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Ridgewood Schools: New Teacher Contract is Approved
Ridgewood Schools: New Teacher Contract is Approved
October 18, 2012
Ridgewood NJ, The Board of Education and the Ridgewood Education Association (REA), representing the district’s teachers and secretaries, have reached labor agreements covering the period July 1, 2011 through June 30, 2015. These agreements will result in a compound annual salary growth rate of 2.3% over the fouryear period, along with significant adjustments in health care benefits.
A one-year sidebar agreement will extend the expired REA contract to cover the 2011-2012 school year with a 1% salary increase and all other terms and conditions unchanged for the year. A separate three-year contract has also been settled which will cover the period from July 1, 2012 through June 30, 2015. This agreement includes a settlement rate of 2.75% per year for its three-year term.
As part of the three-year settlement the REA also agreed to move from the district’s current medical insurance plans to the School Employee Health Benefits Program (SEHBP). The SEHBP is a menu of less costly managed care plans offered through the NJ Division of Pensions and Benefits. Enrollment in the SEHBP will discontinue the district’s traditional indemnity medical plan and lower district premium costs overall.
Finally, state law requires continued increases in employee contributions to health insurance premiums every year through the 2014-2015 school year. By then teachers will contribute between 12% and 35% of their premium costs, dependent on salary and level of coverage. This will be a significant increase over the 5% contributions district staff members have historically made towards the cost of family medical insurance. The district conservatively estimates that employee contributions will quadruple to as much as $2 million in the 2014-2015 school year.
In reaching these agreements, the Board considered the cost of salaries, the savings from the switch to the SEHBP medical insurance plan and the increased employee contributions to health insurance premiums. Speaking for the Board, President Sheila Brogan stated, “We feel the overall cost of these settlements appropriately balances the need to fairly compensate our excellent staff with our ongoing obligation to the community to be fiscally responsible. The Board is pleased that the parties were able to reach these new agreements and that we have achieved a fair and reasonable settlement.”
That looks like a fair agreement.
Certainly in line with what the rest of us are seeing from our employers.
A tip of the cap to Jim Morgan and the rest of the BOE.