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Dillon fights back on benefits reform


By John Bebow - November 5, 2009

Pummeled by employee groups and some prominent budget experts, House Speaker Andy Dillon isn't backing off his contention that a statewide public employee benefits plan can save taxpayers $700-900 million per year while ensuring solid health care coverage for public workers.

Dillon's latest salvo came at the Crain's Detroit Business Health Care Leadership Summit. Read his presentation here. Highlights:

Critics argue Dillon has vastly overstated the savings his plan would offer by pooling employees. Dillon maintains that a statewide pool would over big bargaining leverage in contract negotiations with insurance providers, in part because many local government workers not currently in pools would be joined together.

Critics argue Dillon's plan will violate local collective bargaining. Dillon contends the plan is responsive to unions and will retain employee voice in picking coverages.

Critics argue Dillon's plan puts the cart before the horse — the state should wait for a federal health care solution.  Dillon contends that federal health care reform will have little to do with the kinds of employer-sponsored benefits reforms he proposes.

One Comment

  1. Chip Bliem
    Posted November 5, 2009 at 12:26 pm | Permalink

    A lot of assumptions and charts. Is he willing to be in his health care plan? We shouldn't pay for any elected officals health care or retirement plans any more. It's time for them to pay their own freight.

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