Teachers union files grievance over Scranton insurance discussion

Aug. 12--Scranton teachers want the school district to save money on health care -- but not without their input.

The Scranton Federation of Teachers filed a grievance Thursday, accusing the district of violating the union contract this week when the board heard a pitch and discussed changing insurance administrators without notifying the union first. The board discussed voting on the change as early as next month.

The contract for the more than 800 teachers requires the district to notify the union "at the earliest date" it begins considering changing insurance plans. If the district wants to change plans in the middle of a contract, the new plan must be equivalent to or better than the original. The teachers contract expires in August 2017.

During a budget and finance committee meeting Tuesday, directors received a pitch from Continental Benefits, which could serve as health care administrator instead of Highmark. Continental Benefits would negotiate prices, look at reimbursement rates and find errors in billing, representatives said. The district, which is self-insured, could save at least $3 million the first year, according to the company. After the pitch, the board asked the Florida-based company for a formal proposal.

Nearly 1,200 district employees have either individual, spouse or family health insurance coverage.

No one from the public or union attended Tuesday night's meeting, and Rosemary Boland, president of the union, said no one contacted her in advance of the discussion. School directors, citing the district's more than $18.9 million general fund deficit, are searching for ways to save money as the 2017 budgeting process begins.

Board President Bob Sheridan said he and other directors are looking over information from the company. More discussion is planned for the board's work session, scheduled for Aug. 29 at 7 p.m. at the Administration Building.

"If it's that good of a package and saves us money and benefits all of the employees ... then it's a good thing," Mr. Sheridan said.

The board president promised to sit down with officials from not only the teachers union, but also the clerical and maintenance workers union, before the board considers a vote. Mr. Sheridan said Continental Benefits approached Bob Lesh, chairman of the budget and finance committee. Mr. Lesh then arranged the group's attendance at the meeting. Efforts to reach him were unsuccessful Thursday.

Before additional discussion by the board, the district's insurance committee, comprised of employees and representatives from district unions, needs to meet, Ms. Boland said. The committee last convened six years ago. The teachers contract calls for the committee to be involved with finding ways to control and cut costs.

The grievance filed Thursday should halt any further discussion on health care until the union becomes involved, Ms. Boland said.

"I hope they realize they made an error and convene the committee," she said.

Contact writer: [email protected], @hofiushallTT on Twitter

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