INCREMENTS UPDATE: GOVERNOR CHRISTIE TRIES TO STALL

ON AUGUST 2, THE SUPREME COURT RULED THAT INCREMENTS CANNOT BE UNILATERALLY STOPPED AND THAT INCREMENT CASES ARE GRIEVABLE AND ARBITRABLE. 

 GOVERNOR CHRISTIE TRIES TO STALL

On August 2, the Supreme Court issued its decision on the “increments” cases in Atlantic County and Bridgewater.  In these cases, the employers denied increments after expiration.  The State of New Jersey, Judiciary, and other employers have relied upon the decision of the Public Employee Relations Commission (PERC) to deny payments of our increments.

The Appellate Court overturned PERC, and the employers appealed to the Supreme Court. PERC, Atlantic County, Bridgewater and the Christie Administration LOST.  The Supreme Court UNANIMOUSLY AFFIRMED the Appellate Court’s judgment in Atlantic and Bridgewater and the Court specifically ruled that the denial of increments is grievable and can be arbitrated.  (CWA’s attorney explained this in detail on a Town Hall call.  If you did not join the call, you can listen to the full explanation here: http://cwanj.org/listen-increment-decision-tele-town-hall/)

Once the Court made its decision, CWA moved for our grievances on increments to be moved to arbitration.  One of our grievances is against the State Judiciary’s denial of increments for the PNCR Judiciary unit (Judiciary units that are part of the JCAU have a third grievance on the issue that is moving through its contractual process) and one of our grievances is against the Executive Branch’s (Christie’s) denial of increments. The Judiciary — the Department headed by the Chief Justice of the Supreme Court — immediately agreed to schedule the arbitration case and the arbitration hearing took place on August 24, 2017. Now the parties will file briefs and there is likely to be a decision sometime in November.

But – in the case of the Executive Branch – before we could even write to the Governor demanding our increments be paid, Governor Christie wrote to PERC and demanded that the same Agency that just LOST the Supreme Court Case, “scope” the Executive Branch grievance and find it to not be arbitrable – even though the Supreme Court already ruled these cases to be grievable and arbitrable. 

CWA has demanded that the Executive Branch case be arbitrated.  We will take all necessary actions to force the legal case forward.  When we win, increments will be retroactively paid, as required under the Contract and by law.

We all know what this Governor is like. He will be walking out the door on January 9 and still thinking up ways to screw workers and the public.

We do not believe that this matter will be resolved before the end of Christie’s term. We think that the mean-spirited and arrogant Christie is stalling to try to save face and to try to leave more of his mess in the lap of the next Governor.

At the end of the day, however, he will be gone, we will be here, we will get our increments and we will get a Contract that protects our language and our rights and that is better than it would have been had we caved. 

Thank you for your continued patience and support. 

 CWA STRONG. 

Victory! Sept. 1st pay day due to shutdown

Below is information from the State regarding payment for the state shutdown on July 1, 2, and 3:

  • Pay for the shutdown furlough will be issued in a supplemental check on payroll date R, which is September 1. Taxes will be deducted as normal, but other deductions (healthcare, pension, union dues) were already charged in the prior 9-day pay covering the shutdown period.
  • Overtime will be recalculated for the period of the shutdown for eligible employees.
  • Non-essential employees who were placed in no-pay status during the shutdown will be paid for the furlough time. This will be paid by the state, not charged to benefit time.
  • Employees who would have been on FMLA, State Family Leave and/or unpaid leave of absence even if the State had not shut down, including unpaid voluntary furloughs, will have time sheet adjusted accordingly to reflect that leave.

0% Increase in SHBP Rates for 1/1/18 for Actives; Retiree Rates FALL; New PBM 1/1/18

0% Increase in SHBP Rates for 1/1/18 for Actives; Retiree Rates FALL; New PBM 1/1/18

No Change in Rates for Active Members; Retiree Rates Go Down
   Effective January 1, 2018 there will be no increase in premiums for any active state or local government workers that are in the State Health Benefit Plan.  

   Premium rates for local government early retirees will go down by 2.3%; rates for local government  Medicare retirees will go down 6.2%.

Premium rates for state early retirees will fall 4.4% and the rates for Medicare retirees go down 6.3%.

One Small Plan Design Change for 2018
   Active local and state workers will see no change in plan design.   The only plan design change for 2018 is that the retiree prescription drug copay for mail order brand drugs will fall from $33 to 28.

Incentives for Choosing a Tiered Network Plan Continue
   The incentive program for those newly choosing a tiered network plan (Aetna Liberty or Horizon Omnia) will continue for plan year 2018.   New employees and employees changing coverage due to a life event will now be able to participate in the incentive program.

