Collective Bargaining reform and health care costs in Wisconsin

The Journal Sentinel reports that under a new restrictive collective bargaining law that only allow unions to negotiate over inflation-capped wages, local governments in Wisconsin may seek to replace the current health care benefit. WEA Trust has been in place for 40 years, created by the teachers’ union the plan currently ensures employees in two-thirds of the state’s school districts. The switch in some districts has been made for non-unionized employees. The effect of many districts switching to more cost-effective plans will force WEA Trust to compete with other providers according to one analyst.

WEA Trust claims it is named on one-third of collective bargaining agreements and is listed as the “standard bearer” meaning districts can switch to lower cost, equivalent plans.

Brown Deer school district began using a different carrier in July and has saved the district $170,000 or the equivalent of  “at least two teachers”.