Tuesday, March 11, 2014

Another fine mess you got us into....

Unite Here,  a national union that represents 300,000 low-wage hospitality workers, warned that due to Obamacare's much higher costs for health insurance than what union workers currently pay, the result will be a pay cut of up to $5 an hour. "If employers follow the incentives in the law, they will push families onto the exchanges to buy coverage. This will force low-wage service industry employees to spend $2.00, $3.00 or even $5.00 an hour of their pay to buy similar coverage," said the union in a new report.

“Only in Washington could asking the bottom of the middle class to finance health care for the poorest families be seen as reducing inequality,” said the report from Unite Here. “Without smart fixes, the ACA threatens the middle class with higher premiums, loss of hours, and a shift to part-time work and less comprehensive coverage,” said the report, titled, “The Irony of Obamacare: Making Inequality Worse.”

“Unite Here was the first union to endorse then-Senator Obama. We support the addition of health care to millions of Americans. Yet facts are facts, and Obamacare will cost our members the equivalent of a significant pay cut to keep their hard-won benefits.” Union head Donald "D." Taylor, said.

Unite Here's document endorsed criticism that employers will move workers to part-time status to avoid the requirement that those working 30 hours or more a week be provided health insurance -- or else the company pays a penalty. And it says the Affordable Care Act will shift workers from union insurance to the more expensive Obamacare health exchanges, costing them up to half of their pay to cover premiums.

“The information addresses the very unfortunate irony of Obamacare,” Taylor said in his letter about the report. “Namely, that it will inevitably lead to the destruction of the health care plans we were promised we could keep. And, as a result, it will lead to greater income inequality for the very segment of the population Obamacare should want to help most.”

 Democrats in Washington are telling unions to stop griping about the impact of Obamacare on their members with a Senate aide saying, “Labor needs to regress to the mean.” Said Taylor: “In other words, roll back what you have and take one for the team. Ironic, given that Congress and the president carved out an exemption for staffers on the ACA. We cannot sit idly by as the politicians carve up our health plans while they carve out exceptions for themselves and every special interest feeding at the trough in Washington.”

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