WVEA Moves To Sue Over Future Retiree Subsidies

By: Associated Press
By: Associated Press

Charleston, W.Va. (AP) -- The West Virginia Education Association is taking state officials to court over the scheduled end to retiree health care subsidies.

The group representing teachers and school administrators said Tuesday that it sent the required 30-day advance notice to the Public Employees Insurance Agency and the Manchin administration.

The agency's finance board voted last week to stop subsidizing retiree coverage starting with July 2010 hires.

The move is meant to dodge a projected multibillion-dollar unfunded liability.

But critics say it will worsen efforts to recruit and keep quality teachers, troopers and other workers.

The American Federation of Teachers-West Virginia also plans to sue, over both the agency's process and its authority to end subsidies.

(Copyright 2009 by the Associated Press. All rights reserved.)

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