News Story

Teacher Got Plenty of Info About Paying Union Dues, Nothing About Opting Out of the MEA

Saginaw teacher: 'It's a matter of principle and doing what's right'

When the right-to-work legislation passed in December, Saginaw Arthur Hill High School teacher Jason LaPorte said he received numerous emails explaining how to pay his union dues electronically.

But the social studies teacher said he didn't get anything about how to leave the union when it became possible.

"I do feel taken advantage of," LaPorte said. "I think once right-to-work legislation passed, the union should have been more informative with the procedures of all union functions going forward that were affected by right-to-work."

The Michigan Education Association only allows its members to leave in August, but LaPorte and other teachers said they were not informed of that policy. He said union officials defended their actions when asked why members were not informed.

LaPorte kept an email from a union official that read: "I do not know of any membership organizations that tell people how to resign their membership."

Saginaw Education Association President Leann Bauer and Michigan Education Association UniServ Director for Saginaw Sue Rutherford didn't respond to requests for comment.

LaPorte is one of seven teachers who filed unfair labor complaints with the Michigan Employment Relations Commission against their local unions and the MEA. The Mackinac Center Legal Foundation is representing the teachers.

LaPorte said some teachers received a phone call, email or personal letter asking why they were opting out.

"No one should feel guilted into explaining why they are exercising any right they have," he said. "Not one single person owes anybody an explanation. Everyone's situation is different whether it's financial, personal beliefs, or whatever. … It's not a matter of being in favor or opposing unions or making a political statement. It's a matter of principle and doing what's right.

"I'm not here to make an anti-union statement because that's not the case," he said.

The MEA's strategy of keeping teachers in the dark about the August opt out window will have repercussions because a lot of members have a bad taste in their mouth over it, he said.

"I've had teachers contact me who have been teaching for 25 years and knew nothing of the window and they were asking me questions," LaPorte said. "Some teachers told me that they will bite the bullet this year and pay, then opt out next year. I think some people who haven't paid yet are playing the waiting game to see how this plays itself out. …If things continue to be handled the way they are, they will lose membership. And right now, by hook or by crook, they're going to get some people, but in the long run they will lose membership based on how they’re handling things."

The teachers involved in the lawsuit against their unions include:

    • Miriam Chanski, a kindergarten teacher in Coopersville who is a member of the Coopersville Education Association;
    • William "Ray" Arthur, a high school teacher in Petoskey who is a member of the Petoskey Education Association;
    • Matthew Knapp, an art teacher at Ruben Daniels Middle School and member of the Saginaw Education Association;
    • Kurt Alliton, a technology teacher at the Thompson Middle School and member of the Saginaw Education Association;
    • Susan Romska, a geometry teacher at Arthur Hill High School and member of the Saginaw Education Association; 
    • Jason LaPorte, a social studies teacher at Arthur Hill High School and member of the Saginaw Education Association;
    • Kathy Eady-Miskiewicz, an English teacher at Arthur Hill High School and a member of the Saginaw Education Association.

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A video report about Jason and the teachers in Saginaw suing the union:

(Editor's note: This story has been slightly edited since its original posting.)

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.

Commentary

Michigan Auto Insurance Reform a Must

New CRC report highlights discrepancies

State legislators are considering reforming automobile insurance laws to save drivers money while still providing robust coverage.

As it is, ill-conceived state mandates cause Michigan drivers to pay among the highest insurance costs in the nation for the coverage they receive.

The Citizens Research Council released a study recently examining why the system is so expensive. The details are complicated, but in the end it comes down to basic economics.

Michigan is unique among states in that it requires personal injury protection coverage for all drivers, allows those injured to sue at-fault drivers for bodily injury, and pays unlimited medical benefits through catastrophic claims coverage (the next highest is New York, which limits payments to $50,000).

The report found that Michigan residents make more claims requesting more money while medical providers charge auto insurers more for care. No surprise: This leads to higher prices.

"Accounting for both higher prices and higher usage, medical claims in Michigan cost auto insurers 57 percent more than claims for similar crashes in other states; consequently, automobile insurance premiums are 17 percent higher on average," the CRC study said.

When adjusted for price and medical care, the CRC said the average auto injury claim in Michigan should be $12,885; instead, it is $20,229.

Because of the state mandate for coverage, as well as the fact that auto insurers are unable to negotiate the rates they are charged, incentives are distorted across the insurance system. CRC found that the claims from Michigan health providers are 24 percent higher than in other states, which inevitably leads to insurance companies paying more and passing the higher price on to consumers.  

And people making claims from the Michigan Catastrophic Claims Association more than doubled from 2002-2012, meaning insurance rates increase to pay those claims. Rates are expected to skyrocket in the coming years.

For every medical category, CRC found that compared to other state health reimbursement programs, the medical costs associated with no-fault coverage were higher. That is, health providers were charging much more for the same care.

To take one extreme example: In Detroit, the reimbursement for no-fault insurance is 352 percent higher than Medicare and 227 percent higher than workers' compensation insurance for an emergency room visit (see chart nearby). Further, for the 15 most common medical charges, no-fault insurance paid on average 190 percent more in Lansing and 193 percent more in Grand Rapids than Medicare, and 93 percent more than workers' compensation in Lansing and 95 percent more than in Grand Rapids.

The report covers a lot of areas and is fairly complex. But the reason for high costs is clear: Since coverage is mandatory and insurers cannot negotiate on price, incentives for consumers shopping for insurance and medical providers requesting pay are distorted.

Michigan legislators should work to properly align the costs and benefits of the insurance market.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.