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Study: Iowa could save millions on state benefits

Published: Wednesday, Sept. 26, 2012 11:30 a.m. CST

DES MOINES (AP) — A new study says Iowa could save nearly $116.3 million a year if it were to overhaul state worker benefits.

The study was conducted by a consulting firm, Aon Hewitt, for Iowa’s Department of Administrative Services. In the report, Aon Hewitt suggests Iowa change its benefits along the lines of businesses and other states selected for comparison. The study conclusions include a suggestion that 29,000 state employees pay higher deductibles and 20 percent of their health care premiums.

State employee union leader Danny Homan says the data was skewed to benefit Gov. Terry Branstad’s administration.