Health Care Re-Opener at Johnstown Saves Workers & Company Big Bucks at CNHI's Johnstown Tribune-Democrat

The talks opened in late 2007 with CNHI (Community Newspaper Holding Inc.) demanding that the unit come into a corporate plan that would have embarrassed a sweatshop, noted PPMWS Staff Representative Dan Wasser.
"The deductibles were ridiculous and the coverage was unacceptable. Management initially said that was their only choice," he added. He described the premiums
as "off the charts."
Under the company plan, premiums for 2008 would have been almost $1,000 a month at the high endÑfor a family with children and close to $400 a month for a single individual--with the employee paying one-third of the monthly premium.
The union bargaining team countered with a different option. "What if we could come in with a different plan that would give us better coverage and save the company money, too?" they asked.
Wasser said management initially said no. "It was the company plan or nothing," Wasser explained. However, in subsequent meetings, lawyers from CNHI began to soften--Wasser believes it was the prospect of saving $35,000 a year on the company portion of premiums.
The final agreement switched coverage to a Blue Cross Paid Provider Option network plan that provides blue chip coverage and cut employee premium payments drastically--by as much as two-thirds for many employees. Employees experienced a slight increase in their cost-sharing requirement--ranging from $13 a month on the low end to $33 a month on the high end. However, Wasser noted, "The costs they save with the new plan more than offset the increase."