Iowa holds back on state employee health benefits

Union says state government is “shortchanging” employees

Insurance News

By Allie Sanchez

The coming year is looking dismal for Iowa’s largest public employees’ union as the state government did not propose wage increases and held back health insurance provisions in its contract with unionized employees, an Associated Press report said.

The contract was released last week by the Iowa Department of Administrative Services to the American Federation of State, County, and Municipal Employees Iowa Council 61.

The contract reportedly contains language that would give the state tighter control over determining employee health benefits.

In the report, Danny Homan, Iowa Council 61 president, said the state is “shortchanging” public employees as it anticipates new legislation that could change its collective bargaining laws. Republicans will have control of the Upper and Lower Houses in January.

Meanwhile, Republican Governor Terry Branstad said in the report through his spokesperson Ben Hammes that the government wants to provide health care that is more “financially sustainable”.

The union Iowa Council 61 represents around 40,000 state employees, including correctional officers, firefighters and mental health workers.


Related stories:
Employees share of health insurance costs keeps growing
Court battle begins to save $48 billion Anthem-Cigna merger

Keep up with the latest news and events

Join our mailing list, it’s free!