More Retiree Health Plans Move Away From Traditional Medicare

March 10, 2023

In "More Retiree Health Plans Move Away From Traditional Medicare" (The New York Times, Retiring, March 10, 2023), New York City’s determination to shift 250,000 retires out of traditional fee-for-service Medicare into a privately operated Medicare Advantage plan is discussed. The article notes that “The fight in New York City is a highly visible example of a nationwide shift in the way some retirees receive health insurance benefits from former employers, both in the public and private sector. It pits the drive to control health care costs against retired workers’ pocketbook and health concerns.”

Previously in New York City’s proposed plan, retirees who wanted to stay on traditional Medicare could do so if they paid an estimated $191 per month to cover its higher cost to the city. In 2021, the NYC Organization of Public Service Retirees, sued over the plan, taking its battle to the City Council and organizing through Facebook, YouTube and email. On Thursday March 9, 2023, the Municipal Labor Committee, which represents the city’s 102 unions, approved the latest plan to offer only Medicare Advantage starting this September.

Marianne Pizzitola, the group’s founder, and a retired city Fire Department Emergency Medical Services employee‌ said, “Labor should never support privatizing public health care or stripping retirees of vested earned benefits.”

On Thursday, the Municipal Labor Committee, which represents the city’s 102 unions, approved the latest plan to offer only Medicare Advantage starting this September.

Partner Steve Cohen and Sara Haviva Mark have been representing the retirees in this matter.

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More Retiree Health Plans Move Away From Traditional Medicare | New York Times