Three organizations representing current and retired federal worker have called on Congress to reject provisions in pending legislation that would sharply undercut the federal employee health care and workers’ compensation programs.
The groups expressed their deep concerns about provisions in pending postal reform legislation in a letter to members of the Senate Homeland Security and Governmental Affairs Committee.
That legislation, they wrote, would allow the Postal Service “to cherry-pick the largest areas of cost savings from the (Federal Employees Health Benefits Program), which will destabilize the FEHBP and raise costs for federal employees, retirees and their families.”
They pointed out that one section of S. 1486, the Postal Reform Act of 2013 would provide the Postmaster General with “extraordinary authority” to withdraw active postal employees from the FEHBP—approximately 25 percent of FEHBP’s enrollment, adding that “FEHBP keeps costs low by spreading risks among all its participants.”
The groups noted the Office of Personnel Management has estimated that one provision in S. 1486, (Section 105) would increase premiums for employees and retirees remaining covered under FEHBP by two percent across-the-board, and could be as high as 35 percent for some plans.
FEHBP is the nation’s largest employer-sponsored health care program, with more than eight million federal employees, retirees and their families enrolled. In addition to NTEU, the letter was signed by the National Active and Retired Federal Employees Association and the American Federation of Government Employees.
Separately, NTEU President Colleen M. Kelley emphasized the potential impact of increased health care costs on a workforce that already is reeling from a three-year pay freeze, unpaid furlough days and the pressures generated on their agencies by sequestration.
“It would be not only unwise to dilute FEHBP in this way,” she said, “it would be another enormously unfair blow to these dedicated public servants and their families.”
The letter to committee members also took issue with a section of the pending bill which would amend the Federal Employees’ Compensation Act (FECA) to reduce benefits when they reach their Social Security retirement age. At present, an employee injured in the course of his or her duties receives FECA payments equal to 67 or 75 percent of their wages at the time of the injury.
Under the postal reform bill, that payment would be reduced to 50 percent of their former wages. The bill also contains other harmful FECA changes.
“Forcing a worker at retirement age to give up regular FECA benefits earned as a result of an on-the-job injury,” the groups wrote, “would cause grave economic hardship to many disabled workers.” They noted a Government Accountability Office report earlier this year showed these cuts would hurt particularly lower-wage workers and those injured early in their work lives.
“These proposed changes are especially problematic, given that many federal employees have already been driven to the brink by furloughs and wages that have been stagnant for years,” the organizations said. “In addition, the draconian FECA provisions are federal government-wide and have no place in Postal Service reform legislation.”
Here’s the full text of the letter dated September 6, 2013:
Dear Member of the Senate Homeland Security and Governmental Affairs Committee:
On behalf of the federal employees and retirees represented by the undersigned organizations, we write to express our serious concerns about the health insurance and Federal Employees’ Compensation Act (FECA) provisions of S.1486, the Postal Reform Act of 2013, which will impact all current and retired employees.
Section 104 of S.1486 will provide the Postmaster General (PMG) with extraordinary authority to withdraw active postal employees from the FEHBP – approximately 25 percent of FEHBP’s enrollment. Section 105 incentivizes Medicare eligible postal annuitants with Medicare Parts A and B to elect a newly established, voluntary Medicare wraparound plan. The FEHBP keeps costs low by spreading risks among all its participants; however, the effect of Sections 104 and 105 allow the United States Postal Service (USPS) to cherry pick the largest areas of cost savings from FEHBP, which will destabilize the FEHBP and raise costs for federal employees, retirees, and their families. The Office of Personnel Management has estimated that as a result of these provisions, premium increases for employees and retirees remaining in the FEHBP would be 2 percent across the board and could be as high as 35 percent for some plans.
Section 502 would amend the Federal Employees’ Compensation Act to reduce benefits when injured workers reach the Social Security retirement age. Currently, an employee who is injured on the job and unable to work receives FECA payments equal to 67 or 75 percent of wages at the time of injury. Under S.1486, these workers would have their insurance reduced to 50 percent of their former wages. Forcing a worker at retirement age to give up regular FECA benefits earned as a result of an on-the-job injury would cause grave economic hardship to many disabled employees. This was recently documented in a Government Accountability Office report (GAO 13-108) that showed these cuts would negatively impact lower wage workers and those injured early in their work-life.
