Year 2010 temporary budget to make available the ... - Jersey City

Highlight of Tentative Agreement between the City of Jersey City and the Jersey City Public
Employees, Local 246
Duration: July 1,2008 - June 30, 2011 (3 years)
Wages: A) $1,000 raise effective July 1, 2008
B) $1,000 raise effective July 1,2009
C) $1,000 raise effective July 1,2010
Health Care:
D) $1,000 payment (not wage increase) to be paid not later than June 17,2010
E) $1,000 payment(not wage increase) to be paid not later than Dec 16,2010
A) Traditional Health Care Plan ceases to exist for this Union effective July 1,2010.
Effect of this change means the current 151 members of Local 246 who are in the traditional
plan will move to one of the other health care plans offered by the City. Based on the curent
of employees in the traditional plan, the City estimates saving approximately $350,000 to
$400,000 anually by virtue of changing from the traditiònal plan to Direct Access/ other
HMO's.
Additionally, new employees wil not be able to opt for the traditional plan, thereby
saving the City additional money in the futue. This change in the contract is tied to the two (2)
$1,000 payments which Local 246 Employees wil receive in June & December of201O.
B) Futue Retires (those who retire from Febru 1,2011) will be subject to contribute
the same amount in Medical and Prescription deductible, contributions, and co-pays as they did
the date immediately preceding the date of their retirement, and thereafter be subject to 54% of
any increases in these areas which would be negotiated for active employees. This change in the
contract is also tied to the two (2) $1,000 payments which Local 246 Employees will receive in
June & December of 20 1 O.
C) Effective June 1, 2010, there will be prescription co-pay for mail order drugs. This
shall result in additional money saved by the City by virte of the co-payment and additional
migration from Brand Name drugs (higher co-pay but higher cost to City) to Generic drgs
(lower co-pay but cheaper to City).
Additionally, for retail prescriptions costing $1,000 or more, there wil be a co-pay of
$100 intead of the curent $20; for mail order prescriptions costing $1,000 or more, the co-pay