From: Yvonne Walker, SEIU Local 1000
Date: April 20, 2009
There’s a lot of discussion about the CASE
lawsuit. Our lawyers have been and are still tracking all
of the details carefully. The court’s recent announcement
leaves more leaves more questions than answers. Once the court
releases the entire decision, we will have more information. But
here are the main points:
- In the lawsuit, SCIF argued that it is not a state agency
and that only SCIF management should decide the furlough days of
employees because it is independent and must be allowed to
operate like a private insurance carrier.
- SCIF’s so-called independence for decisions about
furlough signals a dangerous tone and could do long term damage
to the civil service protections enjoyed by SCIF employees.
- Just a couple years back SCIF made these same arguments to
the State Personnel Board when it tried to claim that this
independence exempted it from SPB review of its outsourcing
contracts. Local 1000 had brought a major challenge
against SCIF’s outsourcing of payroll, clerical and claims
adjusting work. The union won its case at SPB. It
took a court action to get SCIF to finally end those illegal
contracts and ensure that SCIF employees did not lose their
- We cannot afford to lose the civil service job protections
and contract guarantees that will be lost should SCIF convince a
court that they are not a state agency.
- If SCIF is not a state agency, then SCIF employees are not
state employees and they will loose the protections guaranteed
under the entire Local 1000 contract including:
- Outsourcings protections - The Local 1000 contract protects
SCIF employees from outsourcing. Any contracting out by the
state must comply with the process governed by the State
Personnel Board (SPB). Local 1000 attorneys and members
frequently challenge private contracts – winning more than
80 percent of challenges
- Job security - SCIF employees have bumping rights and
transfer guarantees should layoffs occur.
- Health care benefits - Although takeaways are occurring in
both the public and private sector, Local 1000 was able to
secure continued state contributions for health insurance
benefits through 2010.
- Retirement - SCIF employees are guaranteed a defined
retirement benefit that is superior to the private
- Other state unions, including CASE, have not been able to
get the protections we won in our new contract.
Local 1000 will continue to fight for the rights of all
employees we represent, including every SCIF employee.