Bargaining Senate endorses innovative new contract for State Executive Branch Unit
"I'm excited about having a new contract," Lorraine Dauphinee of New Hampshire Hospital said last night after the Bargaining Senate -- by a nearly unanimous voice vote -- supported a tentative agreement and asked members to ratify the new contract. Voting begins next week.
The tentative agreement with the Executive Branch features innovative health care cost savings, an important new approach to retiree health care, voluntary furloughs, and improves workers' rights in several areas.
"This agreement protects public services and saves tax dollars during this time of economic challenges," SEA President Gary Smith said. "Our approach to health care costs will save taxpayers millions of dollars and provide good health care for the men and women who plow our roads, protect our kids, and find jobs for unemployed people."
The contract also provides adult children under age 26 with health care coverage in two phases. Children on the plan as of May 1, 2010, who would normally age out of the program, will instead remain on the plan until age 26. In January 2011, children who previously aged out of the program will be able to return to it until they turn 26.
The news of this coverage received almost universal praise.
"We're finally getting one!" said Jennifer Arizmendi of the New Hampshire Veterans Home. "This allows our kids under age 26 to go on insurance."
The tentative agreement was reached last Wednesday and signed by the State and SEA last Friday following two days of mediation in Concord under the direction of the Federal Mediation and Conciliation Service.
"The Master Bargaining Team was pleased we could negotiate an agreement that saves money while improving the health of working families," said Diana Lacey, chair of the bargaining team.
Pam Callioras of Employment Security agreed. "I think the Collective Bargaining Team did a great job. I appreciate it!"
Details of the health care plan changes will be finalized by the joint employee-state Health Benefit Advisory Committee. Provisions include voluntary participation in taxable cash incentive programs to use cost-effective providers as well as programs to promote wellness, a low-cost mail-order prescription component, and a smoking cessation program. Estimated savings from these changes are $3.4 million in 2011 and $2 million more in 2012.
To ensure long-term sustainability of the retiree health care benefits, the proposed contract requires the SEA and the State to study the feasibility of creating a tax-sheltered medical trust. Both the union and the state will jointly support an amendment to state laws governing retiree health benefits during the next legislative session.
The tentative agreement also allows state employees to take voluntary furloughs if their position is funded by 50 percent or more in general funds. There is no estimate of savings for voluntary furloughs, but the agreement requires that any savings resulting from the furloughs be used to support jobs within the same agency to avoid layoffs.
Angela Whittemore of the Department of Revenue said after the meeting last night she thinks it's a good contract because of the health care provisions and voluntary furloughs.
The tentative agreement also ensures that laid-off workers returning to the state workforce are treated equally in terms of seniority and associated rights.
While the contract does not include any cost-of-living raises, longevity-based step raises would continue under the agreement.
The tentative agreement comes eight months after an earlier agreement was voted down by members last October. Since that time, the contract that expired last June has remained in "evergreen" status as a new accord was negotiated.
Copies of the Tentative Agreement will be mailed out next week and members will have 14 days to review the agreement and cast their ballots.
Members of the Collective Bargaining Team will be available to answer questions during five regional informational meetings:
• Thursday, May 27, 5 p.m., Manchester, Sununu Youth Center/YDC - Stark House, 1234 No. River Road
• Tuesday, June 1, 6 p.m., Berlin, White Mountains Community College Cafeteria, 2020 Riverside Drive
• Wednesday, June 2, 6p.m., Claremont, River Valley Community College Rooms 123 & 125,1 College Drive
• Thursday, June 3, 6 p.m. Portsmouth, Holiday Inn, Conference Rooms 1 & 2, 300 Woodbury Avenue
• Tuesday, June 8, 5 p.m., Concord, Department of Environmental Services, Auditorium, Hazen Drive
An announcement about the results of the contract vote is expected by mid-June.