Branstad: Iowa collective bargain law ‘antiquated’

DES MOINES - Labor issues continued to churn at the Statehouse Monday with Senate Republicans close to offering a revamp of Iowa's collective bargaining law that Gov. Terry Branstad says is needed while the largest public employees' union is accusing the state of bad-faith bargaining on a new contract.

Officials of American Federation of State, County and Municipal Employees (AFSCME) Council 61 have filed a prohibited practice complaint against the state because its negotiators have not made a proposal for health and dental benefits to be included in a new two-year labor pact from July 1, 2017, through June 30, 2019.

'The refusal to provide any counter proposals and bargain further constitutes bad-faith bargaining on behalf of the state of Iowa,” AFSCME contended in its complaint filed last week with the state's Public Employment Relations Board. The state has 10 days to respond to the complaint.

'We don't believe they're bargaining in good faith,” said AFSMCME Council 61 president Danny Homan. 'We don't believe they given us a legitimate proposal on health insurance. So we'll see.”

The union is asking the PER Board to direct the state to 'cease and desist from bargaining in bad faith” and submit a 'specific and substantive” proposal regarding health and dental benefits offered to state employees a part of the current contract negotiations.

At his weekly news conference, Branstad told reporters 'I have bargained in good faith and continue to bargain in good faith, but it is very clear that the present system has not worked for the taxpayers.”

At the same time, Branstad called Iowa's four-decade-old law 'antiquated” and in need of being 'updated” because it has allowed public employee health benefits - which he characterized as 'Cadillac” coverage for as little as $20 a month - to get out of step with the private sector at taxpayers' expense.

'I've been trying to change that through the bargaining process for years. We've not been able to get that done. Arbitrators have not let that happen,” Branstad told reporters.

During open sessions at the start of bargaining talks in November, state negotiators offered AFSCME members a zero across-the-board pay raise for the next two fiscal years and made no insurance proposal.

Branstad has indicated he would like to explore the option of creating a larger risk pool of public employees at the state, county, city and school district levels that would help drive down costs for all the entities that chose to participate.

'A lot of counties, cities and school districts have had some really bad things happen if they have two or three people that have adverse health problems, their insurance premiums go through the roof,” the governor said Monday. 'So I've suggested that we take health care out of the mandatory bargaining area because I think there can be substantial savings and by having employees having some skin in the game we can work together in reducing costs which will free up more money for wages and other things that are needed.”

Sen. Jason Schultz, R-Schleswig, said Monday he expected a bill dealing with changes to Iowa's collective bargaining law to be introduced 'soon” but noted that some final details are still being worked out.

Meanwhile, working Iowans were expected to rally at the Capitol on Tuesday in support of protecting Iowa's 1973 collective bargaining law and encouraging legislators to protect the rights of workers and oppose proposed changes.

'Iowans will rally in support of public employees whose rights are under attack,” according to a news release from Progress Iowa. 'The Republican-led Iowa legislature has been working behind closed doors to draft legislation stripping away the collective bargaining rights of educators, correctional officers, nurses, snow plow drivers and other state workers.”

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