Entries in unions (5)



The Obama Administration demonstrated its normal incompetence in front of the entire country when its three-years-in-the-making ACA enrollment website crashed. But, now that that the furor has subsided how is Obamacare doing?

Let's start with the impact on business. A recent survey indicates that a sizeable majority of business executives, 82% in fact, think the ACA will not control health care costs nor will it improve the health care system's efficiency. 

ACA will help my company more effectively control health care costs,” while another 82 percent disagree with the statement that “the ACA is improving the efficiency of the health delivery system.” As costs rise employers are considering converting their plans to a "defined contribution" approach, under which the employer would give an employee a fixed amount to be used to buy coverage. If the experience with the infamous "cash balance" pension plans is any precursor, this approach enables employers to hold costs down to reasonably predictable levels simply by capping its contributions. 

Another approach being widely considered is to increase deductibles and co-payments. Regardless of the means used fundamental employers will be aggressive in shifting costs to the "end users"; i.e., the employee and dependents.


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Yeah! That's a shame!

When incompetence merges with arrogance all sorts of unintended consequences eventually emerge. And when incompetence AND arrogance reside in a President...OH BOY!

There can be little doubt that President Obama's foolishness in Syria, Afghanistan and Iran will stand as historical examples of gamesmanship and shattered credibility. What has garnered far less attention but may actually have equivalent consequences domestically is the tale of the collapsing cozy relationship between unions and Democrats.

Unions have been in decline for decades in the private sector. According to the latest report from the Bureau of Labor Statistics private sector union membership is now at just 6.6%. In the public sector, it's 35.9%. So it's not surprising that unions have always opposed government-run health care. It's generally believed that, especially in the private sector, union membership is mainly driven by the rich benefits many unions offered through multi-employer plans. These plans enabled employees of even small employers to tap into the much-larger buying power  


Heritage Foundation on "10 Ways Obamacare Isn't Working"

This is an excellent article, by Chris Jacobs, in today's THE FOUNDRY by The Heritage Foundation. It enumerates the growing list of problems, concerns, legal issues and blatant patronage in a very ill-conceived and badly executed--so far--law. If this is President Obama's legacy, he shouldn't expect any monuments any time soon.

Obamacare is an unworkable law.

It’s obvious because the Administration keeps trying to “fix” it—to no avail. It has delayed parts of the law, ignored others, and carved out exemptions for its political allies.

1. WAIVERS: The Administration established a legally questionable program of temporary waivers when firms announced they were considering dropping coverage rather than comply with the law’s costly requirements. Even though more than half of the recipients of these waivers were members of union plans, many union leaders are still not satisfied—they wantanother waiver, to receive taxpayer-funded subsidies for their employer-provided coverage.

2. ILLEGAL TAXPAYER SUBSIDIES FOR CONGRESS: Last month, following heavy lobbying from leaders in both parties—and an intervention from President Obama himself—the Administration issued a rule regarding coverage for Members of Congress and their staffs, who will retain their taxpayer-funded insurance subsidies in the exchanges. Unfortunately, asprevious research has documented, the Administration had no legal basis on which to make this ruling.

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