NJ S460

When both spouses are public employees eligible for health care benefits from their respective employers, the spouse with the highest annual compensation must select coverage for the family, and the lower-earning spouse becomes ineligible for coverage from their employer.

Public employers are prohibited from making any payments to employees who waive health care benefits coverage, eliminating the previous practice of paying employees up to 25% or $5,000 of the savings from waived coverage.

The bill applies to employees of the State, local governments, local boards of education, county colleges, independent State authorities, and their agencies or instrumentalities.

The decision to allow employees to waive coverage is removed from the collective bargaining process.

The bill takes effect on the first day of the sixth month following enactment, with existing collective bargaining agreements honored until their expiration.