Pa. Parsons et al., A LABOR-MANAGEMENT APPROACH TO HEALTH-CARE COST SAVINGS - THE PEORIA EXPERIENCE, Public personnel management, 27(1), 1998, pp. 23-37
Health care costs and the nature of the benefits package are an issue
that plagues most jurisdictions. Written in a cooperative effort to re
flect the perspectives of the labor and management co-chairs, Peoria's
story is an example of the cooperation that has developed in that cit
y. In addition to describing a remarkable city-wide effort to reduce h
ealth care costs and maintain an attractive benefit package, the artic
le shows how success on a topic of importance to the parties and the c
ommunity can sow the seeds of a broader cooperative relationship that
improves services, quality of work life and the nature of the labor-ma
nagement relationship. By agreement, the city and labor unions took th
e health care plan off the bargaining table, and instead,gave it to a
citywide joint committee, which solved the crisis and manages this dif
ficult issue. Among other advances that mark a change from the past, t
he positive effects from the dramatic success in health care has contr
ibuted to a first-ever, five-year negotiated settlement between the ci
ty and the firefighters. Read about how Peoria accomplished this chang
e by bold risk taking and by carefully nurturing the effort.