Labor & Employment (Retirement Benefits)

SB 135 creates the Alabama Retirement Savings Program to help private sector employees at small businesses (with 500 or fewer employees) save for retirement. The program allows eligible employees to voluntarily contribute to retirement savings through payroll deductions into Individual Retirement Arrangements (IRAs), without requiring employers to offer or mandate participation. Administered by the Alabama Department of Workforce, the program uses existing IRA structures to provide a low-cost, portable savings option, with contributions held in a separate state fund that cannot be commingled with public monies. Employees directly benefit by accessing retirement savings tools they might otherwise lack, while employers avoid significant administrative or financial burdens.

HB 6 would expand a retirement benefit to include State Police Tier II Plan members in Alabama's Employees' Retirement System. Currently, certain law enforcement officers (like those in the Department of Corrections) can receive payment for up to 80 hours of unused annual leave each year beyond a 480-hour threshold. This bill specifically adds State Police Tier II members to that same provision, allowing them to cash out up to 80 hours of accrued unused leave annually. The change applies only to retirement plan members and mirrors the existing benefit for other law enforcement personnel. It does not create new leave accruals but modifies payment eligibility under existing law.