STAND. COM. REP. NO. 2169

Honolulu, Hawaii

RE: S.B. No. 2555

S.D. 1

Honorable Ronald D. Kouchi

President of the Senate

Thirty-Third State Legislature

Regular Session of 2026

State of Hawaii

Sir:

Your Committee on Labor and Technology, to which was referred S.B. No. 2555 entitled:

"A BILL FOR AN ACT RELATING TO GOVERNMENT,"

begs leave to report as follows:

The purpose and intent of this measure is to allow a retirant to be employed without reenrollment in the Employees' Retirement System and without loss or interruption of benefits if the retirant is employed in a position identified for succession planning purposes.

Your Committee received comments on this measure from the Employees' Retirement System.

Your Committee finds that there is a labor shortage in the State that makes it difficult to fill certain positions in the public sector, including positions needed for succession planning. Your Committee also finds that hiring retirants who are qualified and trained for these positions allows the vacancies to be filled more efficiently. This measure facilitates the rehiring of retirants in positions identified by the appropriate jurisdictions as those needed for succession planning by allowing the rehiring to occur without reenrollment in the Employees' Retirement System or loss or interruption of benefits.

Your Committee acknowledges testimony by the Employees' Retirement System that the annual report on the hiring of retirants in certain positions that the Director of Human Resources of the appropriate state jurisdiction or the Human Resources Management Chief Executive of each county is required to submit to the Legislature pursuant to section 88-9, Hawaii Revised Statutes, would provide sufficient oversight to ensure that the determinations to hire retirants pursuant to this measure are consistent with applicable laws and rules.

Accordingly, your Committee has amended this measure by:

(1) Inserting language to clarify that the purpose of the annual report to the Legislature pursuant to section 88‑9(f), Hawaii Revised Statutes, is to provide sufficient oversight to ensure that determinations made by the jurisdictions to hire retirants in certain positions are consistent with applicable laws and rules; and

(2) Inserting an effective date of January 1, 2077, to encourage further discussion.

As affirmed by the record of votes of the members of your Committee on Labor and Technology that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2555, as amended herein, and recommends that it pass Second Reading in the form attached hereto as S.B. No. 2555, S.D. 1, and be referred to your Committee on Ways and Means.

Respectfully submitted on behalf of the members of the Committee on Labor and Technology,

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BRANDON J.C. ELEFANTE, Chair