At a time when public employers across Pennsylvania are seeking to reduce or at least contain the skyrocketing costs of post-retirement health care benefits, the Commonwealth Court has virtually handcuffed municipalities from achieving any genuine relief for decades. The Commonwealth Court ruled in FOP, Flood City Lodge No. 86 v. City of Johnstown, No. 1873 C.D. 2010 (February 22, 2012), that the elimination of post-retirement health benefits for active police officers and firefighters by an Act 111 interest arbitration panel constitute an unlawful diminishment of contractually guaranteed benefits under the Home Rule Charter Law. This decision will likely have broad implications, as it signals how the Commonwealth Court will interpret a similar provision in the Pennsylvania Constitution that applies to all municipalities.
Continue Reading Pennsylvania Commonwealth Court Prohibits Act 111 Arbitration Panels from Reducing Post-Retirement Health Care Benefits for Active Employees