Governing: While the cost of pensions and retirees’ health care have been hot topics in the public sector for years, a similar and vital funding issue has gone virtually unnoticed: current employees’ health plans. It was brought to light, though, by the nine-day teachers’ strike in West Virginia last month.
The problem: The state is required to keep 14 percent of its anticipated health care payments for current employees on reserve but was running $29 million short. The legislature’s solution: Increase deductibles and copayments for state employees, who currently pay for 20 percent of their plans.
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