| All over the country, employers and unions are struggling with rising health care costs.
FMCS mediators have been working diligently with labor and management to assist them in achieving collective bargaining settlements that address health care costs. Using “best practices” in health care bargaining, FMCS has helped labor and management achieve the best possible settlement for companies and their unionized employees.
We support best practices in health care bargaining through:
- Early Intervention
- Information Exchange
- Promotion of Quality Health Care
- Joint Labor-Management Efforts
By applying these best practices, FMCS has facilitated collective bargaining negotiations and assisted the parties achieve “win-win” solutions.
In one case, a company proposed a high deductible plan where employees previously enjoyed no contributions and no deductible. The union recognized that, in today’s environment, employees might have to contribute some dollar amount toward health care costs, but resisted paying a portion of the premium. FMCS worked with the parties to craft a creative settlement: the parties agreed to a higher deductible plan, with employees paying the first $250 of the deductible and the company agreeing to incur all costs over that amount. It was a win-win situation for all. The employer achieved its goal of moving to a high deductible plan and encouraging employees to become more involved in health care decisions while the union achieved its goal of paying only a fixed deductible.
In another difficult case, a company faced with rising health care costs year after year was concerned about absorbing new increases during the upcoming contract period. The union also was unwilling for its members to absorb health care insurance increases. With FMCS help, the parties agreed to a reopener clause—if health insurance costs rise above a certain percentage, the increase would trigger an obligation of both parties to meet and discuss plan changes to reduce costs. If the parties are unable to agree to a resolution, the contract provides for fact finding or interest arbitration.
On the subject of quality heath care outcomes, we have seen employers from all sectors of the economy using disease management programs to ensure better medical care outcomes. In one case, a school district utilized a disease management company and thereby realized substantial savings on medical costs. The disease management company built an employee health database with medical history information provided voluntarily by employees. Using nurse practitioners, the disease management company then ensured that the right kind of care was properly coordinated and provided to employee patients. To encourage employee participation in the disease management plan, employees were incentivized by having lower co-pays for enrolling in the disease management company program. The disease management company was only paid by the school district when health care plan costs were successfully reduced.
Recognizing the importance of labor-management cooperation and information sharing on the topic of health care, the Ohio Public Sector Labor-Management Health Care Benefits Committee utilized a grant from the FMCS to develop a Web cast to share their instructional model for health insurance committee training and development with other labor-management groups that are wrestling with the health care benefits issue. Click here to watch the video. To learn more about the Ohio Public Sector Labor-Management Health Care Benefits Committee training program for labor-management health care committees, visit the group's Web site at HealthLMC.org.
These are but a few examples of how FMCS can help you. When it comes to health care, let us help you:
- Identify the problem
- Communicate the issues to one another
- Facilitate information exchange, and
- Convene the parties to review and analyze your options
To locate an FMCS mediator near you, click here.
|
