Retirement: state employees; annual retirement allowance increase; eliminate cap. Amends sec. 20g of 1943 PA 240 (MCL 38.20g).

This bill proposes to remove the $300 annual cap on retirement allowance increases for state employees in Michigan. Under the new rules, the annual increase would be calculated as 3% of the retirement allowance, without the previous dollar limit. The legislation also modifies how supplemental payments are distributed to retirees based on investment returns and service credits. These changes would directly affect current and future state retirees by potentially increasing their annual pension growth.