Section 503 would eliminate the FECA family benefit that provides a modest additional 8 percent of former wages. This is not a complicated program to administer. It does not compensate for the tragic emotional burden a head of household must suffer having lost his or her ability to continue as the breadwinner for his or her children. But it does provide some modest additional payment so former family breadwinners can still provide some material support for their dependents.
In summary, the health insurance provisions of S.1486 will undermine the successful, long- standing Federal Employees Health Benefits Program (FEHBP) and increase costs for millions of federal employees, retirees and their families. These proposed changes are especially problematic given that many federal employees have already been driven to the brink by furloughs and wages that have been stagnant for years. In addition, the draconian FECA provisions are federal government wide and have no place in Postal Service reform legislation.
Sincerely,
National Treasury Employees Union
American Federation of Government Employees
National Active and Retired Federal Employees Association
Federal Employee, Rural Carrier, and Captain Jack all hit the nail on the head right in a row. FERS=NO MONEY, SWEETHART DEALS, AND POLITICAL CORRUPTION. WE ARE DOOMED.
thanks guy’s.. Always keep the good fight going !
WHy don’t they have problems with Obamacare? When Our Plans are considered Cadillac plans and our rates go through the roof and benefits go down. They’ll be crying the blues
@ Agree.
I do not have an attorney now, not in some years. But after my last surgeon lied about what was wrong with me, red flags went up (he lied on saying I had a 10% loss in my ankles, and the same in my knee caps), and I never once complained to him about this, just the nerve damage, which at that time, was minimal, but kept me from standing. But my lawyer at the time, told me I was so screwed by my surgeon (he said this was only the 3rd time he has seen such injustice to someone that has suffered so much from various on the job injuries),
that it was too late to get an outside evaluation, because I just had my 3rd appeal. And since this was all about what my doc had stated in writing, and where that loss of use, had nothing to do with my then, back surgeries, it was not use, and no point in going on. You only get 3 appeals. But then last year, I, for the hell of it, called a federal lawyer I found online on Ohio, he told me it didn’t matter that I had all of these appeals. He stated that when I get back to work, he would get my exactly what I deserve, and not to worry about whatever transpired in my past. WOW, I said. Been off since. But now, I continue to be documented, about my ongoing nerve damage, my right leg giving out (buckles once a month) my shoes an socks having to be off my feet because of the sensitively of my pain issues (in my feet), but as far as that goes, to get money, or if this, or one of these new bills gets passed, if I ever have to take a pay cut, supposedly, I could get a settlement, this is what I have read in one of the bills. But as far going back and forth, between postal dis., and owcp, that is coming to an end, as I see it. People are taking advantage of this, but hey, if you deserve an award, and this is the only way to go about getting what a injured person rightfully should get, then hey, go do it. But for me, I simply do not trust this system, and if I go back to any doc, to do a write-up/evaluation on my worsening from my original injury, I really think I would get a settlement, but then be stuck with, an after tax monthly check of $700/$800 . I simply cannot chance this with my luck, my exp’s, and this very corrupt system, that really favors the faker’s.. You should see my mid-section, I lost whatever attractiveness I had, and look like I was in a roadside bombing, and I am not kidding. What really keeps me positive, and I am for the most part, is our young lads coming back from those 2 disgusting and war-torn countries, that are missing their feet, their hands, eye’s, ears. But you get my point. I think of the absolute shit these young lads will have to endure the rest of their lives, and this gets me in the right frame of mind Marcus.. I hope I said all of this so you and other know how I think, and how honest I am. I do not need to suger-coat, or exaggerate anything. I hope in the end, or I pray in the end, they are just fair to us injured. I am on my back, on the couch, with pillows under my legs, for most of my day, and all those meds, and sleep aids, which are now causing my eye’s to see rainbows when it gets dark, a side effect. No sleeping pills, no sleep. Always