Winston-Salem, North Carolina – The Winston-Salem/Forsyth County School Board voted on September 23rd to cut dental insurance coverage for current and retired employees.
District leaders said the move would save $2.5 million from a $37 million budget deficit. Retirees on fixed incomes will now be required to purchase their own dental insurance.
Attorney Jason Keith of Keith & Associates confirmed the legality of the decision. He explained that unless certain benefits, such as dental insurance, are explicitly guaranteed by the contract, the school district has the right to eliminate them—even for retirees who have previously agreed to the terms of the benefits.
In North Carolina, dental insurance is classified as an “optional supplemental benefit,” meaning it can be terminated at any time.
The district faced a difficult choice: cut dental insurance or lay off 33 employees to achieve the same savings. Many observers viewed cutting dental benefits as the lesser of two evils. The change will also apply to future new hires.
Keith noted that employees still have options, including organizing a union or lobbying to preserve dental benefits for future retirees. Forsyth County currently has an education association, but it doesn’t function as a formal union.
