State of New Jersey

Governor Phil Murphy

New Jersey Leaders Applaud Historic Health Care Savings Agreement

“These changes are a great example of the win-win outcomes we can achieve when labor is viewed as a partner in progress and not an opponent. Providing affordable, high-quality healthcare for working people is one of the greatest challenges facing our state, and one of the most important things we must achieve. The reforms we helped negotiate with the state’s representatives on the SEHBP Design Committee will save hundreds of millions of dollars for the state while protecting the quality and affordability of our members’ health insurance coverage. The Murphy administration has demonstrated its commitment to working people by cooperating with us to achieve this outcome. We are confident that this is just the first step toward making high-quality healthcare more affordable for public employees and ensuring a stronger, healthier future for our state.” – NJEA President Marie Blistan

“We congratulate Gov. Phil Murphy and the leaders from the teachers and public-sector unions on the announcement today that the administration has reached a cost-cutting health care benefits agreement. The cost of providing health care to members of public sector unions has been a major issue for many years. This announced agreement is a significant first step towards addressing the issue and moving from discussion to action. It is long overdue. We are encouraged by this announcement and equally encouraged by State Treasurer Elizabeth Muoio’s statement that, “this is a tremendous step in the right direction and we look forward to continuing to work with our partners in labor to find ways to provide health care in a most effective, comprehensive and cost-efficient way. This indicates that more will be discussed, and we anticipate more savings in the future. This positive first step can help us build a stronger economy. It will also relieve pressure on the state budget when it comes to pension payments. There is much more to do but we can’t get there without taking the first step. We applaud the process of collective bargaining and productive negotiations demonstrated in this announced agreement.” – Tom Bracken, President of the New Jersey Chamber of Commerce

“The New Jersey Association of Counties (NJAC) commends Governor Phil Murphy for reaching an important and timely agreement with collective bargaining units that both saves valuable property taxpayer dollars and preserves the quality of health care benefits for public employees across the State.” –  John Donnadio, New Jersey Association of Counties Executive Director 

“NJSBA has been a leader in advocating strategies to control rising health benefit costs, which can have a negative impact on resources available for educational programming. Yesterday’s agreement is a significant step toward this goal. We hope that the governor, the Legislature and the SEHBP Plan Design Committee will take further action to address this issue.” – Dr. Lawrence S. Feinsod, NJSBA Executive Director

“I am pleased to learn that Governor Murphy has reached an agreement with the State employees on controlling the costs of health insurance. Over the last several contracts, we in Marlboro have worked with our employees to establish new base plans and cost-sharing mechanisms which have resulted in real health insurance savings.  Progress at the State level is encouraging and welcome news. As a Town which participates in the State Health Benefits Plan, reductions in the cost of existing plans and new lower cost plan offerings are positive developments. On the prescription plan side, Marlboro will reap the benefits of a more competitive program.  While Marlboro Township does not offer retiree health insurance, the announced changes will reduce costs for school districts and New Jersey taxpayers which is something for all of us to celebrate. Fiscal responsible decisions like these are necessary in order for the State of New Jersey to get its financial house in order.  Focused attention in Trenton on achieving savings in the area of employee benefit costs is desperately needed, and I commend the Governor and State employees for taking on this challenge.” – Township of Marlboro Mayor Jonathan Hornik 

"Governor Murphy's "think outside the box" attitude is proving that there is a way for our state out of the financial mess created by previous administrations. On behalf of the tax payers of Prospect Park, thank you for your leadership and for caring enough to help the hard working people of New Jersey." – Prospect Park Mayor Mohamed Khairullah

"I commend the Governor and his administration for agreeing to a plan that saves the taxpayer money while ensuring quality health care for retirees. It's a win-win agreement." – Long Hill Mayor Guy Piserchia

"It is great that Governor Murphy and his administration have used creativity and were able to think outside the box and deliver a substantial cost savings to not only the residents of New Jersey but to those that have served the taxpayers as Employees of the state." – Rockaway Township Councilman Michael Puzio

“The Commerce & Industry Association of New Jersey applauds Gov. Murphy and his administration for taking a step in the right direction to cut costs while maintaining high-quality healthcare for public employees in New Jersey. The agreement reached today between labor groups and the state will save hundreds of millions of dollars over the next few years yet will still provide public employees and retirees quality medical care while improving the delivery of healthcare for those enrolled in the benefits program. This type of effective, smart cost-cutting is what New Jersey needs to grow its economy.” – Anthony Russo, President of the Commerce and Industry Association of New Jersey 

"NJBIA commends the Murphy administration for making a strong move in the right direction to address New Jersey's fiscal challenges. This reduction in spending for health care costs for public employees and retirees falls in line with private-sector employers who have been adjusting their health plans to meet the challenges of increasing health benefits costs. We look forward to building upon the progress being made today and will continue to monitor the progress of the recommendations made by the bipartisan Economic and Fiscal Policy Work Group this summer. We need to continue to see the New Jersey's future through the lens of regional competitiveness and affordability." – NJBIA President and CEO Michele N. Siekerka Esq

“Bringing people together is the essence of leadership.  I’m proud to stand with Governor Murphy, who today began forging a real solution for our state’s health benefits challenge.  It is through unification and open-mindedness, not bombastic rhetoric, that our state will get back on the right track.” – Parsippany Mayor Michael Soriano

“We are pleased that the State Health Benefits Plan Design Commission is reauthorizing its cost saving reforms and that the School Health Benefits Plan Design Commission is now taking similar action. These are important reforms that benefit the taxpayers while not significantly impacting retirees. We look forward to continuing to work with the Administration, Legislature, and stakeholders to improve the affordability, quality, and long-term sustainability of the state’s health benefits system.” – NJ League of Municipalities 

 

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