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A new study by the Worcester Regional Research Bureau finds that health insurance cost-sharing arrangements that were part of union contract agreements settled earlier this year in the city saved $9.1 million for the public schools and $4.5 million for other municipal departments.
The city settled contracts with its three public safety unions, and the Worcester School Committee reached a new agreement with the teachers' union in the spring, moves that preserved more than 100 jobs. As part of that process, all city employees now pay 25 percent of their health insurance plan premiums, according to the WRRB.
The WRRB also found that the city was able to achieve parity with the state's health insurance offerings, meaning the plans mirror those offered through the state's Group Insurance Commission. The city did that without using some of the newly delegated powers given to communities by the state legislature to implement such measures.
Unions, meanwhile, were able to negotiate salary schedule adjustments immediately and salary increases in future years. Teachers, however, will receive a flat stipend added to their base salaries immediately, with the more senior teachers and those with advanced degrees receiving the highest pay supplements, the WRRB found.
To read the full report, click here.
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Worcester Business Journal presents a special commemorative edition celebrating the 300th anniversary of the city of Worcester. This landmark publication covers the city and region’s rich history of growth and innovation.
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