How would you feel if your employer took funds meant for your health insurance and spent them on partisan politics? Sadly, this is a reality for thousands of teachers in Philadelphia.
Evan Grossman of Watchdog.org has the story:
Every year, the [School District of Philadelphia] is bound by its contract with the Philadelphia Federation of Teachers to pay more than $69 million for employee health care benefits.
The payments come in increments of $167.41 per teacher every two weeks during the school year, adding up to some $4,352 annually for each of the PFT’s 16,000 members. Those funds come from a pool of state and local taxes. The PFT’s Health and Welfare Fund receives a chunk of that money, which is earmarked for supplemental benefits, such as dental and vision, along with other programs like life insurance and its annual educational conference, which will be held in March 2016.
The Watchdog investigation found that more than $6 million from that fund was loaned, interest-free, to the union’s bleeding building fund, where it appears to have been spent on building maintenance and upgrades. According to Internal Revenue Service filings completed by the union, that money may never be paid back.
Part of the cash, loaned in five separate installments, was also used to subsidize the rent of the Jewish Labor Committee.
While teachers are working hard in the classroom, the Philadelphia Federation of Teachers (PFT) is secretly draining their insurance fund to subsidize politics and facilities upgrades.
Philadelphia is one of only two school districts in the state where teachers enjoy no-cost health insurance—generous benefits unheard of in the private sector. When Philadelphia’s School Reform Commission attempted to restore fiscal sanity to the money-bleeding district by asking for modest health cost sharing, the union responded with a lawsuit. The union’s refusal to accept even minor health care concessions is more remarkable given that millions of dollars from the Health and Welfare Fund are not even spent on health insurance.
As long as the Health and Welfare Fund serves as a slush fund for political activity, union leaders will fight tooth and nail to retain their unique taxpayer-funded health care privileges.
Of course, this isn’t the first time PFT leadership has used students and teachers as pawns in a larger political game. And it likely won’t be last—at least until government unions are more transparent in their operations and more accountable to their membership.