Court says school employees should be paid back

LANSING (AP) — Michigan teachers are celebrating a court ruling that they be returned wages that were withheld from paychecks for retiree health care.

Public school employees had 3 percent of their pay deducted for about two years under a 2010 law signed by Gov. Jennifer Granholm.

Once the law was declared unconstitutional, Gov. Rick Snyder signed a new one in 2012 that’s been upheld by the Michigan Supreme Court.

But the state appeals court again ruled 2-1 Tuesday that initial salary deductions were improper. The money’s in an interest-bearing escrow account with more than $550 million.

MEA President Steven Cook says the union has “seen this fight to what we hope is the end.” A budget office spokesman says an appeal is being considered.