If 100,000 members incur this $400 annual deductible, TeamCare will save $40million on our backs.
Make no mistake, we will assume an ever increasing cost for our healthcare, instead of UPS, the company who's making it hand over fist.
Thanks H&H?
SMH
For the H&W benefit, UPS paid or will pay on average an additional $20 per employee per week each year in this current CBA. That's means an additional $1000 (52 X $20=$1000 rounded down) per year that will be paid, not if, on your theoretical 100,000 members. (That membership number is much larger BTW) That's $100 million additional obligation to UPS in year one. Now year two comes and they pay another $100 million plus year ones $100 million as a base increase AGAIN in year two. (In successive years one must add the prior years increase to the current years increase.)
By the end of this CBA, that equals $1.5 billion in additional H&W costs. Hope they keep making it hand over fist.
Yes, members could be paying a portion of their H&W if they seek service with the deductible, but make no mistake UPS will be paying a substanially greater amount to their employees H&W plans.
So I agree, thanks KH.