County Reduces Benefits - Los Angeles Times
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County Reduces Benefits

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To offset soaring health-care costs, the County Board of Supervisors reduced insurance benefits Tuesday for county employees.

But the cuts were not as drastic as had been anticipated by some employees, who mounted a letter-writing campaign urging the board to retain the current level of benefits.

Nonetheless, the increase will mean that some employees will pay up to an additional $29.21 a month for health insurance. Their costs would jump from $53.84 to $83.05 a month--more than a 50% increase.

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The rates vary according to the county’s five insurance plans. For 2,800 of the county’s 6,000 employees, the rate adjustment will mean no increase. In response to employee complaints, the supervisors agreed to subsidize one of the five available health insurance plans so members of Public Employees Assn. could subscribe at no cost.

The supervisors also eliminated vision care benefits. But they agreed to provide a way for employees to subscribe on their own, and they offered to employ an optometrist for free eye examinations.

Ronald Komers, county director of personnel, said health insurance for the county’s 6,000 employees is costing the county $22 million a year--up from $2.8 million in 1978.

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“If we continue, it will consume our entire budget,†he said.

Komers said that throughout the health-care industry, medical costs are increasing almost 20% a year.

“We must collect enough money to pay out claims that are coming in at a higher rate every month,†he said.

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