something with my injuries, but at least, I can clean myself, I can make a sandwich for lunch, and I can write a letter well, as I not missing those attributes as others do not have a choice in the matter. Thank God for this. So things are not dire in that respect, but I have been most def. stepped on. All of these FAKER’s, whom I have seen at work, who I personally know of, that have taken their award money, and have bought very nice homes, and cars, who are out in the nightclubs dancing and drinking, all of while they are on limited duty, and not light duty. Geeeee ! Imagine that, and our local inspectors have been told of what this one/some person/’s has been doing, and nothing happens to that person/’s, nothing. So, maybe the color of your skin has allot to do with it, because of this cultures race excuse, that more often than not, seems to work. Oh, poor me, your picking on me again, oh poor is me. It seems to work where I use to work. And not one surgery for any of the 11 injured employee’s where I use to work, not one, whereas I had many surgeries, and then I had, on my shift that is, was forced to do 90% of the work, while the other two, were upstairs in the QWL room, sleeping, while I was being picked on to do the work, and with my limitations too, but still they didn’t care about where these other 2 employee’s were, they simply told me not to worry about it. Imagine that !! This, for having surgeries, and them not having one. But I never gave out names when this went on every time I was at work, never. I just told my manager/sup, please get me some help. It came down to they didn’t want me in that rewrap room, and it became a racial thing, because they had this room for years, just those two, but then I was forced to move into this area, and me minding my business, the both of them would go into the tour office, and make up stuff about me, then hear my name get paged into the “general office” on a weekly basis, and all because they wanted me out of this rewrap room. They just didn’t want to share it with another person (I am another color/skin).. Yes, that was very rough on me, because I was never like this, and I had to come into work every night, thinking what is going to happen tonight, what are these two evil and ghetto and nasty employee’s going to say about me now. talk about management creating a hostile work atmosphere, but when you are a certain color, you do get picked on, esp. when your color represents about 10% of the entire workroom total. Jeee, how nice, to try and get back to work, and then to put up with all this racism. And I have a mixed child to boot…I am the last guy that thinks like a racist… Anyway, getting way off the subject, so sorry. But we all have our work place horror stories. But my injuries are so much worse, since my last surgical procedure. Where I use to work, most of the employee’s were making fun of a guy, who had stage 3 cancer, because he was always missing allot of work, so they made fun of him, and he was my friend, well. he died from his cancer 2 years ago, or so, Jeff, rest in peace. But these so called “corn employees”, they could care less what what was wrong with him, because to all I had talked to, he was faking his injuries, just as they have said about me. How nice people can be, how nice.. But here I am getting off subject. Listen, all you corn people, how about having some common decency, and some compassion for other’s injuries.
@ Taw Jackson
I read what you wrote above. It sounds like you have been thru hell, with the surgeries and all. It also sounds like your attorney is not 100% on the ball in regard to getting a scheduled award and what hoops you need to jump thru in order to get this thing resolved. I am sorry to hear all you have gone thru, but you must not get too defeatist about your chances. The wheels of this machine grind slowly. You are in my prayers. Don’t give up – your family is depending on you to be strong.
As far as your brother in law and Capt Jack, if they won’t listen to facts and live in a contorted fantasy world, then it’s the old redneck comedy line – you can’t fix stupid. They may be riding high now, but reality has a way of eventually slapping one in the face. Nothing wrong with voting your pocketbook and your job. Middle class jobs are fast fading. If it continues we will soon be like South American countries – the rich class, the poor class and nothing much in between. That’s when the protests and the riots begin. When you aint got nothing, you got nothing to lose. That’s what Occupy America was all about. People saying enough is enough, and calling out the B.S. for what it is – a rigged system for the priviledged. If we could only get those votes together.
