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Updated: 10:50 PM Aug 30, 2010
City & Employee Unions Working on Health Care Settlement
Channel 6 News has learned that attorneys representing the City of Omaha and attorneys representing retirees are working on a deal that would keep a federal judge from settling the issue.
Posted: 10:49 PM Aug 30, 2010Reporter: Brian Mastre Email Address: sixonline@wowt.com |
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Channel 6 News has learned that attorneys representing the City of Omaha and attorneys representing city retirees are working on a deal that would keep a federal judge from settling the issue.
Both sides were expected to file briefs on Monday with Judge Joseph Bataillon but that hadn't happened because of the negotiations between the two parties.
"They're working on a deal," said Ron Gerard, communications director for Mayor Jim Suttle.
The city council agreed with the plan from Human Resources Director Richard O'Gara of charging city retirees more for health care as a cost-savings measure for Omaha.
84% of city retirees don't pay anything for health insurance.
The employee unions argued that the city could not change the rules after a contract had been signed and that health care was a negotiated benefit.
The city argued that the contracts promised retirees health care -- not free health care.
The mayor's office estimates an annual savings of $4-million.
Judge Bataillon issued an injunction preventing the changes from taking effect until the courts settled the issue.
Gerard tells Channel 6 News an agreement could be announced as early as Tuesday.
