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Iowa Proposes Wage Freeze for State Employees

Iowa Proposes Wage Freeze for State Employees

By The Associated Press. CREATED Dec 1, 2012

Des Moines, IA (AP) - Governor Terry Branstad's administration is proposing a wage freeze and increasing health care costs for 20,000 state workers, in negotiations with state employee unions. The talks are for new contracts scheduled to take effect in 2013.

Des Moines television station KCCI reports the state wants to freeze state worker wages for two years and increase out-of-pocket health care costs by 20 percent. The state's proposal  also removes union negotiating power in areas including discipline, layoffs and outsourcing.

Union president Danny Homan says Governor Branstad is out to score political points.