While medical costs continue to rise nationwide, Nashville Electric Service (NES) has been able to offer competitive health care benefits while keeping cost increases to nearly half the national trend.
Jeff Eck, compensation and benefits manager at NES, says the success is a result of NES and its union, SEIU Local 205, jointly implementing a number of proactive changes to the medical plan since 2010.
According to the Mercer National Survey of Employer Sponsored Health Plans, health benefit cost increases averaged 4.7 percent over the past four years. NES’ average medical cost increase was 2.5 percent over the same period.
Eck stated, “We have implemented an Employer Group Waiver Program for retiree Medicare Part D prescriptions, moved 167 retirees to Medicare as primary medical coverage, increased preferred provider network discounts from 40 percent to 53 percent by changing to a new PPO network, and implemented a tobacco cessation program.”