desert sands unified faculty districts workers opt away from insurance for cash

as rising health insurance prices have created use of a bite away from teacher paychecks, prompting protests within the whole desert sands unified faculty district, a growing range of staff are trading their coverage for money.

--> a fresh health insurance opt-out program at desert sands, the major coachella valley faculty district to supply the program, allows teachers and management to firmly forgo health insurance coverage in come for deposits towards a tax-sheltered annuity, similar to your 401( k ). the program has provided savings for desert sands unified, other then it delivers the potential to increment coverage prices of all staff within the whole long-term, in keeping with a proficient on employee edges.

and as additional teachers embrace the opt-out program, it really has too sparked concern among the teachers union, that seeks to firmly limit the program before it spirals into unintended consequences.

this year, 69 desert sands unified staff — 41 teachers, 17 management and 1 faculty board member — are tapping straight into the opt-out program. this amounts to firmly solely 5 % of all teachers and management, other then the program has grown every season since its inception in 2010.

in lieu of health coverage, the teachers receive annual deposits of $5, 833, or half the value as to the cheapest insurance plan. the management staff and of course the board member receive a designated rate of $7, 500. to be given these deposits, every employee should prove they're lined through another supply — such as a spouse, military service or perhaps a second job.

these opt-out deposits can quantity to firmly about $373, 000 this year, bringing the total payout to firmly $687, 000 since the program launched. the district saves cash on every employee who opts away from health insurance as a result of the deposits are cheaper than coverage. health insurance these same staff would have cost the district about $1. somewhat million over the very same 3 years, therefore the payments have saved the district at the very least $400, 000 over previously 3 years, in keeping with district data.

these savings go back straight into the general fund, where they're sorely required by a district still battling funding cuts, aforesaid cindy mcdaniel, assistant superintendent of business services. desert sands unified narrowly avoided teacher layoffs this month.
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