Nice idea, should work. You could turn the character into someone that would be available only to that gang type, kind of like the Ratskins and Redemptionists have. I would think the influx of characters might be a little high, but not a bad idea. Retirement party could have a cost associated, this would make retirement a penalty as well as a benefit. Of course, use what works best with your group.
I can see the benefit, you free up gang score, you're no longer at the top of the campaign. I haven't played in years, so it would depend how many characters climb that high in the ranks, but it seems like you get a lot of the goods and none of the bads (besides losing your best ganger).
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