ST. PAUL  (AP) - The number of employees retiring from state government has already hit a new annual record, and some officials are worrying they won't be able to replace the skills walking out the door.

The executive director of the Minnesota State Retirement System, Dave Bergstrom, says 2,733 state employees have retired so far this year, up 675 from the record 2,058 who retired in 2010.

He says it's a matter of a mature workforce and an early retirement incentive offered in 2010. That incentive offered two years of health insurance for employees who retired by June 30, 2011.

The retirement system covers about 48,500 employees of the state, the University of Minnesota, the Metropolitan Council and some categories of employees at the Minnesota State Colleges and Universities system.

(Copyright 2011 by The Associated Press.  All Rights Reserved.)