CONTRACT

“The Union was able to convince the Employer that an immediate shift to Public Act 152 and forcing the Employees to make contributions was a huge hardship,” said MAPE Labor Relations Specialist Jim Steffes. “The Employer opted out of P.A. 152 for the life of the agreement and is fully funding the first year’s deductibles and 50% of the second years deductibles. This gives Employees time to make Health Savings Accounts (HSA) contributions for future deductible costs. Employees hired after ratification will have a Retiree Health Savings Plan into which the Employer will contribute $100 per pay or $2,600 per year. Employees hired after 2010 have the option to change from retiree healthcare to the Retiree Health Savings Account before July of 2018. For those who choose to enter the plan, the Employer will contribute $5,400 for each year of service between 2010 and 2018. Going forward, those Employees would also receive the $100 per pay Employer contribution. The Employee is immediately vested in the plan and, upon separation from employment with the Township, can use their funds to pay for IRS-approved healthcare expenses such as premiums, drug costs, or supplementing Medicare when they reach age 65, etc.”

Local Unit President Mark Wroblewski said this contract gives Employees an option other than simply having retiree healthcare taken away. “Anything we could keep or save was beneficial for us,” Wroblewski said. “In essence, that money would be there for them when they did retire instead of having to follow along for what the new employees voting on the contract would do. There’s good and bad in everything. We didn’t get hit with the 80/20 for (active employee) healthcare, which would’ve had $3,000 for individual and $6,000 for family deductibles. So that’s a positive. Instead, what we have now is $2,000 and $4,000. But the Township did cover 100 percent (of deductible costs) in the first year and half of it in the second year of the two-year contract.”

Contract Duration: 2-year agreement ratified Dec. 13, 2017 and effective 1-1-18 to 12-31-19.
Wage Increases:
1% increase Jan. 1, 2018 to all steps and classifications.
2% increase Jan. 1, 2019 to all steps and classifications.

Fringe Benefits: Change from Vacation, Personal and Sick Leave to a single bank of Paid Time Off (PTO) with no change in the number of days off.
Healthcare: Employer continuing to opt out of P.A. 152 and contributing to Health Savings Accounts (HSA) 100% of deductibles in 2018 and 50% of deductibles in 2019. Employees who opt out of Employer provided healthcare will receive a monthly insurance waiver of $166 for single coverage and $333 for two-person coverage or family coverage.
Retirement: Employees hired after Jan. 1, 2010 have the option to have retiree healthcare changed to a Retiree Health Savings Plan by June 30, 2018. If they chose the tax-free Health Savings Plan option, the Employer contributes $5,400 for each year of prior service upon entering the program for the initial installment into the plan. After the first year, the Employer will contribute $100 per pay period ($2,600 annually) with immediate vesting of the Employee. All funds contributed to and withdrawn from the plan are tax free. Employees hired on or after Jan. 1, 2018 will have Retiree Health Savings Plans instead of retiree healthcare.
Bargaining Team: MAPE Labor Relations Specialist Jim Steffes with Local Unit President Mark Wroblewski and Stewarts Dave Czuprenski and Kerry Beauvais.