New York City’s plan to solicit bids for health insurance for hundreds of thousands of workers has been put on hold.
A Manhattan judge on Monday granted a preliminary injunction preventing the City from issuing the bids.
A group of unions sued the city Aug. 10, shortly after Mayor Michael Bloomberg said the city was planning to seek bids within days. Bloomberg said the request for proposals will look to save up to $400 million a year.
The Municipal Labor Committee, which is concerned about how the plan would affect care for 500,000 workers, retirees and relatives, released a statement praising the ruling.
The judge also denied the City’s motion to dismiss the complaint.
A spokesman for the Bloomberg administration says it plans to appeal the decision.