@ Marcus Elder;
Well, right now, I just want to keep what I have rightfully earned. Plus with no scheduled award (no pay on the back), and now that all those surgeries have caused nerve damage to travel down to both feet, and since I am on workers comp, I don’t have the luxury of , at the very least, having my house an car paid off. I will never get any monies, or an award. Can’t get an award until I go back to work (obviously is not going to happen), or go on postal disability, which is only 40%, and as all you fella’s know, for me, it would be about my average high=3 years=$39 grand, then divide this by 12 monthly payments, minus health care, cancel the life ins, minus taxes. Which I estimate would come to about $700 or so, maybe some more. Now under owcp, yes, I continue to be able to keep what we have, but even if my wife lost her job, this would eventually force us to move out west, or to another smaller, less poor town/village. But we are maintaining at this moment. You see Marcus, if I would have gotten anything close to what my lawyer stated, back when I lost the use of my private’s (this can happen when they do surgery through the front of you abdomen), and then, at that time, my nerve damage was starting to get bothersome, I should have gotten enough to pay some major bills most of us have, but you cannot get an award while on owcp, and the postal side, as just explained, still doesn’t make it worthwhile. My postal injury supervisor, told me to go on postal disability, file for an award, then go back on owcp. He says it is legal to do so, and many of his inured workers have done this, all to get what they rightfully deserve. But if I did this, and then you factor in how behind OPM is, then my always very bad luck (i have a black cloud over me), I would probably get stuck in the system, or they would change the laws so when I would request to get back on owcp, the new policy would prohibit me from doing so. Plus it has been more than9 years since my last surgery. I know you can file for a new award, if your condition gets worse, and my family physician just wrote me (finally) a permanent disability document, but after all said and done, I don’t, or can’t go through that stress and paperwork nightmare again. Knowing my luck, they (OPM, or owcp) would tell me, OK Taw, your doctor just put in writing that you are now considered perm disabled, you have to go on postal disability. I do see this happening to all of us eventually, and then, OPM, or owcp, saying all you will be able to get is, your 40% of your average high 3 years, which in my case, was around 39/40 grand, and not nearly enough to even come close to keeping anything we, or I, have. This would be a disaster, but for about 99% of the people who were legit. injured. I know they are going to change it, and to some degree I agree, but only small cut, and then grandfather it in for the existing injured employee’s. Those employee’s that are on owcp, the one’s in their 70/80’s, they have earned anything, as far as a decent salary, so using them as an example, is so in bad taste, and really distorts the reality of those folks. Those older guys (70’s and 80’s injured), what ?, when they were hurt, they were t what salary ?
Most likely they were at, or below, say, about $25 or less thousand a year ? So for those Congress members to use these guys as an example, is way- off base, and shows you that most of those injured folks are most likely struggling in life, to pay their bill. I bet most are living with a family member, and lost they’re houses/cars. But you get my point.
As far as that other guy, I think it is best not respond to folks who have very closed minds. You can explain all the facts to them, and they still will not change their views.
Sorry, but you always vote for the guy’s that are going to keep your job. If a person has no job, he has nothing in life. That is a fact. You always vote for the guy that will support your way of making a living, all other political views, or what his others opinions, or beliefs are, you have to put those aside. My brother in law, he only votes GOP, because of the abortion issue. And I explained to him that this GOP’er, is going to vote against your type of job that he does, and that is ok with you (him). He just looked at me with this stupid expression. I told him (tom), that ok, go ahead and support you belief that abortion is no good, and should be illegal, and then lets see how you feel when this prez cause you to lose your job, and your $75,000 is now gone every year. let’s see if you are forced to support your family working at the local Shell gas station, because your high paying job, your guy just sent those jobs out of the country, and will never be back, lets see how you are going to keep your house, your beemer, your big screen TV. All because you supported this bullshit abortion issue. No, you support the guy that is going to give you the best chance at keeping your job (as in a union job, as vote for the Dem’s), that is, if your a union guy, which I am, which i would never support Romney, nor trust any GOP’er. But again, you get my point. So this guy that wrote all that rhetoric above, he is the type of voter who will always listen to other views, and never make a sound decision on what guy to vote for, will never do any type of research to find out the truth. But, one thing, you always vote for the candidate that will, or you think will not vote to cut your wages, nor benefits, as most GOP’er want to privatize another good paying area of jobs. In fact, many of the GOP, want to privatize all federal jobs, and they could care less about how many have worked these jobs, and have been so loyal to these jobs, just to say, we have to cut our spending. Ahhh, I could go on and on. But in some ways, all this talk about cutting, yes, it makes me feel that things are dire. I shouldn’t have to be forced to move, or sell my house, because of what some lawmakers feel that if your in your 70/80’s, that you have to now take a 50% pay cut. How bout this, actually try and put some common sense thought into this, before you go and pass some new owcp laws, that will cause disastrous effects, and also cause more of some families to be destroyed, and all necessarily…
Obama sure hasn’t stood up for the average working guy, or the middle class as he talked about during his campaign run, and his last presidential run. I never believed he was going to “hope and change” anything. But he has let down the union guy. Hell, even that comment about people’s health insurance, that you cab keep what you have, is turning out to be a bunch of bullshit, and many of the top unions across our country, and now, these last week or so, saying they were SO WRONG in supporting this Obamacare, and wish they never supported him, or this plan. He lied to all of us, in one way or another, and when some of the Dem’s start to turn on this guy, it shows not even his own party trust what comes out of his mouth. People will be paying much more for their monthly premium, and big companies are laying off people, and/or cutting back on hiring, the list goes on.