The incentives vary depending on level of coverage: Single-coverage employees receive $1,000; Member/Spouse or Parent/Child-covered employees receive $1,250; and Family-covered employees receive $2,000. This incentive is paid by gift card within the first quarter of Plan Year 2017, and is deemed reportable income for tax purposes.

New Prescription Drug Manager
   Effective 1/1/18 OptumRx will replace Express Scripts as the vendor operating the SHBP prescription drug program.

The new vendor was chosen through a reverse on-line auction – a union initiative developed by CWA, AFT, and NJEA with the help of the national union-based health coalition,  America’s Agenda.
We anticipated the reverse on-line auction would produce overall drug savings of 8 to 10% but it looks like the savings will be closer to 12%.  It’s a major factor in the lack of rate increases for active employees and fall in rates for retirees.
It’s estimated that about ten percent of drugs currently on the Express Scripts formulary will not be on the OPTUM formularies.
We will be meeting in the near future with OPTUMRx to ensure a smooth transition.

State Surpluses Mean State Members Pay Too Much
   The active state worker part of SHBP saw large surpluses of $121 million in 2016 and $101 million projected for 2017.    The surpluses were because claims were 5 to 8% less than projected by Aon.
Normally surpluses are good news but in this case it means 91,000 state workers probably paid $40 to $50 million more in premium share than they needed to over the two year period.
That’s because once premiums are set for the year that determines the amount  members pay in premium share but it does not determine the amount the state pays.   The states simply pays for the amount of claims and other expenses not covered by our members premium share.

When there are surpluses in the state plan, it means members pay more than they need to because the premiums have been set too high but the state pays less.

Stay tuned, the Union side of the Plan Design Committee will be pursuing this issue further.

Important update regarding increment decision

Today, the Supreme Court unanimously upheld the Appellate Court’s judgment in the Atlantic and Bridgewater cases. The Court ruled that the New Jersey Public Employment Relations Commission (PERC), Atlantic County, and Bridgewater overstepped in unilaterally denying workers in Atlantic and Bridgewater their salary increments after Contract expiration.

The Christie Administration used the Atlantic and Bridgewater cases to deny State Workers their increments, despite the more than 40 years of precedent, past practice and custom of continuing increments.
We hope that the Administration and all New Jersey public employers will now restore the increments and follow a law that has existed since 1975. However, if they do not, (and we expect that the Christie Administration will not immediately pay the increments) today’s decision makes clear we have the legal tools to restore the increments, including a grievance that we filed and that has been held pending this decision.

Below you will find a more detailed analysis of the Supreme Court decision and notice of a Town Hall Call that will take place on Monday, August 7, 2017 at 7 p.m. We will provide a full legal analysis and explanation of next steps on that call.

In Solidarity,

Hetty Rosenstein
CWA NJ Director

P.S. As you know, the Governor signed the back pay legislation and we will be paid. We are awaiting a date for payment from Centralized Payroll. We will get that information to you as soon as we have it.

SUPREME COURT RULES THAT INCREMENTS CANNOT BE UNILATERALLY STOPPED

Today, the Supreme Court issued its decision on the “increments” cases in Atlantic County and Bridgewater. In these cases, the employers denied increments after expiration. The State of New Jersey, Judiciary and other employers have relied upon PERC’s decisions to deny payments of our increments. The Appellate Court overturned PERC, and the employers appealed to the Supreme Court. PERC, Atlantic County, Bridgewater and the Christie Administration LOST.

The Supreme Court UNANIMOUSLY AFFIRMED the Appellate Court’s judgment in Atlantic and Bridgewater. The Court ruled that the denial of increments is grievable and can be arbitrated. This is very good. It is not perfect, however, because the Court felt it didn’t need to rule on every issue and we may find that the Christie Administration will still try to withhold increments. If that happens, we will have to use this decision and the Appellate Division decision to further challenge the withholding of increments.

Please carefully read the explanation below.

The Appellate Court overturned PERC’s decision eliminating increments post expiration in Atlantic and Bridgewater. (The State of New Jersey relied upon PERC’s decision to not pay our increments.)
The Court said that increments are a mandatory subject of negotiations and parties can agree to have them continue, or sunset, after contract expiration.

If the employer denies salary increments- it is grievable and arbitrable. CWA filed grievances on this when increments were first denied. The grievances were held in abeyance waiting the Supreme Court decision.

