The Plainsboro Township Committee is expected to introduce an ordinance setting the 2010 salaries for its police officers and white collar employees on Wednesday, January 13.
In March, the township ratified the agreements with the two unions representing the employees and subsequently approved an ordinance adjusting the salaries accordingly to reflect the collective bargaining agreement it had negotiated.
The new ordinance is a formal implementation of those salaries for 2010, officials reported during the Township Committee’s year-end meeting on December 29.
The agreements with the two unions — the Policemen’s Benevolent Association, Local 319, and the Communication Workers of America, Local 1032 — enabled the township to save money through reduced healthcare costs, officials said.
The agreement with the PBA covered the period of time from January 1, 2008 to December 31, 2010, and included changes to administrative operations regarding how compensatory and vacation time is taken. The PBA represents police personnel with the ranks of patrolman and corporal.
At the core of the agreement are economic issues including salary and healthcare adjustments. The salary increase for the three years in the contract for the members of the bargaining units is 4 percent for all three years. In exchange, the township receives some concessions that will reduce healthcare costs.
There are two plans available to police employees — an HMO plan and a more traditional plan. With regard to the traditional plan, the amount of reimbursement for medical bills changed. Formerly, employees had a deductible, and there was no distinction made between in-network providers and out-of-network providers. In both cases, they were reimbursed 100 percent once they had met the deductible.
Under the new agreement, however, once employees reach the deductible, they are reimbursed 100 percent for in-network visits, but only 80 percent for those that are out-of-network. Under the former system, these employees also did not have co-pays on their prescription medications. Under the new agreement, prescriptions require a $20 co-pay, while office visits require a $10 co-pay. There is also a $25 co-pay for emergency room visits. Deductibles have also increased from $100 to $300 for single coverage and from $200 to $600 for family coverage under the new agreement.
With regard to salary, Plainsboro also added a step to the salary guide that will save money as it relates to new hires. Salaries were frozen in 2009 and will continue to be in 2010 for new hires. In 2009, the starting salary for a police officer was $49,638, and anyone hired during that time as a new employee will keep that salary through 2010.
The township has also saved money as it relates to the agreement it drafted with the Communication Workers of America, which covers the years 2006 through 2010. In this agreement, there is no step guide, as the union covers a variety of white collar employees, from bookkeepers to EMTs. Instead, here are maximum and minimum salaries established for each position. Under the agreement, the increase in the salary for 2006 and 2007 was 3.5 percent, and the increase for 2008 was 3.25 percent. For 2009 and 2010, the increase is at 4 percent. In return for the larger salary increase in 2009 and 2010, the union agreed to give up access to the traditional healthcare plan for its members, which is the more expensive of the two plans we have.
As a result, the township expects to save on 20 to 23 employees, who now only have access to the township’s HMO-like plan. The difference between the two plans is about $200 per month per employee.