But all in all, I have to vote for this guy (thank god he will be out in 3 years, but then we have to vote for Hilary, who is a cunt, at the very least, besides a LIAR). because, historically, the DEM’S will support the unions/working man, besides taxing the hell out of us……take care..sorry for the rambling, but that was for the ignorant guy that supports the GOP..and cannot think for himself…..and that is SAD,,
@ Taw jackson
Your observations on Capt Jack are well taken. Def. a GOPer, and probably a racist too (notice he says your boy, in the White House). Also blames Obama for the recession. Let’s review the facts: thanks to no regulation by the SEC and other fed agencies under George W, Wall Street created massive mortgage and investment fraud and brought the US economy to the brink of a financial meltdown similar to the Great Depression of the ,’20s when banks and Wall St previously ran amok. W also trumped up the Iraq War under phony evidence (weapons of mass destruction, mushrooms clouds over American cities) and kept the cost of the war off the federal budget books. Current estimates are that this fiasco currently accounts for over one trillion dollars of the current national debt. Made 14 million unemployed. But you will never hear the GOP or their syncophants like Capt. Jack admit to these facts. An inconvenient truth. Basically, W screwed the pooch, left Obmana a massive shit burger, and said, adious amigos, I’m outta here. Then you have knuckle draggers like Capt Jack trying to blame Obama and the Dems for the mess. These are the same kind of folks that the GOP and Carl Rove get to vote against their own best interests (working class issues) by getting them all riled up about hot button, non-issues like – guns, Defense of Marriage Act and abortion. The real agenda of Carl Rove, the GOP and their hidden financiers, the Koch brothers is to take care of the 1%, the special interests on K St., dismantle public unions (look at what the GOP gov. did in Wisconsin – he basically cancelled collective bargaining. He got big money from the Koch Bros during the recall campaign.) Wake up and smell the coffee. They are aided and abetted by duped people like Capt Jack, and behind their backs, Carl Rove and the rest are all having a good cynical laugh about it. People who will willingly screw themselves and are not even aware they are being played.
As far as workman’s comp reform, I think this was brought on by a recent Senate subcommitte hearing conducted by Sen. Susan Collins of Maine on workman’s comp.benefits for federal employees. They discovered that USPS had carriers in their 70s and 80s still collecting 75% of their pay, tax free. The argument is that OWCP was never intended as a retirement program. I think that’s what triggered the big clammor for reform. The question was, why don’t they just pension these guys off? Not sure how they came up w/ the 50% figure. Like any program, you have some that abuse it and some that legitimately can’t work and need it.There is a lot of fraud in this area. Employees claiming disabilities then getting caught working other jobs. Both craft and supervisors. Don’t know enough about your situation but it sounds dire.
I know the Republicans are no friend to the unions but if you look back we got our best contracts when a Republican was in office. When Clinton was president our economy was strong but I remember there were two years we did not get a raise. We got bonuses instead. The fact is that neither party is going to take anything from the rich and you can not get anything from the non workers or the poor. The only people left are the middle class(the modern day slave).
@ CAP JACK,
yeah, I get your point, but misguided it is ! If you are GOP’er, and work for the PO, or another federal agency, and the GOP got in (Romney and Co.) you would most likely be working for a new privatized post office by now, with fewer benefits. What you do not know, Romney planned on cutting 1/3 of the federal workforce (as Issa wanted to do with one of his postal bills, that went nowhere, because of the Dem’s backing us up), and replacing us with new low paid workers, and I don’t lie. Did you know that Franklin D. Roosevelt did the same thing, back in the late 30’s, he drastically cut the Federal workforce, this to cut the deficit at the time, which was nothing compared to what we have now, even with inflation. I know the Dem’s have not stepped up as they should have at this point, but something is better than nothing, and something in this case is we all are working for contracts that are being honored. But the GOP forces would have thrown us to the dogs. But you seem to only see the bad points. And if you continue to vote/support the GOP, I hope you are the first one to lose your job,(not really) because you will be the first one bitching about being betrayed, and if you cannot see what is happening around you, and you obviously are not, then see what happens when and if the GOP gets control of the Senate. We will all have new, minimum wage/lower paying jobs in the future, at the PO, or McDonald’s….Read a book my friend, and please stop listening to your uneducated buddies opinions…I know it’s bad, but with the GOP looking out for us, their isn’t any future. They are 99% intent on selling the post office, in some way, or another. I hate and despise the Dems, and all of their free programs they have for the lazy, but I will not tolerate good jobs, and one job ,I where I have earned my benefits, to be lost because of folks like you, voting for the other side, who work for the same post office we all do, and seem to think everything we have earned, will stay the same. No, and Sorry, you will take severe cuts in pay, and benefits, by voting GOP, so your loyalty is misguided…Go ahead and vote GOP, but you better vote Dem for your Senator…
please give what I have said here, at least some thought….
