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Board approves UPMC plan renewal; solicitor flags collective-bargaining implications
Summary
Salem Township approved a UPMC health-plan renewal effective Nov. 1, 2025, with an estimated 10.2% premium increase to $14,237.22/month; supervisors noted UPMC is the only carrier offering equivalent retiree coverage and the solicitor said the increase could trigger bargaining.
The Salem Township Board voted to approve a UPMC group health plan renewal effective Nov. 1, 2025. The contract reflects a 10.2% premium increase: the current premium was reported as $12,920.33 monthly and the new estimated premium is $14,237.22.
Resident Eric Hageder asked whether the township had solicited other pricing. Supervisor Kerry Jobe said, "we are in a situation that in order for the retirees to have the same coverage as the current workforce, UPMC is the only group that offers it." Solicitor Falatovich cautioned that an increase of this magnitude could trigger a reopening of the collective bargaining agreement and recommended addressing the issue in upcoming contract discussions. The renewal motion passed unanimously.
The board signaled it will address benefits and bargaining issues during the next contract cycle but took no additional immediate action at the meeting.
