Dutchin has a wife, two children and a lung problem. If the administration's proposed changes to employee health-care benefits go into effect, Dutchin said he would need extra income for his frequent doctor and pharmacy visits.

"It's a major concern," Dutchin said. "It's getting out of hand now."

Dutchin is not alone in his plight. His union, the American Federation of State, County and Municipal Employees Local 3937, which represents University technical workers, rallied with clerical, health-care and other unions outside the Board of Regents meeting at the McNamara alumni center Friday.

As part of a budget solution, the University is planning to raise health-care premiums and co-payments and freeze employee wages.

Though no discussion or action regarding the health-care issue took place inside the board room, outside was a different story.

Union representatives spoke to the crowd, which carried signs stating "No Health Care Cuts" and "Affordable Health Care, We Expect Respect."

"We can't afford to have health care riding our backs," AFSCME Local 3937 President Jody Ebert shouted to the crowd.

After Ebert's speech, the crowd began chanting "put people first."

"We want the administration to know that health-care benefits are not for sale. We're ready to fight and we will win," said Paul Nelson, spokesman for Teamsters 320. Teamsters 320 represents 8,000 public employees statewide and 1,000 at the University.

Members of the Service Employees International Union Local 113 - which represents health-care workers throughout the state, but not University health-care workers - were also present at the rally.

"We're here in solidarity," Service Employees International Union member Nate Gunderson said.

Stefan Hertel

University clerical workers, teamsters and members of the Service Employees International Union Local 113 rally Friday afternoon outside the McNamara alumni center. The unions opposed a wage freeze and increased cost of health care proposed by the University.

The international union recently won a 20 percent increase in employer contribution after a negotiation with the Twin Cities Hospital Association and Allina Hospitals and Clinics.

University President Bob Bruininks said he is aware that the impact of the proposed health-care plan can fall more heavily on lower-income workers. He said that will be taken into consideration during negotiations.

Without the increased health-care costs, however, hundreds of employees would have to be laid off, Bruininks said.

On Thursday, a regents committee discussed the proposed employee health-care changes and wage freezes.

Regents are scheduled to vote on the budget June 26, but unions can negotiate with the administration past that date.

"Negotiations will go on until we receive an acceptable contract for our members," said Phyllis Walker, president of AFSCME Local 3800, the union representing University clerical workers.

Administrative officials and union members have conflicting views about what is acceptable.

"Even with the proposed plan, phased in over two years, it's still one of the most generous and comprehensive health-care plans in Minnesota and nationally," Bruininks said.

Benefits Advisory Committee Chairman Fred Morrison said University employees are still better off than they would be under state health-care coverage. Last year, the University started providing employee health care independent from the state.

While the proposed health-care plan meets - and in some areas exceeds - Big Ten and public sector benchmarks, union members say minimum wage at the University is far below par.

"There's nothing like striving for the bottom line, right?" Ebert said sarcastically to the crowd Friday.

The University is not the only higher education institution trying to solve budget problems through health-care cost hikes and wage freezes.

Health-care premiums in Wisconsin are rising at almost the same pace as in Minnesota, said Jack Wilson, benefits policy analyst for University of Wisconsin schools.

"It's obviously a very big issue," Wilson said. "We're looking at various ways to bring it under control."

The University Senate Benefits Advisory Committee suggested to regents that employees receive different benefits based on marital status and number of children. Currently, the only divisions are individual and family. Committee members said the system would allocate costs more specifically.

"It's designed to match the cost to the premium," said Frank Cerra, senior vice president of academic health care at the University.

Cerra said the University is also looking into a program to manage drug benefits. It could allow the institution to purchase mass quantities of drugs at low prices. Generic drugs that work just as well as big-name medications but cost less would be purchased whenever possible, Cerra said.

The University of Wisconsin is looking at similar ideas, Wilson said, but no specifics are available yet.

Regent David Metzen said the proposed health-care plan would save the University roughly $10 million over the next two years.

"We're going to continue to share the pain in the way we're all used to here at the University," Walker said. "Some get to dish it out, and others get to feel it."

Jake Weyer covers faculty and staff and welcomes comments at jweyer@mndaily.com