The Appellate Division held that increments must continue as part of the “dynamic status quo” even where the contract does not specifically address whether they are paid after expiration. The Supreme Court affirms that increments must be paid if the contract explicitly states this or if it states that all terms and conditions of employment continue. The Court chose to not specifically address what happens if the contract language is not specific, but did not overturn the analysis of the Appellate Division. The Supreme Court’s decision not to reach that question just means that it reserves the right to consider the issue in another case. In the meantime, the highest court decision addressing a public employer’s obligation to pay automatic increments, says that the increments must be paid.

We have a very clear history that our increments are automatic. We have refused language last Contract that would have required that increments “sunset.” We have also rejected the language accepted by other unions that increments are “frozen” after expiration. The language that we have was found to meet the conditions of an automatic increment system that must be continued under the dynamic status quo doctrine. In other words, we have good language and both the “past practices” and “custom” that the Supreme Court said would guide any future decisions.

What does this mean? It means that the Supreme Court overturned the PERC decision that the State relied upon to deny us increments and to block arbitration our grievance. With this Administration, we have learned to expect the worst and they may continue to delay or refuse to pay us our negotiated increments. We may not be paid immediately based on this decision because of the issues left unaddressed. However, the decision gives us a good foundation for our contractual challenge and we are exploring other options as well.

We will hold a Town Hall Call with all of our members on
MONDAY, AUGUST 7 at 7:00PM.

TEXT the word STEPS to the phone number 69866
using your cell phone to be added to the call.

On Monday, CWA will call you directly as the Town Hall starts— just pick up the phone to listen in.

You can also join the call on Monday by dialing 855-269-4484 by 6:55pm.

In addition, the Bargaining Committee and the Mobilization Committee are meeting this week to discuss next steps with Contract negotiations and mobilization.

CWA New Jersey
102 South Warren St.
Trenton, NJ 08608
cwanj.org

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Important Updates

Brothers and Sisters,

Two very important updates we received today on back pay and increments.

1) Governor Christie has signed the bill requiring back pay for state workers furloughed on July 1, 2, and 3. CWA will be in contact with the Department of Treasury and centralized payroll to get an answer as to when our members will be paid.

2) The New Jersey Supreme Court will be releasing its decision on the increments case tomorrow morning—Wednesday, August 2. Here’s what you can expect:

Following the release of the decision, we will issue a statement informing members of the Court’s decision. Depending on how complex the Court’s decision is, we will need some time for our lawyers to review it and understand it. As soon as our lawyers have reviewed the decision and provided an analysis, we send out a notice to members via email and our website. We will also announce a date and time for a Tele-Town Hall where you will hear directly from our lawyer and leadership, and hear our next steps.

CWA will keep you up to date as to what is going on. We will be communicating with members via our website, email, social media and text message.

Here’s how to stay informed:

– Check the website for updates: cwanj.org
– Sign up for robo-calls and tele-town hall calls at: http://cwanj.org/signup
– Get on our text list: Text the word STEPS to the phone number 69866

In Solidarity,
Hetty Rosenstein
CWA NJ Area Director

CWA Sues Christie for Moving IT Jobs

CWA Sues Christie for Moving IT Jobs

General Membership Meeting July 20, 2017

CWA Fight for Pay Day of Action!

CWA TAKES LEGAL ACTION AGAINST THE CHRISTIE ADMINISTRATION FOR INVOLUNTARY FURLOUGHS

On Friday, July 7, CWA filed a Grievance with the Office of Employee Relations (OER) and an Unfair Labor Practice (ULP) charge with the Public Employee Relations Commission (PERC) regarding July 1, 2, 3, 2017 involuntary furloughs of CWA executive branch employees and judicial branch employees as a result of the state shutdown.

Click the link to view the grievance filed by CWA and Unfair Labor Practice (ULP) on behalf of our members.

CWA TAKES LEGAL ACTION AGAINST THE CHRISTIE ADMINISTRATION FOR INVOLUNTARY FURLOUGHS

Update on State Shutdown

Attention CWA Members.

Here is the shutdown pay situation as of 7/7/2017.

Even though Workers were paid for the shut down during Corzine and Federal workers have been paid during the budget shutdown, Chris Christie is refusing to pay anyone who was not an essential employee.

CWA has covered all legal bases— We have filed a Grievance and an Unfair Labor Practice already.

Both the Speaker of the Assembly and the Senate President are bringing the legislature back next week to vote on a bill that will require the Governor to pay us.

On Thursday, there will be demonstrations, a press event, and rallies throughout the state. Your Local will be in touch with you to let you know how to participate.

Human Resources gave people information as to how to file for unemployment. It is fine if you did, but only workers who lost 2 or 3 days have any chance of getting even a small amount of unemployment insurance. The real answer is to get everyone paid for the day— and that is what we are going to do.

We organize. When we fight – we win.

We will keep you updated.