Testimony of
Gloria Middleton, President
New York Administrative Employees
Local 1180
Communications Workers of America,
AFL-CIO
Council Committee on Civil Service and Labor
Hearing on Int. 0874-2023
Health Insurance Coverage for City Employees,
City Retirees, and Their Dependents
Monday, Jan. 9, 2023
Good morning/afternoon Committee Chair De La Rosa, Council Member Ayala, committee members, and all City Council members.
My name is Gloria Middleton. I am President of Communications Workers of America, Local 1180. We represent almost 9,000 active City administrative workers, and close to 7,000 retirees, which is why I am here today speaking out in favor of legislation that allows Administrative Code 12-126 to be amended.
As you know, the Municipal Labor Committee has a long history of bargaining on behalf of all unions regarding health care issues for active and retired city workers. In order to fulfill our duty to ensure the City’s health care plans meet the needs of both our members and our retirees, the MLC has been working with the City nonstop since 2014 to reach savings that keep the Stabilization Fund afloat.
To generate savings, the MLC negotiated the Medicare Advantage Plus Plan for retirees that provides for equal or better benefits and qualifies for federal subsidies needed to reduce the current $600 million health care deficit that is rising daily.
The proposed Medicare Advantage Plan will replace both traditional Medicare and a Medicare Supplement plan with one unified program at no premium cost to retirees or to the City. This plan would provide all the health care services previously covered by original Medicare, and those supplemented by the Senior Care program, while also adding important new benefits not covered by the current Senior Care plan.
The proposed Medicare Advantage Plan is not a limited network or HMO-type plan, but rather an extended service area plan. This means our retirees can utilize ANY doctor nationally that accepts payment from Aetna at the Medicare-allowable rate – even if they are not in Aetna’s network.
The arbitrator dealing with disputes regarding the health savings agreement has ruled that the City MUST move forward with a Medicare Advantage Plan to achieve savings. In its decision, the court ruled that the City is NOT required to offer Senior Care or any other similar plan. That means the Medicare Advantage Plan will be the ONLY PLAN available for retirees and eliminates all options.
This is NOT what we want.
We want to make sure our retirees have options, but we cannot do that without your support. Unless this City Council acts NOW to pass legislation that will allow for amending Administrative Code 12-126 – and supports the MLC in negotiating health care benefits for retirees – they will lose their freedom of choice in selecting a health care plan. Let me repeat – ALLoptions will be eliminated.
It is IMPERATIVE for this City Council to act responsibly and allow labor leaders to engage in negotiations that ensure our retirees have the freedom to choose a plan that best works for them.
Local 1180 and CWA wholeheartedly support Int 0874-2023 to amend the Administrative Code … and we are asking for you to do the same.