What happens to my IMRF benefits if I am laid-off, furloughed, or have a reduction in hours?
What happens to your IMRF benefits depends upon your situation:
- Your hours are reduced
If your hours are reduced due to COVID-19, you will not be terminated from IMRF participation if you are expected to return to full work hours later. Your employer should report your reduced wages on their monthly wage report. -
You are furloughed
If you are not working any hours for your employer but are still considered their employee, you would not receive service credit or IMRF benefits unless:- You are being reported to IMRF under paid vacation or sick leave
- You are on an approved IMRF disability leave
- Your employer has approved an authorized leave of absence for you under IMRF’s Benefit Protection Leave. See the question below for more information.
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You are laid-off
If you are no longer an employee of your IMRF employer, you are terminated from IMRF participation. For more information on your choices in this situation, review the "If You Won’t be Participating in IMRF" section of the Leaving Your IMRF Employer webpage.
What is a Benefit Protection Leave?
A Benefit Protection Leave allows you to receive IMRF service credit and protect your disability and death benefits during an unpaid leave of absence (up to a maximum of 12 months). Your employer’s governing body must approve this leave.
Important points about the Benefit Protection Leave include:
- You must apply while you are working for an IMRF employer.
- If you have been laid-off or otherwise terminated, you are not eligible for a Benefit Protection Leave.
- If you are continuing to receive pay, even if it’s a reduced amount, you are not eligible for a Benefit Protection Leave.
- You can submit the Benefit Protection Leave application with a future end date. However, IMRF will not send you a payment schedule until your employer submits the end date of your leave.
- If a leave is approved, you are responsible for paying your member contributions, plus any interest, after you return from your leave.
For more information or to apply for a Benefit Protection Leave, review the IMRF Benefit Protection Leave application (IMRF Form 6.32).