The WRP was adopted effective January 1, 2023 to address workforce shortages by encouraging experienced members to continue working beyond Normal Retirement Age. The Program benefits members, the Union, and the industry by retaining skilled workers.
Under the Worker Retention Program, (WRP), members who work at least one year past their normal retirement age and work at least 800 hours in the Plan Year would be eligible for a WRP benefit. For each month an eligible member worked past their normal retirement age, he or she would accumulate a WRP benefit equal to his or her accrued benefit at Normal Retirement Age.
The Board of Trustees have made some important program enhancements to the WRP for members who retire on or after October 1, 2026.
Why the Program is Changing
Originally, the WRP was designed as a non-vested IRS bridge benefit, which limits the manner in which WRP accounts can be distributed to members in retirement. In some cases, members are financially incentivized to retire sooner to receive their fully accrued WRP benefits before reaching Social Security Normal Retirement Age. The Trustees determined this outcome was inconsistent with the Program’s goal of retaining experienced workers to meet industry demands. The WRP has therefore been redesigned to allow members to continue working up to age 72 without limiting their ability to collect their full WRP benefits.
Key Changes Under the Enhanced WRP
- Vested Benefit: Your WRP benefit will be vested once you meet the eligibility requirements (work at least one year past Normal Retirement Age and continue to work a minimum of 800 hours per Plan Year) and cannot be forfeited
- Extended Payment Period: Payments will continue until you receive the full value of the WRP benefit you earned, with payments completed no later than age 72
- Monthly Benefit Amount: Upon retirement, your monthly WRP benefit will be the greatest of:
- Your estimated Social Security Benefits at Normal Retirement Age,
- Your Midwest Operating Engineers Pension Fund monthly benefit accrued as of your Normal Retirement Age,
OR
-
- A monthly amount that pays your full WRP benefit by the time you reach age 72
- Spousal Protections: Spousal consent is required for payment options and beneficiary designation
- Death Benefit: Any remaining WRP amount will be paid as a lump‑sum death benefit to your beneficiary
Who is Affected
The enhanced WRP applies to members who retire on or after October 1, 2026.
What is Not Changing
- Normal Retirement Age requirement
- Service requirement of three years of Vesting Service
- Work a minimum of 800 hours during the Plan Year
- Benefit earned based on the accrued benefit at Normal Retirement Age
Resources
Retirement decisions are permanent and may impact both your pension and health coverage. We encourage you to use the resources available to help you make an informed decision.
- Retirement Services Group: 708-579-6630
- Megent Financial: 708-444-1090
- Offer free retirement planning services to members in good standing