Budget Director: Retiree Benefits Need To Change

By: The Associated Press
By: The Associated Press

State budget director John Nixon says health coverage for retired state workers is an expensive benefit that needs to change.

Speaking Monday to the Business Leaders for Michigan summit, Nixon says he thinks the benefit should no longer be extended to new employees like him.

The former Utah budget director began working in Michigan in early January.

Nixon says 13 percent of the state payroll goes to pay for retirees' current health costs, and that's not counting what it will cost in the future.

Michigan has about 55,000 retired state workers and about 50,000 current workers.

Nixon says his remarks were his personal opinion, not necessarily the stance of his boss, Gov. Rick Snyder.


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