New Jersey Assembly Bill A1131

New Jersey 2022-2023 Regular Session

• Introduced: 1/11/22
• Refer: 1/11/22

Caption

Requires election by certain public employees of certain health care benefit plans; prohibits payments by public employers for waiver of such plans.

Impact

The bill alters existing healthcare benefits laws for public employees, specifically amending Title 18A and Title 52 of the New Jersey Statutes. It prohibits payments or benefits from public employers to employees who opt to waive their entitlement to coverage, ensuring that no unnecessary outflows of public funds occur when employees choose not to participate in the health plans. This change intends to contain and control costs associated with government-sponsored employee healthcare programs, potentially resulting in significant savings for public agencies.

Summary

Bill A1131, sponsored by Assemblymen Christopher P. DePhillips and Craig J. Coughlin, addresses healthcare benefit coverage for public employees in New Jersey. It requires that if both an employee and their spouse work as public employees and are eligible for healthcare benefits, the spouse cannot receive benefits from their employer; rather the employee with the higher salary must choose coverage from their employer. This reform is aimed at streamlining the healthcare coverage process within public employment in the state by preventing dual coverage for spouses who work in similar public sectors.

Contention

Notable points of contention surrounding A1131 center on its implications for collective bargaining rights. The measure states that the decision to allow employees to waive healthcare coverage will not be subject to collective bargaining, a point criticized by unions and employee advocates. These groups argue that the bill undermines negotiated benefits, particularly for public employees, compromising their ability to make informed choices about healthcare options and possibly leading to adverse effects on employee morale and retention.