ASSEMBLY RESOLUTION No. 96

 

STATE OF NEW JERSEY

 

INTRODUCED MAY 13, 1996

 

 

By Assemblywomen GILL, BUONO and Assemblyman Impreveduto

 

 

An Assembly Resolution memorializing the Governor and Blue Cross and Blue Shield of New Jersey regarding certain practices of that company.

 

Whereas, It is the responsibility of the Executive and Legislative branches of government of the State of New Jersey to develop and implement policies that are in the best interests of the citizens of the State of New Jersey; and

Whereas, The retention and creation of good jobs should be a top priority for both the Administration and the Legislature, so as to ensure a high standard of living and a decent quality of life for every New Jersey citizen; and

Whereas, The provision of affordable health care benefits to public employees is an appropriate direct contribution made by the State and its instrumentalities, as employers, to the quality of life of citizens of the State; and

Whereas, In providing these benefits the State can reasonably be expected to seek the best coverage at the lowest price, but not at the expense of risking the quality of the health care provided or undermining efforts to create and retain decent jobs for all New Jersey residents; and

Whereas, It is found that Blue Cross and Blue Shield of New Jersey, in being awarded the contract from the State to provide health coverage to public employees, has received substantial benefits from the State of New Jersey but, in return for those benefits, has exported a major portion of the claims-processing work performed under this contract to the nations of Jamaica and Barbados, where workers performing that work earn wages of approximately $1.50 per hour, a rate far below the minimum standards set by the State for workers in New Jersey; and

Whereas, In so doing, Blue Cross and Blue Shield of New Jersey has exemplified the poor corporate citizenship currently present among many members of the business community who have responded to New Jersey's efforts to produce a business-friendly climate by downsizing or moving jobs out of the State, thereby directly reducing the benefits received by the citizens of New Jersey, as well as exerting pressure on competing bidders for public contracts to also undermine the living standards of citizens of the State through the payment of substandard wages or relocation of jobs out of the State; and

Whereas, is antithetical to the State's job creation and retention efforts to award a State contract to a company that sends a large portion of its jobs outside the State in search of low-wage labor; now, therefore,

 

    Be It Resolved by the General Assembly of the State of New Jersey:

 

    1. The Governor is hereby urged to rescind the State's contract with Blue Cross and Blue Shield of New Jersey for health care coverage for public employees or renegotiate the contract to require the company to cease its practice of evading the State minimum pay standards by exporting portions of the work performed under its contract with the State.

 

    2. Blue Cross and Blue Shield of New Jersey is urged to act as a responsible corporate citizen and cease its practice of evading the State minimum pay standards by exporting portions of the work performed under its contract with the State.

 

    3. Duly authenticated copies of this resolution, signed by the Speaker of the General Assembly and attested by the Clerk of the General Assembly, shall be transmitted to the Governor and to the Chief Executive Officer of Blue Cross and Blue Shield of New Jersey.

 

    4. This Assembly resolution shall take effect immediately.

 

 

STATEMENT

 

    This resolution is intended to express the will of the General Assembly that:

    1. The Governor should rescind the State's contract with Blue Cross and Blue Shield of New Jersey or renegotiate the contract to require that company to cease its practice of evading the State minimum pay standards by exporting portions of the work performed under its contract with the State; and

    2. Blue Cross and Blue Shield of New Jersey should act as a responsible corporate citizen and cease its practice of evading the State minimum pay standards by exporting portions of the work performed under its contract with the State.


 

Memorializes the Governor and Blue Cross and Blue Shield regarding certain practices of that company.