U.S. Markets closed

Non-contract Iowa workers to pay health insurance

DES MOINES, Iowa (AP) -- Iowa Gov. Terry Branstad is releasing details of a salary and benefits plan for non-union state workers that requires them to contribute 20 percent of their health insurance costs.

The plan announced Thursday by Branstad covers more than 3,400 employees. It includes non-recurring salary increases of 1 percent for the 2014 and 2015 fiscal years, instead of base pay increases.

Employees will get raises in July 2013, January 2014 and January 2015.

Branstad says employees can participate in wellness programs that reduce insurance premium costs. He says the salary raises exceed health insurance costs.

The plan goes into effect at the beginning of January 2014. It will cost $3 million for the 2014 fiscal year and $5.7 million for the 2015 fiscal year.

Branstad says managers also can give merit raises.