Monday, September 16, 2013

Bad news for Big Labor: White House says "No" to ObamaCare subsidies

Big Labor campaigned big time to have ObamaCare passed. But now their workers' health care plans are under attack because of the unpopular law.

The bosses asked the White House for subsidies--and surprisingly, it said, "No."

From AP:
Low-income workers on union health plans are not eligible for the same federal subsidies available to those who buy insurance in the new state health care marketplaces, the White House said Friday.

The decision is a disappointment for labor unions, coming shortly after top union officials met for more than an hour with President Barack Obama to press their case that subsidies could be extended to union-sponsored plans.

Labor leaders have complained for months that without the subsidies, the Affordable Care Act would drive up the cost of some union plans, leading employers to drop coverage and jeopardizing health coverage for millions of union members.

The White House cited a Treasury Department letter saying there is no legal way for union members in multiemployer group health plans to receive subsidies. In a statement, the White House said it would work with unions and encourage them to offer their multiemployer plans "through the marketplace, on an equal footing, to create new, high-quality, affordable options for all Americans."
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