A group of labor leaders today slapped the State Division of Pensions and Benefits for putting off a meeting today of the State Health Benefits Program Plan Design Committee, saying they were “flabbergasted” that a meeting set for today was cancelled.
The commission offered a proposal last week that would raise the price of state health benefits for government employees by 25%, something that set off alarms since increases usually fall between 3-5%.
The labor representatives – Jim McAsey of the CWA, Dave Krueger of the Firefighters Benevolent Association, Bob Little of AFSCME, Lyons of the state PBA, Patrick Nowlan of the American Federation of Teachers, and Mike Zavnor of the State Troopers Superior Officers Association – called the proposal from AON, the state’s actuary “drastic and draconian.”
“It will bring about devastating effects on counties, municipalities, taxpayers and hundreds of thousands of working-class New Jersey families enrolled in SHBP,” They said. “These rate increases were not presented to the PDC until yesterday, when we were told they were posted on the State’s website.”
But a spokesperson for the State Treasurer’s office, Jen Sciortino, said that the labor representatives did not receive their rate renewal reports until yesterday.
“We thought it would be prudent to postpone the meeting until members have had time to sufficiently review the materials,” said Sciortino. “The meeting has merely been postponed and is in the process of being rescheduled.”
The committee does not approve the health benefits rates, but they have the authority to alter the benefit plan. The commission, which is a different entity, approves rates but cannot change the benefits.
“Labor remains ready, as always, to roll up our sleeves and find solutions to address this crisis precipitated by the Covid pandemic,” said the six labor representatives. “It’s baffling that management would skirt their responsibilities and unilaterally and unlawfully cancel our meeting today.
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