WHEREAS:

The COBRA Act mandates that employers allow terminated or retired employees to stay on the employer's health plans at the employee's cost for 18 months after termination or retirement; and

WHEREAS:

Employees who retire before age 65 are not eligible for Medicare coverage; and

WHEREAS:

The cost of health coverage for retired members who have not reached age 65 is exorbitant and unaffordable to most; and

WHEREAS:

Extending COBRA for retirees under 65 would provide them the opportunity to remain on the employee's plan at more affordable rates at a critical time in their lives.

THEREFORE BE IT RESOLVED:

That AFSCME seek federal legislation to extend COBRA coverage for retirees under 65 for more than 18 months after retirement so that adequate, affordable health care is possible for these members; and

BE IT FURTHER RESOLVED:

That AFSCME pursue other federal legislation to mandate that employers continue to offer health benefits at the employee group rate for those retirees who wish to take advantage of them.

SUBMITTED BY:

Jack Kenney, President and Delegate
AFSCME Local 2428, Council 57
Albany, California