Big Money At Stake In Supreme Court Case Involving Teachers

LANSING (AP) – The Michigan Supreme Court is hearing arguments in a case that will determine whether more than $550 million will be returned to school employees who had money deducted for retiree health care.

Gov. Rick Snyder’s administration wants to keep the money but so far has lost in lower courts. His office says the money is necessary for the long-term stability of health insurance benefits.

School employees had 3 percent of their pay deducted for about two years under a law signed by Gov. Jennifer Granholm, but the law was declared unconstitutional. Snyder in 2012 signed a new law that has survived court challenges.

Lawyers for the administration say the money could keep the retiree health care program on firm footing. It’s now in escrow. The case is being argued Wednesday.

© Copyright 2017 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.

Comments

Leave a Reply

Please log in using one of these methods to post your comment:

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

More From CBS Detroit

Best Places To See Indie Rock In DetroitIt's called Detroit Rock City for a reason.
Guide: Best Barbecue In Metro DetroitSometimes, nothing hits the spot like good barbecue.
Best Ice Cream Shops In Metro DetroitIt's getting warm outside! Take advantage of it.

Watch & Listen LIVE