CWA District 1 Statement on Senate’s Special Work Group for Fixing the State Health Benefits Plan

Trenton, NJ - CWA District 1 Vice President Dennis G. Trainor released the following statement in response to the Senate’s announcement of special Senate work group to bring together Senate leadership overseeing the State Health Benefits Program:

“New Jersey’s public employee health plan is in crisis, and the FY2026 budget made things worse. The $100 million cut to the State Health Benefits Plan (SHBP) trampled collective bargaining agreements and shifted costs onto workers and retirees - just as a flawed rate-setting process imposed another round of double-digit premium increases. Meanwhile, skyrocketing prescription drug costs and the Administration’s refusal to implement common-sense cost controls continue to drive up costs.

The problem isn’t just the numbers, it’s the lack of accountability. The SHBP is plagued by poor administration, zero transparency, and no voice for the workers who use and pay for it. A5903, legislation introduced by Assemblymember Verrelli, is an important part of the solution: it reforms the SHBP governance structure to include labor and local government voices, requires transparency from carriers and pharmacy benefit managers, and ensures local governments have affordable plan options tied to wages, not unpredictable premiums. We look forward to the Senate introducing similar legislation.

CWA and our allies are ready to fix this urgently. If the Administration had implemented even half of the cost-saving proposals advanced by the SHBC and Plan Design Committee, we wouldn’t be in this mess. And the long-term fix must include Reference-Based Pricing to rein in costs permanently. We’re ready to meet anytime, anywhere to make this right.”

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About CWA: The Communications Workers of America represents working people in public service, telecommunications, customer service, media, airlines, health care, and education, manufacturing, tech, and other fields.

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