As a follow-up to my blog posting last week on public employee compensation, The Seattle Times editorial today argues that state employees will have to pay a higher percentage of their health care costs and insurance premium. The Times editorial staff wrote:
"ON Tuesday state negotiators will face public-employee unions over the issue of medical benefits. Last time they did this, they gave away the store.....The central issue is how much each side pays for health-insurance premiums. Currently, employees pay 12 percent, and the state pays 88 percent. It is a sweet deal, but the state cannot afford it unless it raises other charges — the coinsurance, the deductibles and the out-of-pocket maximum — in a big way."
"Most private-sector workers who have coverage pay more than 25 percent. It's not because their employers are mean, but because they have only so much money and they have to balance their accounts."
No one wants to pay more for health care or health insurance. It is difficult for any business, worker or family, but when it comes to deciding between layoffs or higher premiums, unfortunately, the answer is higher worker costs.....and don't look to Congress or the President for relief. The federal government is spending too fast and borrowing too much. State and local government leaders have to bite the bullet now before the budget crisis worsen.
Don C. Brunell, President (DonB@awb.org)