With this new cut and slash bill, the cuts of OWCP 50%, when they reach SS eligibility, I am thinking this is just a place to start, and if this particular bill gets through all the hurdles, it may come to be a 10%-20% cut, all said and done, but still would have catastrophic effects on all the people. How about fixing Medicaid some more, and getting more folks back to work, that are faking their injuries, etc, instead of taking these hard line measures. And these so called lawmakers, still do not see any one of these evil congressional leaders, taking pay cuts, or paying for their medical, as the rest of us do.
It’s cut everyone else, and these elected officials, whom do not get injured on their jobs, have no idea of what it is like to get hurt, follow all the procedures one has to when hurt, try to get back to work, and then when you do not get better, or get worse because of all the surgeries one has had to endure, when you know all that you have done, will never get you back to being 100%, or even getting back to returning to work a couple of hours a day, so what do these guys do, they say, cut your pay 50%, and we don’t care if you will be stone broke, nor if you lose that house you have been in for the last 10/15 years, but hey, boy !, go live in Section 8 housing, or move into a 20 grand, shack of a house, you can make it on 20 grand a year, minus health. Forget about your life ins, because at 20 grand (example, where I will be at, or so), you can’t afford to pay that… Now, if I would of recd. a half million or more for all of my injuries, which my old lawyer said, at the very least, the very least I should rec., things wouldn’t be so negative looking at this moment. But I know others have gotten screwed by this system, of not getting any scheduled award/’s. At least at the moment, I am not getting more poor, nor richer. Just even at the moment..
Y’all voted for the boy in the White House. He is happy maintaining the recession he loves. This is what your union told the minions to vote for. If the economy was in decent shape the PO would be too. When ‘the oil man’ y’all did not like left office gas was $1.68 a gallon. How does that $3.50 a gallon gas fit your budget? Y’all still love Obie and the dems… like sheep.
Let’s continue to cut employee benefits so we can give another $18 billion in reduced costs to Valassis and the other junk mailers.
After 30 years in the post office as a FERS employee; mine and of course most other FERS employees pensions will be about $20,000 a year. Then you subtract survivors benefits, medical plan and taxes and you are lucky if you get $12,000 a year. That is our gold plated pension plan that many in congress want to reduce. It is disgusting. I know people that barely worked a day in there life and are getting more than that on public assistance.
@ W C TODD,
EXACTLY…..
The only reason his royal majesty King DONAHOE wants to take the employees and annuitants out of FEHBA is so he can take control of the health care funds. The king has stated that he wants to slash benefits. I can’t help but notice the King and his jesters would be exempt from the new BERNIE MADOFF health plans! It is not about what is right or wrong, fair or unfair, It’s about what people can get away with! To them, That’s all that matters. Not long ago King DONAHOE said that “HE WAS NOT RUNNING A POPULARITY CONTEST” So do you think he cares what he is trying is wrong? As long as the KING has his limousine and executive only gym he will be happy as BOSS HOGG!
@ Darsco,
I don’t even trust these folks. As I said, this 50% reduction (i know it is only talk at the moment), would be a life killer for so many who never had the chance to get their pay up, like me, but who have been hurt while doing their jobs, and followed all the steps/rules/policies, etc, to now have, if passed, a cut so catastrophic, so many would lose their homes, belongings (yes, in some cases), and go have to live in very bad area’s. But you all know, or get my point. Just the talk of this, and I think I read, that this is being sponsored by both a Dem, and a GOP’er. So anything goes in today’s, screw the federal working man, to balance the budget agenda/mindset……
@ Marcus Elder,
Yes, I am aware of all this, and very bad as you have just shared with us. I have said many times before, and as Lee Iaccoca once said to all of the USA companies, back in the 80’s, “if you don’t pay the working man a decent wage, he won’t be able to buy our products”…. Could not be anymore factually correct, than at any other moment in history…but just my thoughts…
At least Darrel Issla’s (?) plan keeps everything the same, and is “grandfathered” in. Or at least that is what I understand. This Issla, is supposedly the richest guy on the Hill..And this man has for the most part, hasn’t had the worries of the average Joe. So disconnected from his constituent’s….
