Anonymous said:
UC Gives 'Thumbs Down' to Lab Health Care Petitioners
From Independent News
The University of California has effectively said “no” to petitions signed by more than 500 Livermore Lab retirees requesting reinstatement to the UC medical programs that covered them when they retired.
“I understand your concerns with losing UC coverage when the Laboratory contract was changed at the end of 2007, wrote Katherine Lapp, executive vice president for business operations at the University, in a message to a number of the petitioners. “However, UC employees do not have a vested right to retiree healthcare benefits.” She noted that benefits had always been subject to change or termination at any time.
The Laboratory retirees who submitted the petitions were once UC employees who had the University’s group health coverage plans under a succession of contracts that lasted more than 50 years. Beginning in 2008, the new contractor, Lawrence Livermore National Security, used a health consulting firm and an insurance broker to move most retirees out of group insurance into individual plans that stand to become less secure and more expensive as retirees age.
The exception to date is Kaiser, which covers nearly 40 percent of Lab retirees in group plans very much like those that existed prior to 2008. Kaiser coverage is predicted to be shifted to the new system at year’s end in a move whose details have not yet been announced.
The complaints of retirees have fallen into several categories that contrast sharply with their favorable memories of the University’s reliable, easy to understand programs. One major complaint has been that poor service and communication have meant confusing administrative changes, unfamiliar plans, delays in reimbursement and even dropped coverage. Another is that being moved out of group plans into individual ones appears to set retirees up for future cost increases and possible insurance cancellation as they age and develop the inevitable medical burdens of later life.
And finally, on a personal basis, many retirees express anger that a company they never worked for – Lawrence Livermore National Security – is now defining their health care options.
At the most senior level, UC President Mark Yudoff asked that the organizer of the retiree petitions communicate in future with the UC Office of General Counsel. The organizer is Joe Requa, who formed the Livermore Retiree Group to deal with the health care issue and has seen an enthusiastic response from retirees.
For her part, UC Vice President Lapp cited a booklet called Your Group Insurance Plans. She said that the booklet makes it clear that “the benefits of all employees, retirees and plan beneficiaries are subject to change or termination at the time of contract renewal or at any other time by the University or other governing authorities."
While several retirees said they had no memory of such a warning, it exists and can be found in the fine print of UC publications, including “New Dimensions,” which is mailed periodically to retiree homes.
For example, the New Dimensions of Winter 2001 reads, "The University intends to continue the benefits described here indefinitely; however, the benefits of all employees, annuitants and plan beneficiaries are subject to change or termination at the time of contract renewal or at any other time by the University or other governing authorities. The University reserves the right to change the premiums and employer contributions at any time."
At the time The Independent went to press, retiree organizations had not responded formally to the University’s communication. Livermore Retiree Group leader Joe Requa said that his organization is preparing communications with UC Office of General Counsel as requested by President Yudoff. He also said his group is willing to press forward with legal action if necessary.
----------------------------
Does this effort have a chance?
What can be done to help?
June 22, 2009 7:36 AM
UC Gives 'Thumbs Down' to Lab Health Care Petitioners
From Independent News
The University of California has effectively said “no” to petitions signed by more than 500 Livermore Lab retirees requesting reinstatement to the UC medical programs that covered them when they retired.
“I understand your concerns with losing UC coverage when the Laboratory contract was changed at the end of 2007, wrote Katherine Lapp, executive vice president for business operations at the University, in a message to a number of the petitioners. “However, UC employees do not have a vested right to retiree healthcare benefits.” She noted that benefits had always been subject to change or termination at any time.
The Laboratory retirees who submitted the petitions were once UC employees who had the University’s group health coverage plans under a succession of contracts that lasted more than 50 years. Beginning in 2008, the new contractor, Lawrence Livermore National Security, used a health consulting firm and an insurance broker to move most retirees out of group insurance into individual plans that stand to become less secure and more expensive as retirees age.
The exception to date is Kaiser, which covers nearly 40 percent of Lab retirees in group plans very much like those that existed prior to 2008. Kaiser coverage is predicted to be shifted to the new system at year’s end in a move whose details have not yet been announced.
The complaints of retirees have fallen into several categories that contrast sharply with their favorable memories of the University’s reliable, easy to understand programs. One major complaint has been that poor service and communication have meant confusing administrative changes, unfamiliar plans, delays in reimbursement and even dropped coverage. Another is that being moved out of group plans into individual ones appears to set retirees up for future cost increases and possible insurance cancellation as they age and develop the inevitable medical burdens of later life.
And finally, on a personal basis, many retirees express anger that a company they never worked for – Lawrence Livermore National Security – is now defining their health care options.
