Sent: Friday, September 29, 2006 2:51 PM
To: All UC lecturers
Subject: Health Benefits Settlement--$640,000 to be distributed to affected members of Unit 18

Attention NSF!

Some very good news (for a change)!

If you worked for UC as an NSF in the period from 2001-2003, and were health
benefits eligible, what follows directly affects you.

After long last, and some extremely difficult negotiations, UC-AFT and the
University have come to an agreement about how to implement the Public
Employment Relations Board (PERB) decision that ordered the University to
make whole all lecturers whose health benefits premiums and co-payments were
increased during the protracted bargaining of 2000-2003. In this case,
which UC-AFT litigated from 2003 through 2005, both PERB and the California
Appellate Court found that the University had violated the Higher Education
Employer-Employee Relations Act (HEERA).

The University will pay a total amount of $640,000 to the affected group.
Those affected (1) worked anywhere as NSF during the period of time from
January 2002 through July 2003 and (2) were health benefits eligible at any
time during this period.

Distribution to those affected will take place in phases. In the first
phase, approximately 800 people who were harmed by UC's increased charges in
2002-2003, who still work for the University as NSF, and who were benefits
eligible in May 2006 will receive a check. This check will be for one of
three amounts: (a) $300, if the lecturer's coverage in May 2006 was for one
adult only; (2) $600, if the lecturer's coverage in May 2006 was for two
adults OR for one adult and one child; (3) $900, if the lecturer's coverage
in May 2006 was for an adult with family coverage. Payments should be made
to this group around 13 November.

The second phase of the distribution plan will attempt to reach all those
who WERE benefits eligible in the 2002-2003 period but have since left UC
employ (or have changed titles and moved out of Unit 18). These people will
receive a letter at their last known address, along with a form that they
must return to UC within 45 days. If they return the form, they will receive
a payment of $200 early in 2007. If they do not return their forms by the
agreed-upon deadline, then their share of the settlement will revert to the
settlement pool.

In the third and final phase, all monies that still remain in the settlement
pool (after issuance of the $200 payments to those former NSF who return
their forms) will be divided equally among the approximately 800 people in
the first group. We do not yet know the amount of this second payment,
since this calculation will depend entirely on how many former NSF claim
their $200 payment. The second payment to affected unit members still
employed by the University will be issued on February 1, 2007.

We are delighted to be able to announce settlement of the case and that UC
has finally complied with the Administrative Judge's order. Please watch
your mail for notification from UC about your eligibility within the next
several weeks. If you are in touch with former NSF who may be eligible for
the $200 payment, please forward this message to them.

If you have any questions about this settlement, please contact UC-AFT
Executive Director Karen Sawislak at ksawislak@cft.org.

With all best wishes,

Alan Karras, UC-AFT Vice-President for Grievances
Karen Sawislak, UC-AFT Executive Director

Karen Sawislak
University Council -- AFT
One Kaiser Plaza, Suite 1440
Oakland, CA 94612
(510) 832-8812
(510) 832-2080 - fax
(415) 254-5622 - mobile