These other, non-Postal federal employee unions figured out pretty quickly what PMG Donahoe’s proposed withdrawal of all employees and retirees into an “independent” health plan is all about, and what impact it would have on the Federal Employee Health Benefits Plan. They are right – it’s a short term, “cherry picking the savings” scheme, that would give USPS unprecedented control over the level of benefits they provide employees (could cut in the future) and allow them to raid the $46 billion that has already been set aside in the kitty for health benefits. Take that money and allow them to invest/gamble it in the stock market rather than in US Treasuries where it currently must be, by law. Or take that money and apply it to other USPS losses. It’s nothing but a short-term, gimmicky money grab that in the process, undermines FEHBP. Some, but not all of the Postal Unions, have come out against this proposal. Why they are not more vociferous about this is beyond me. Wages are set in the contracts, but this is a not too subtle attempt to reduce a benefit that has been around for decades. FEHBP is one of the most successful health programs ever established. There is no need to “fix” it.
I just saw in the news that IBM and several other corporations are now kicking retirees out of their company health plans. Instead, they are just going to give retirees a fixed dollar amount and tell them that they have to go out on some health plan exchange and buy their own health plan coverage. This will be the new trend, just like when IBM dumped their defined benefit pension system and forced everyone into a 401K plan. The accountants like this for two reasons: 1) their costs in this area are now fixed and budgeted to a flat dollar amount and 2) it shifts the risk of rising medical costs to the employee, just like forcing employees into the 401K shifted the investment risk onto the employee. This is similar to what Paul Ryan proposed on Medicare “reform” – retirees get a flat amount and must buy their own insurance. Plan costs went way up? Too bad.Welcome to the ownership society. You are on your own. Isn’t independence and freedom wonderful? All Americans are rugged individualists. I got mine, you get yours. Cue to waving the flag and playing “God Bless America”.
Donahoe has already proposed that he wants to place new employees into a 401K for retirement benefits and that’s it. Wouldn’t surprise me if USPS jumps onto this new trend – here’s a lump sum, go buy your own health plan, next. They will claim they are only following the “best practices” in the private sector. Many took jobs in the federal sector because although the pay for comparable jobs was not as good as in the private sector, the stability was good and the benefits were good. Now, they are taking away that one plus. Then they wonder why they can’t attract young, bright kids into federal agencies? Congress does nothing but dump on fed employees as their new whipping boy. Freeze pay for 3 years, undermine their benefits, sequestration layoffs… The sense of decency has gone out the window. It seemstThe only thing this Congress can agree to other than gridlock is how to stick it to federal employees. Obama talks the talk, but doesn’t walk the walk, when it comes to federal employees.
taw the Gop cannot do that to you unless DEM’s help them
Are you kidding me ? I was disabled in 2004, and my wages, if cut by 50%, would have much more than catastrophic effect on me and my family. My high 3 average is somewhere in the mid 30 grand figure, and because of past years call-ins from my now permanent injury, would leave me with a poverty defined check every 30 days, or 28, if they keep it as it is now. These GOP members are just killing us inured workers, and I would like to see them make it on, half of their pay. I will be unable to pay my mortgage, be forced to move to another even poorer state, and because of these careless GOP congressional members, who have no guilt on what they are about to do to many of us, will leave so many destitute, emotionally and physically. I am in more pain now, worrying/thinking about how all of this will come out. I have not been able to save, my SS is basically nothing, since I have not worked in so many years, no savings to speak of, etc..etc.. How about cutting back on all the money given to other countries, and other programs that are out of date, and need fixing. This better be “grandfathered” or their will be hell to pay for these actions… Congress is so evil. I am legitimately hurt, and I should not have to suffer because of my injuries, or more than I am suffering now.. I am sure of one thing here, people will post now on how everyone that is on OWCP, is faking… For me, I’ll show you all of my front and back surgical scars, and my then all of my nerve damage that I have from my waist, down both legs, and to the tips of both of my feet. Can’t even keep my shoes on for any length of time. Yeah, I am faking !!!
The USPS is looking cost reduction and healthcare cost are one of their targets.