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STATE BENEFITS: Study Says Change Could Save Millions

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A study shows changes of state employees’ benefits could save Iowa $116-milllion.

The Department of Administration Services contracted an outside service for the study.  It compares state workers’ benefits to private sector benefits.

The study found 88-percent of state workers pay no monthly premium for health insurance.  It suggest several changes including adding a 20-percent employee premium contribution to health insurance.

Another suggestion is to add a wellness program offering incentives to those making positive health changes.

AFSCME leader Danny Homan says the report is an attempt to mislead Iowans.

He says, “The fact is that a study by the non-partisan “Iowa Policy Project” found that even when accounting for benefits such as health insurance, public employees in Iowa received 6 to 8 percent less total compensation than their private sector counterparts with similar levels of education.”

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