At the most senior level, UC President Mark Yudoff asked that the organizer of the retiree petitions communicate in future with the UC Office of General Counsel. The organizer is Joe Requa, who formed the Livermore Retiree Group to deal with the health care issue and has seen an enthusiastic response from retirees.
For her part, UC Vice President Lapp cited a booklet called Your Group Insurance Plans. She said that the booklet makes it clear that “the benefits of all employees, retirees and plan beneficiaries are subject to change or termination at the time of contract renewal or at any other time by the University or other governing authorities."
While several retirees said they had no memory of such a warning, it exists and can be found in the fine print of UC publications, including “New Dimensions,” which is mailed periodically to retiree homes.
For example, the New Dimensions of Winter 2001 reads, "The University intends to continue the benefits described here indefinitely; however, the benefits of all employees, annuitants and plan beneficiaries are subject to change or termination at the time of contract renewal or at any other time by the University or other governing authorities. The University reserves the right to change the premiums and employer contributions at any time."
At the time The Independent went to press, retiree organizations had not responded formally to the University’s communication. Livermore Retiree Group leader Joe Requa said that his organization is preparing communications with UC Office of General Counsel as requested by President Yudoff. He also said his group is willing to press forward with legal action if necessary.
----------------------------
Does this effort have a chance?
What can be done to help?
June 22, 2009 7:36 AM
Comments
You know you can go to the PBS frontline website and suggest they do a special to get wrold coverage. I mean they do specials all the time like "Ten trillion and Counting" and "Can you afford to retire".
PS this is way before Obamba!
My heart goes out to the folks that are now left high and dry. I worked with Joe Requa and he and all the others who have been shafted certainly did nothing to deserve this. I say blame DOE/NNSA and realize that we were never UC employees, just hired hands. Face it, we are on our own.
Perhaps you still have time to snag a job as a senior greeter at one the local Walmarts. It will help pay the rent when CA goes bust and that monthly UC pension check begins to slowly disappear. I hear that Mighty Dog is one of the better canned dog foods to eat after it's been warmed up in the microwave. That is, if you'll still be able to even afford a microwave in the near future.
What's that sound? I think I just heard the implosion of the Baby Boomers nice retirement plans.
Great post. Kind of sounds like what people ate during the depression along with horse meat, pigs ears, chicken gizzards, tripe, pigs feet. Should I go on. maybe someday the spoiled brats of today will learn how good they had it. the party is over people. Hunker down and get ready for what I just wrote. You got at least until 2012 of a declining economy and then it'll take at least 5 -7 years to pull out of the nose dive.
I think you are wrong. The economy will have turned around by Christmas. It's doom-and-gloomers like you who keep the economy muzzled.
Set the printing presses on high. A government "stimulus" check of $100,000 for every American! Zero rate 50 year car loans! Free government prescription happy pills on demand! Let the wealth creation begin.
Q. Is that so?
You'd never know it from their participation. They certainly are not looking out for their workers (or former workers).
And they seem to be removing any signs or seals that say UC.
In my opinion, this issue is due to the short-sightedness of management and MBA's towards their own future. They believe in shooting themselves in the foot, not that I've ever seen them do that before.
For decades I read in UC's Retirement Handbook that after 20 years of service, retirees would receive 100% of UC's contribution towards medical and dental coverage. I even understood that buried in the 4-1/2 pages of "Health and Welfare Plans" text there were two sentences that could shoot it down: "Health and welfare benefits are not accrued or vested benefit entitlements. UC's contribution toward the monthly cost of the coverage is determined by UC and may change or stop altogether, subject to the state of California's annual budget appropriation." (Note: This text is currently in the first paragraph in a colored box; the change took place around 2006.)
It just seemed unfathomable to me that UC/LLNS/DOE would attract quality staff without having employee benefits. I wondered how they could attract qualified personnel from companies offering bigger paychecks and IPO's. Now I know -- they don't.
Management is out for short term profits. They want mercenaries, disposable employees that have no loyalty to the long-term operation at all. Then they wonder how they loose specialized corporate knowledge such as FOGBANK. How that will work in the specialized research and development fields at UC or the Lab I do not know.
What we can do is pass the word to prospective employees of UC or LLNL that retirement benefits are dwindling and maybe they want to contemplate employment elsewhere. Management of both UC and LLNL can earn their paycheck, we don't have to help them.
It is my understanding that there is no wording about retirement health benefits for LLNS new hires. One more reason to either get a substantial paycheck or to look elsewhere. LLNS didn't exist 30 months ago and probably won't have the duration, tradition, or reputation of UC.
I decided to retire from the Lab early and let management do my work. I miss supporting my clients but that was not what management was interested in. Now it's time for them to go to work.
Short Term Profits vs. Long Term Gains. Management and MBA's. As a manager once corrected me, we are not in a symbiotic relationship but a parasitic one.