A Capehart Scatchard Blog

Tag: negotiations

Governor Signs Law Establishing New Health Care Plans and Contribution Levels

On July 1, 2020, Governor Philip Murphy signed Senate Bill 2273 which requires alterations in health insurance plans and changes to school employee contributions toward the cost of health coverage.  The law takes effect immediately and in some respects overrides collective negotiations agreement provisions.  The new law will impact negotiations, budgeting and insurance benefit planning.  Key components include: Establishment of New Jersey Educators Health Plan (“NJEHP”) by the School Employees’ Health Benefit Program (“SEHBP”) for the 2021 plan year and creation of an equivalent plan by non-SEHBP school districts; Establishment of a less costly Garden State Health Plan (“GSHP”) by the […]

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Subcontracting Restrictions and Changes in Health Insurance Plans and Employee Contributions Likely Coming Very Soon

By on March 20, 2020 in Legislation, NJ School Law with 0 Comments

On March 19, 2020, the Senate approved two significant bills stemming from Senator Sweeney’s deal with the New Jersey Education Association (“NJEA”).  One bill requires alterations in health insurance plans and modifications to employee contributions to the cost of health coverage.  The other bill places restrictions on the ability of certain employers, including a school district,  to subcontract work of employees in a collective bargaining unit.  While not enacted yet, both pieces of legislation appear to be on the fast track to approval.  If enacted, they will take effect immediately. Key components of the bill altering health insurance and employee […]

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Districts Ordered to Pay Increments Upon Expiration of Contract

Editor: Sanmathi (Sanu) Dev, Esq. The question of whether a school district with a collective bargaining agreement of less than five years in duration is required to pay the increment for teaching staff members at the expiration of the agreement has existed since the amendment of N.J.S.A. 18:29-4.1.  The amendment permits school districts to adopt a salary policy schedule for a period of up to five years. In In the Matter of Englewood Board of Education and Englewood Teachers’ Association (decided October 29, 2018) and In the Matter of Cliffside Park Board of Education and Cliffside Park Education Association (decided […]

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Appellate Division Affirms School Calendar is Non-Negotiable

On August 28, 2018, the New Jersey Appellate Division in West Morris Regional High School Board of Education v. Morris Regional Education Association, affirmed the Public Employment Relations Commission’s (“PERC”) determination that the start and end date of the school calendar is a non-negotiable managerial prerogative. The dispute involved the collective bargaining agreement (“CBA”) between the West Morris Regional High School Board of Education (“Board”) and the West Morris Education Association (“Association”). During their negotiations of a successor CBA, the Board sought to remove the following phrase from the CBA: “teachers…shall be employed from September 1 through June 30.” The […]

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Cadillac Tax on Health Care Plans Delayed Again

By on January 24, 2018 in Legislation, NJ School Law with 0 Comments

Editor: Sanmathi (Sanu) Dev, Esq. In the context of labor negotiations, health benefits is an important issue to both sides of the bargaining table. On January 22, 2018, Congress passed and the President signed into law a two-year delay on the Affordable Care Act’s (“ACA”) 40% excise tax on health care plans, also known as the Cadillac tax. The 40% excise tax applies to the amount by which the cost of coverage exceeds certain monetary thresholds. For individual and family coverage, the annual premium thresholds are $10,800 and $29,500, respectively. The tax was initially slated to go into effect January 1, […]

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Appellate Division Affirms Tuition Reimbursement Issue Not Subject to Arbitration

On March 2, 2017, the New Jersey Appellate Division issued an unpublished decision in Hillsborough Township Board of Education v. Hillsborough Township Education Association in which it affirmed the Public Employment Relations Commission’s (“PERC”) determination that an issue involving tuition reimbursement was preempted by statute and therefore not arbitrable. This case arose from employees whose requests for tuition reimbursement were denied because the courses were not related to the employees’ current or future job responsibilities pursuant to N.J.S.A. 18A:6-8.5. In 2013, four individuals employed by the Hillsborough Township Board of Education (“Board”) sought tuition reimbursement from the Board for various […]

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Unilaterally Reducing Teachers’ Hours During Economic Crisis Prohibited

On November 29, 2016, the New Jersey Supreme Court In the Matter of Robbinsville Township Board of Education v. Washington Township Education Association ruled that boards of education must negotiate employees’ work hours and cannot unilaterally reduce those hours even in times of economic crisis. The collective negotiation agreement between the Robbinsville Township Board of Education (“Board”) and the Washington Township Education Association (“Association”) stated that teachers’ salaries would be based on 188 days for new teachers and 185 days for all other teachers. In 2010, a series of events caused a significant reduction in the Board’s funding. As a […]

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