WWNO skyline header graphic
Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations
Local Newscast
Hear the latest from the WWNO/WRKF Newsroom.

Civil service panel approves state insurance contractor

The Civil Service Commission has narrowly agreed to a Jindal administration plan to hire a private company to manage a state employee health insurance plan.

The panel voted 3-2 Wednesday to allow Blue Cross/Blue Shield to run an insurance plan in the Office of Group Benefits that covers more than 62,000 employees and their dependents. The outsourcing will take effect Jan. 1.

The move will eliminate 177 state jobs — 121 of which are currently filled.

Gov. Bobby Jindal's administration says the move will save as much as $20 million annually, savings split between the state and local school boards.

Opponents questioned the savings estimates, objected to the layoffs and said the current administration runs the health plan efficiently.

Blue Cross already runs a larger insurance plan for state workers.

👋 Looks like you could use more news. Sign up for our newsletters.

* indicates required
New Orleans Public Radio News
New Orleans Public Radio Info