Teachers union: Snyder law limiting government employee benefits is unnecessary
Teachers union leaders say their members were agreeing to concessions even before Gov. Rick Snyder on Saturday signed the law that limits the amount public employers may pay for government employee medical benefits, the Grand Rapids Press reported.
Beginning on Jan. 1, a public employer such as a city, county or township will be limited from paying more than $5,500 for health benefits annually for a single employee, $11,000 for an employee plus spouse or $15,000 for family coverage, according to the report.
Employers may split the cost of medical coverage with workers, who will have to pay a proportion of their health insurance costs - but no more than 80 percent of the annual cost of medical benefits, the Press reported.
Teachers union leaders said the law is unnecessary, noting that teachers in districts across the state agreed to wage freezes and significant insurance contributions in response to the $470-per student cut in state aid.
Snyder signed the bill into law before heading to Asia, according to a news release issued today.
Comments
Will
Wed, Sep 28, 2011 : 11:18 p.m.
I wonder whether this law could actually end up helping public employees pressure insurers and health care organizations to reduce their yearly premiums and costs. If you have a large group of public employees refusing to go with insurance carriers which charge outlandish premiums, that could eventually result in pressure being placed on the health care organizations to reduce costs.
joe.blow
Wed, Sep 28, 2011 : 2:47 a.m.
All I have to say is, "4 more years, 4 more years, 4 more years."
Heardoc
Wed, Sep 28, 2011 : 4:15 a.m.
Go RIck-- GO!!!!!!!!!!!! Need more like our guv....
Terrin Bell
Wed, Sep 28, 2011 : 2:47 a.m.
Yes, Unions are the problem. Not the tax cuts for the rich (they pay the lowest tax rate of any time in our Countries history); the out sourcing of jobs and the tax base associated with those jobs to foreign countries (never heard of before in the Country's history until agreements like NAFTA become the rage); and forcing americans to compete with slave labor. The ultra rich have the poor fighting over the scraps while they laugh to the bank. Health Care in a free country should be available to all. Even in Cuba they understand that.
AMOC
Wed, Sep 28, 2011 : 12:08 p.m.
So Cuba is your example of a free country with an effective health system? Canada is a much better system than Cuba, though not, IMO, better than the system in the US could be with more rational tax treatment of employer-provided insurance. However, unions running their own insurance companies and heavily favoring them in their contract negotiations is illegal in both Cuba and Canada. And almost everywhere else in the world.
Heardoc
Wed, Sep 28, 2011 : 4:19 a.m.
Let's not punish those in america that have achieved the American Dream -- We all aspire to do better and provide for our families -- Obama is dividing the country -- class warfare as you have espoused in your post comes from Obama. The top 10% pay just over 90% of taxes -- at what point is it fair? There is almost 50% of all americans that pay no taxes -- are they paying their fair share? What is rich? You really make no sense.
Edward R Murrow's Ghost
Wed, Sep 28, 2011 : 1:14 a.m.
Did ya hear the one about the state losing $50 million in federal transportation funding due to this bill becoming law? A2.com, if it ever were to do some actual, you know, investigative reporting, might check that one out. Good Night and Good Luck
snapshot
Thu, Sep 29, 2011 : 8:27 p.m.
With the number of agencies and employees involved in road repair that 50 mil would only repair a couple of potholes.
Edward R Murrow's Ghost
Wed, Sep 28, 2011 : 12:15 p.m.
1) This law impacts few state employees and therefore will save the state little money 2) The law does not impact bargaining units who have a current contract and therefore will not impact them until a new contract is negotiated. 3) The savings under the new contracts in most cases will be negligible because the school districts and municipalities will offset the helthcare costs with pay increases. Other than that, a typically fact-filled and logical post, heardoc. GN&GL
Heardoc
Wed, Sep 28, 2011 : 4:14 a.m.
Did ya hear that we may be saving more than the 50 mil? Geez-- look at the savings for 5 years and I think you may come to a more reasoned conclusion.......
Basic Bob
Tue, Sep 27, 2011 : 11:55 p.m.
Consider this law the nuclear deterrent of local contracts. If everyone plays nice, it never becomes an issue.
YpsiLivin
Wed, Sep 28, 2011 : 12:22 a.m.
Except, of course, for the study released today that shows that employer-paid healthcare plans increased by 9% between 2010 and 2011, and the average individual plan is now $5,430 and the average family plan is more than $15,000. So your supposition that "If everyone plays nice, it never becomes an issue" is just flat wrong. It's an issue before these provisions ever take effect. <a href="http://www.miamiherald.com/2011/09/27/2428000/job-based-health-insurance-premiums.html" rel='nofollow'>http://www.miamiherald.com/2011/09/27/2428000/job-based-health-insurance-premiums.html</a>
Tom Todd
Tue, Sep 27, 2011 : 10:06 p.m.
Hello Communism.
snapshot
Thu, Sep 29, 2011 : 8:18 p.m.
Unions are a form of communism? Or the State? I'm confused. Commune/union/community/union/ what are we talking about here?
John of Saline
Tue, Sep 27, 2011 : 9:41 p.m.
One amusing thing about the Wisconsin situation. The teachers' union there required the districts to use a union-run health insurance plan at sky-high prices. No competition allowed; pay the price specified. One of the changes in the law that caused all the recent turmoil was to get rid of that: the state was now allowed to bargain and use other providers. Lo and behold, the price quoted by the union-run insurance plan went way down once competition was allowed.....
DonBee
Tue, Sep 27, 2011 : 10:41 p.m.
MESSA the teacher's union run health care program here in Michigan has been the 800 pound gorilla of health care plans in the schools. It was also on a pure price review the most expensive. Since I don't have a comparison of coverage between the plans, I cannot tell you if the plan was a good deal for the range of coverage or not. AAPS started offering Blue Cross in addition to MESSA a few years ago. I believe, based on hearsay, that MESSA still has the majority of the business at AAPS. I do know that AAPS no longer covers the whole cost of MESSA, so teachers have to contribute some money if they want MESSA.
braggslaw
Tue, Sep 27, 2011 : 8:35 p.m.
The bill is for the future, not the present. We need to avoid the mistakes of the past including a blank check for public unions.