State Workers Make Lastminute Push To Block 20% Health Benefits Premium Hike

Unions Freeze Contributions Use Covid Relief Funds To Offset Proposed Hikes In Public Workers Health Care Premiums Politico

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Hundreds of people gathered outside State House, New Jersey, on Tuesday afternoon, calling on the state to reconsider a massive increase in health care premiums for public servants.

The protest came a day before a government committee voted on the proposal. The changes will impact thousands of active and retired civil servants, including health workers, local government employees, and teachers.

"We as public health workers have made many sacrifices during the COVID pandemic," said Kimberly Chambers, a Cherry Hill resident who works at the state mental hospital. "Our governor's message is keep going, keep pushing. We represent the country. So it's kind of a kick in the face to raise the level of health care. Once we get out of the trenches for our kingdom."

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  • Union representatives said the proposed hike was based on the ongoing coronavirus pandemic, service delays, increased usage, inflation and other factors.

    The crowd sang "Healthcare for All" and "Put People First" at the rally.

    Lead organizers urged people to contact Governor Phil Murphy's office to demand that talks resume.

    "There's a lot of funding out there. There are other ways to make up for what they're trying to do now," said George Brown, the Wellingboro division leader at the American Federation for State, County and City Employees.

    Workers should be encouraged to work. They must be motivated to work. They have to stay strong. And they should know that the government believes in them.”

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  • Several state lawmakers, including General Assembly Speaker Craig Coughlin (Dimedellsex), the Republican senator for budgets in the Senate, have expressed concern about the proposed increase in benefits rates. Declan Oskanlon (R-Monmouth) and Senate Majority Leader Theresa Ruiz (Democrat Essex).

    "Although the trend of rising health care benefits rates across the state is approximately 10 percent, an increase in New Jersey, without a solution, could eventually lead to an increase in property taxes," Ruiz said in a statement Tuesday morning.

    Oskanlon and other Senate Republican leaders want a special commission to investigate the matter.

    Trenton Mayor Reed Guchiora, who stood in solidarity with the union at a rally on Tuesday, echoed Ruiz's claims about the property tax.

    "We have just negotiated a contract with a local AFSME and their salary increase will provide even greater health benefits," Gucciora told WHYY News. "But the city pays 70% of the health insurance premium, so our profits will increase as well."

    "The only way we can deal with this is by raising property taxes on the same people who work for us. So not only are you going to lower wages, you're also going to increase property taxes," Josiura said.

    Last month, Jennifer Scortino, director of communications for the state Treasury, said her office "shared concerns about the proposed rate increase."

    Scortino said his office did not have the authority to change the support price level "unilaterally".

    A 2021 report by the Society for the Management of Human Relations reports that American employers expect health insurance premium rates to rise about 5% this year.

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