The New York Court of Appeals ruled against retirees who challenged the switch from traditional Medicare to a private Medicare Advantage plan initiated by Mayor Eric Adams. Judge Shirley Troutman stated the retirees failed to prove their health coverage would suffer and lacked a binding promise for unchanged benefits. This decision affects around 250,000 retirees and could save the city approximately $600 million annually. The NYC Organization of Public Service Retirees plans further action, emphasizing the need for legal protections for seniors in future city laws.
The ruling states that retirees did not provide sufficient evidence their health coverage would be diminished under the proposed Medicare Advantage plan.
The mayor's office argues that switching to Medicare Advantage will save the city about $600 million annually for benefits for current employees.
Retirees opposing the change claim the ruling allows the city's plan to move forward, demanding the next City Council and mayor to prioritize protections for seniors.
The switch, initially announced by former Mayor Bill de Blasio, has seen declining support among municipal worker unions.
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