Bargaining Chairperson Report - October 2025

Bargaining Chairperson Report

October 18, 2025

Hello Brothers and Sisters,

Contract Ratification

Following ratification, the contract is expected to be implemented within approximately 45 days. This timeline will allow for a smooth transition and ensure all agreed-upon terms are put into effect promptly.

Open enrollment is this month for benefits.

In accordance with Article 31, this communication is to inform you of the following changes in the University's benefit plans for 2025. Changes are effective January 1, 2025.

Health Insurance Plans - Staff member's contributions for health plans and coverage levels for 2025 can be found on-line now using Wolverine Access, Self Service > Benefits. A uniqname and UMICH (Kerberos) password are required. The page displays the individualized rates for faculty and staff members. Rates for all benefits plans for which employees are eligible, not just the health plan rates, are displayed.

The university offers a consumer-directed health plan (CDHP) with a health savings account (HSA). The annual combined medical and prescription drug deductible will be $1,650 (individual)/$3,300 (family.

Once the deductible has been reached, a 10% coinsurance on medical claims and prescription drug copays will apply to the out-of-pocket maximum of $5,500 (individual)/$9,200 (family).

The HSA is a tax advantage health care savings account that is available to individuals that enroll in the consumer-directed health plan the university will contribute up to an annual maximum of $825 (individual)/ $1,650 (family). Members can contribute a maximum of $4,300 (individual)/ $8,550 (family) for 2025.

Physicians Health Plan (PHP) is the vendor that administers Michigan Care and Michigan Care Advantage. PHP is now University of Michigan Health Plan (UM Health Plan). Members of Michigan Care will receive new cards in late December with the new vendor’s name. This is a name change only; the coverage remains the same.

More information about our health plans can be found at https://hr.umich.edu/benefits-wellness/benefitsenrollment/changing-your-benefits/open-enrollment

Open Enrollment (OE) - The Open Enrollment period is scheduled from October 21st, 2025 to November 1st, 2025. Employees will receive email communications directing them to information on the Benefits Office website. The website will include a medical plan coverage comparison chart, information on where to find rates and details about other benefit plans, and instructions for making enrollment changes online through Wolverine Access. Web-based enrollment using self-service Benefits is the standard way for staff to make benefit elections for 2025.

Beginning October 21st, members may log into Wolverine Access and use self-service Benefits to view their current elections and make changes until 5 p.m. on November 1st. If an employee is unable to access or use self-service Benefits, they may contact the Shared Services Center - HR Customer Care at (734) 615-2000 or (866) 647-7657. If an employee is hired into the University and their appointment has been processed by October 11th, 2025, they will be eligible to participate in Open Enrollment this year.

Prescription Drug Plan - Magellan Rx, the vendor that administers U-M's Prescription Drug Plan, will be renamed Prime Therapeutics on Oct. 1, 2025. Web pages, booklets and other resources will refer to Magellan Rx as "Magellan Rx/Prime Therapeutics" throughout Open Enrollment. In 2025, all plan materials will refer to them as Prime Therapeutics. There will be no changes to Magellan Rx card; this is a name change only.

Long-Term Disability (LTD) Participants - Staff members that have qualified for Long-Term Disability and are enrolled in Medicare will be transitioned to one of U-M's three comprehensive Medicare Advantage plans. LTD participants will receive communications mailed to their current address on file regarding the transition.

Optional Life Insurance - The following changes will be made to the Optional Life Insurance plan:

• A new $10,000 coverage amount will be added

• The $5,000 coverage level will be closed to new enrollments

• The maximum amount of coverage will increase to $1.7M (from $1.5M)

Staff members will have an opportunity to increase their optional life enrollment by one-time salary without the need to submit a statement of health.

Vision Plan - The allowance for frames and contact lenses is increasing to $200, a $70 increase over this year. Staff members participating in the Vision Plan will also see an approximately 10% decrease in monthly premiums.

Legal Services Plan - The Legal Services Plan will have three new services available to participants. The new services provide support for Divorce, Custody Orders, and Enforcement/Modification of Support Orders.

Further details on the Legal Services Plan for 2025 are available on the Benefits Office website at: hr.umich.edu/benefits-wellness/financial/legal-services-plan

Flexible Spending Accounts - The annual amount staff can contribute to a Health Care Flexible Spending Account will increase to $3,200 for 2025.

Further details on the FSA plans for 2025 are available on the Benefits Office website at: http://benefits.umich.edu

Holiday:

Holidays will be observed on the calendar day on which they occur, except that a holiday falling on Sunday will be observed on the following Monday (e.g., Memorial Day). Employees are required to work their last scheduled day prior to and the first scheduled workday following the holiday. Employees who work on the holiday will be compensated at one and a half times their hourly rate, including shift premium if applicable. An employee who does not work on a holiday when scheduled will not receive holiday pay unless their absence is excused.

Discipline:

Discipline should be corrective and progressive, not punitive. Michigan Medicine and University will follow a documented procedure: warning, written warning, one-day layoff, two-day layoff, or paper DLO (for absenteeism), and discharge. If an employee stays discipline-free for a year, the supervisor repeats a step before progressing. Paper DLOs are clearly marked and used for unexcused absences. Serious offenses may alter the steps of progressive discipline.

Inappropriate Language:

Always be mindful of your surroundings and the individuals around you. Refrain from discussing sensitive topics; personal and intimate conversations are not suitable in most settings. The use of profanity is never acceptable. Language that is discriminatory or demeaning is inappropriate and unwelcomed by all. Inappropriate remarks, whether made jokingly or in anger, can lead to serious consequences. If a situation becomes uncomfortable or confrontational, promptly and calmly disengage. Do not hesitate to step away to help deescalate the situation.

Chief Stewards can be contacted at the union hall on Fridays. Please feel free to contact me anytime. My number is (734) 323-4868. Email [email protected] or the union hall (734) 480-3852.

In Solidarity,

Cassandra Millett, Bargaining Chair

AFSCME Local 1583