CalHR announced changes to the Other Post-Employment Benefit (OPEB) program for excluded employees not related to a bargaining unit. All state employees have begun prefunding retiree healthcare. The contribution as a percentage of salary is matched with a state employer contribution. The goal is to reduce the “unfunded liability” for retiree healthcare and ensure your valuable earned health benefits will be available when you retire.
For excluded and exempt employees not directly associated with a bargaining unit (e.g. E48, E97, E98 and E99), prefunding of retiree healthcare will change from 0.8% to 1.6% of salary effective July 1, 2019 with a matching employer contribution. Click here for more information about this announcement on CalHR’s web page.
As the state budget progresses, CalHR is expected to make other announcements increasing excluded employee salaries effective July 1, 2019 and increasing the contributions required to prefund retiree healthcare.
Contact your ACSS Labor Relations Representative if you have further questions.