Discrimination in Employment Act?
Kentucky law prescribes two methods in which a public employee may reach what is termed "normal retirement." Brief for Petitioner at *4. Under normal circumstances, a public employee may retire upon crossing either of two thresholds, whichever comes first. Id. Employees who work in hazardous positions become eligible to receive normal retirement benefits when t
Additional Resources
- Legal Definitions from Wex.
- E.E.O.C. v. Jefferson County Sheriff's Dept., et al, 424 F.3d 467 (6th Cir. 2005)(vacated on grant of rehearing en banc Jan. 4, 2006).
- E.E.O.C. v. Jefferson County Sheriff's Dept, at al, 467 F.3d 571 (6th Cir. 2006) (en banc).
- Brief for the Petitioners.
- Brief for the Respondents.
- Brief of the National Association of State Retirement Administrators, The National Conference on Public Employee Retirement Systems, and the National Council on Teacher Retirement as Amicus Curiae.
- Brief for the States of Michigan, Alaska, Arkansas, Colorado, Delaware, Idaho, Maryland, Minnesota, New Mexico, Oklahoma, South Carolina, Tennessee and Texas as Amicus Curiae.
- Brief of Amicus Curiae National School Boards Association.
- Brief for the National Association of Counties, Council of State Governments, National League of Cities, and International Municipal Lawyers Association.