Contract Brings 2.9 Percent Increase to Teachers, New Insurance Plan

Over the last few years, Southington teachers have given concessions and accepted zero percent increases but it appears some of the staff may be in for a fairly significant payday.

The latest contract, ratified last week by both the Southington Board of Education and Southington Education Association, provides an average raise of 2.9 percent per year over the next three years based on current staffing – but there are bonuses in it for the town as well with a new insurance program designed to improve health and significantly reduce long-term costs.

“This was a good process, a respectful process and I was extremely appreciative of how much give and take there was on both sides,” said Board of Education member Jill Notar-Francesco. “I think all negotiations should be like this. Our staff stuck with it and we worked through all the issues we all had.”

The raises, which will come on a 13-step system, are the most notable part of the new contract as teachers will receive an average of 2.9 percent, 2.9 percent and 2.91 percent each year between July 2013 and June 2016, a total increase of 8.71 percent during the three-year period.

But the biggest change actually comes in the area of insurance benefits.

While the raises may seem sizeable, teachers will now be responsible for a larger portion of their insurance funding with a plan now in place to promote healthy living and reduce long-term costs, Director of Business and Finance Sherri DiNello said.

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The current insurance premium share is 19 percent per employee, but that will go up 1-percent per year over the next three years.

In addition, DiNello said the contract implements new language in regard to wellness and preventative screenings that encourages healthy living or challenges the employee to face potential higher costs in their premiums.

“We are the first municipality in state to work this type of wellness screening into our contract,” DiNello said. “The state tried something similar last spring, and we believe it will lead to long-term savings as it relates to healthcare costs.”

In 2013-14, everyone will pay a premium of 20-percent as the program is implemented, but those numbers could rise in future years if employees don’t take part in the screenings. Those who participate will have a premium share of 21-percent in 2014-15 and 22-percent in 2015-16; those who do not will see their shares rise to 24-percent and 26-percent, respectively.

Bob Brown, a 38-year educator in Southington and president of the Southington Education Association, called the contract a win for everyone, especially in a struggling economy.

Although Brown sees concessions in the way of insurance, it comes with added benefits of better health and early detection of cancer and other long-term illnesses. He said this is also a minor concession to receive the raises and avoid arbitration in a down economy.

“It’s not a secret that the economy is in a difficult state right now. We are no longer frozen on step and that’s a win, being able to avoid arbitration. Who knows what could have happened there,” Brown said.

DiNello said the district would not deny that some teachers, particularly those currently in steps 8 – 11 near the top half of the grid, could see raises of 6 or 7 percent for a few years. Everyone, except those in the top step, will receive an opportunity to advance two steps in the first two years. They will then be frozen in step for the third-year, receiving a raise based on the particular step.

For those in the top step already, a total of 39 percent of the 551 teachers and educators in the step system, there will be raises of 1.75-percent in year one, 1-percent in year two and 1.82-percent in year three.

By year three, 47 percent of staff would be at max, but only if there are no retirements in the process, DiNello said.

“Only if there are no changes in staffing would this represent a 2.9-percent increase (per year), but we expect resignations and retirements in that period, so it’s not likely to be even that high,” DiNello said. Under the current salary grid, the Board of Education is responsible for $36.747 million in teacher payroll for the 551 employees represented by the SEA.

DiNello said teachers should also be excited about the tuition bank within the contract, a $20,000 annual account for teachers to apply for max reimbursement of $300 for course beyond masters – as long as part of planned educational program.

“It’s really a contract that I believe is fair and benefits everyone,” DiNello said.

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