State Government. Not much better than the Federal one.
North Carolina's State Employees will receive a modest 2 percent or an 850 dollar annual raise (whichever is higher) in accordance with the new State Budget. But right on the heels of that, the State Health Plan has announced some changes. Beginning October 1st, they'll be increasing the cost of coverage to state employees, thus eating-up most of that "generous" raise. In simple terms, let's take the state worker who makes LESS than the $42,500 annual salary (the average state employee makes about $35k, according to experts) -- necessary to peg his or her raise to over $850.
Say that person has the average family to support and cover with healthcare. Then note the increase in cost the employee pays for coverage of his or her spouse AND kids from $427.48 per month to $ 480.14 per month beginning October 1. That's an increase of $631.92 a year in premiums alone. Not to mention that the employee portion of the costs in some areas of the health plan have gone up too.
So that $850.00 raise, less the $631.92 increase in premiums, gets that State Worker just $8.38 more in salary per pay period (every two weeks), meaning that after taxes, that State employee will be taking home about five bucks more a pay period.
Good thing the Legislature saw fit to throw in an extra week's paid vacation in the budget for all those State employees or it would truly be nothing but hot air from Raleigh to most.
Monday, August 22, 2005
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