Politics & Government

Toms River Council Members to Retain Benefits in Employee Restructuring

Longevity raises, sick and vacation time payouts to be eliminated for non-union employees

Toms River's elected officials will continue to be eligible for taxpayer-funded health benefits under an ordinance introduced on first reading Nov. 26 which will likely be finalized in a second vote later this month.

The bulk of the ordinance, however, restructures how non-unionized, full-time township employees receive such benefits as health insurance, vacation time and other forms of compensation such as payouts of unused time off at retirement.

Vacation time for employees hired after Jan. 1, 2014 will be pared down to a maximum of four weeks after 10 years of service. That's down from the previous policy of five weeks after 15 years of service and six weeks after 25 years of service.

The township will eliminate payouts for unused sick and vacation time upon retirement for new hires after Jan. 1, 2014, and current employees who have less than 20 years of service with the township will be eligible to receive a maximum payment of $15,000. Sick leave accrued after Jan. 1, 2014 will not count toward that payout. The $15,000 cap is compliant with state benefits reform laws passed in recent years.

The accrual of sick leave time during one's service with the township can still be carried year-to-year despite the limits now being placed on retirement payouts.

So-called longevity raises for new hires are being eliminated under the proposal. Previously, depending on the year they were hired, employees were entitled to raises after their third, fifth, ninth, 12th and 15th years of service. The raises were previously scaled back for employees hired after Dec. 1990 and Jan. 1998; currently, employees hired in 1998 to the present receive raises after their ninth, 12th and 15th years. The raises range from 2 percent to 8 percent.

Health benefits will be extended to full-time employees only, with the exception of elected officials, who will still enjoy benefits. The coverage will be limited to what is known as the township's "EPO Advantage Plan," or its future equivalent, according to the ordinance.

Full time employees and elected officials also qualify for dental and prescription coverage. Employees and elected officials must pay a portion of their earnings toward the benefits.

Some elected officials in town have faced criticism over taking taxpayer-funded benefits since they hold what is commonly thought of as a part-time job. Regular part-time employees of the township are not eligible for any such benefits.

Currently, three council members receive health benefits. Councilmen Maurice "Mo" Hill and Jeffrey Carr receive benefits from the township while Councilman Al Manforti receives benefits as a result of his stint with the Toms River MUA.

Toms River uses a private insurance carrier for its employee health benefits, meaning the municipality is not covered under reforms enacted several years ago to the state employee health benefits system that barred newly-elected officials from receiving benefits.

No members of the governing body commented on the ordinance at its introduction, though in recent months the practice of elected officials receiving benefits has been defended by council members.

"This has been in place for over 30 years, and the salary has been the same amount for 30 years," said Council President George Wittmann, of the benefits option, at a recent meeting. "The benefits came with the salary."

The changes in the ordinance affect only non-unionized employees. The benefits received by employees who are union members are dictated by a collective bargaining agreement and state labor laws.


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