LANSING, MICH. (AP) -- A bill that supporters say would save money on retiree benefit costs related to Michigan state government employees is headed to Republican Gov. Rick Snyder.

The Republican-led Senate approved the measure Tuesday by a 23-15, mostly party line vote. The bill already has been approved by the House.

The bill would eliminate the 3 percent employee contribution that state workers have been making since last year to help cover retiree health care costs.

Those contributions, already challenged in court cases, would be refunded to workers.

The bill would require employees covered by state pension plans to decide whether to remain in the pension plan or convert to a 401(k) system.

Workers who choose to remain in the pension plan would have to contribute 4 percent of their compensation.

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