Though the White House has steadfastly claimed ObamaCare will be good for the economy — slowing annual health care inflation by 1.5 percentage points and increasing GDP — some of the nation’s biggest backers of the law are finally awakened to the harsh reality.
In a letter addressed to Harry Reid and Nancy Pelosi, three big union bosses, including longtime Las Vegas Culinary union head D. Taylor, warn that ObamaCare must be fixed before it taxes their hard-won Cadillac nonprofit health insurance plans into bankruptcy and destroys the 40-hour workweek.
The letter reminds, in no uncertain terms, how much Democrats like Harry Reid owe the union.
“We have been strong supporters of the notion that all Americans should have access to quality, affordable health care,” the union bosses write. “We have also been strong supporters of you. In campaign after campaign we have put boots on the ground, gone door-to-door to get out the vote, run phone banks and raised money to secure this vision.”
In 2010, that huge union surge completely changed in Nevada the turnout ratio that was the rule across the rest of the nation.
The unions now realize that the law creates “perverse incentives” for employers to keep employees’ work hours below 30 hours a week so they do not have to provide health insurance. “Numerous employers have begun to cut workers’ hours to avoid this obligation, and many of them are doing so openly. The impact is two-fold: fewer hours means less pay while also losing our current health benefits,” the letter points out.
But perhaps more importantly, the unions’ nonprofit plans will not qualify for ObamaCare subsidies though union members will be taxed to subsidize others, making “plans like ours unsustainable.”
“Time is running out,” the bosses warn, “Congress wrote this law; we voted for you. We have a problem; you need to fix it. The unintended consequences of the ACA are severe.”
Perhaps they should have been paying attention in 2010 when the Heritage Foundation warned that ObamaCare would increase the deficit by an average $75 billion per year and result in an estimated 670,000 lost job opportunities per year.
Maybe someone at the unions took a closer look at the June jobs report in which the unemployment rate held steady at 7.6 percent, but the underemployment rate rose from 13.8 percent to 14.3 percent. This is because there are more people working part-time who want to work full-time.