Projo Politics Blog

PROVIDENCE - The prospect of paying more for health insurance in their retirement years has led more than 1,000 state workers to serve notice they want out now before the new and more expensive rules take effect.

Simply put, the state currently pays between 50 percent and 100 percent of the health insurance premiums for many of its retirees, depending on how long they worked for state government.
So when the General Assembly enacted a new law requiring state retirees to pay more - in many cases, a lot more - for their medical coverage if they wait until after Sept. 30 to retire, many faced a difficult choice.

Since May, there have been 1,129 state retirements, according to the state retirement office. More are expected in the week and a half before the deadline hits. It remains unclear how many of these workers the state will be able to replace.

Initiallly, Governor Carcieri said he planned to fill all but 400 of the vacancies, but it's unclear how long that process will take. But a leftover $33.6 million deficit, a rejected labor contract, and the uncertainty surrounding Rhode Island's bid for a first-of-its kind Medicaid waiver have compromised - or at the very least delayed - other budget savings that could affect the number of replaced workers.
.

---