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Reuters...
Ohio union curbs
savings pegged at $1.27 bln
Mon Apr 4, 2011
CHICAGO - A new law curbing collective bargaining rights of government
workers in Ohio could save the state and local governments more than
$1.27 billion a year, according to an analysis of the law released on
Monday.
The Ohio Department of Administrative Services said it examined
measures in the law limiting government health insurance payments to 85
percent of total premium costs, as well as the elimination of step pay
increases and pay levels for longer-serving employees once current
contracts expire.
The pay eliminations would have saved the state $191.3 million using
fiscal 2010 data, while all three measures would save at least $1.087
billion for cities, counties and school districts, the department
reported.
The controversial bill was passed by the Republican-controlled
legislature and signed into law by Republican Governor John Kasich last
week.
Its passage marked another success for Republicans pursuing measures in
several U.S. states to limit the rights of public-sector unions.
Unions are a key constituency of the Democratic Party and Ohio
Democrats are pushing to put a referendum on the law on the November
state-wide ballot in an effort to overturn it.
Like most other states, Ohio’s revenue collections have sagged due to
the economic recession. (Reporting by Karen Pierog; Editing by Dan
Grebler)
Read it at Reuters
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