Gov. Don Carcieri’s willingness to take on the unions that represent state employees is an approach long overdue in state government.
That the health insurance benefits enjoyed by most state workers are too costly for taxpayers is no secret. Just a couple years ago, former Gov. Lincoln Almond attempted to get state workers to pay a portion of their health insurance. But that experiment inexplicably failed.
So while private companies are reacting to double-digit health insurance premium increases by asking their employees to pitch in a little more, workers on the state payroll are largely receiving health benefits without contributing themselves. It is a formula that is simply archaic – and unreasonable.
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In the private sector it is now rare for a company to pay in full for an employee’s health insurance. Employee contributions of at least 10 percent and up to 35 percent are more common.
Carcieri’s initial proposals have been met with disdain from state unions. In short, union leaders don’t want to hear it.
But it is time for union leaders to recognize that times have changed. Taxpayers can no longer bear the burden of paying the total bill on health insurance for nearly 15,000 state workers. Currently, that bill comes to $152.9 million annually for Blue Cross with vision and dental coverage.
The governor is right to make this an issue. And if he doesn’t get any cooperation from union leaders, he is right to consider more drastic measures, like reducing the number of state workers on the payroll.
