The Michigan Education Association wants teachers and other school employees to receive more interest from the $550 million the state improperly deducted from their paychecks from 2010 to 2012 to help fund retiree health care.
Teachers last week began receiving emails from the Michigan Office of Retirement Services notifying them how much money they would receive. Almost immediately, there were complaints about how much interest was included. In one instance, a teacher receiving $5,400 back is getting nearly $43 in interest.
For the most part, the interest received is less than one percent of what was deducted from teacher paychecks. The MEA, in the motion it plans to file, is seeking the Michigan statutory interest rate, which is 2.9%, said Doug Pratt, spokesman for the MEA.