You’re on your own little guys. That’s the message from the corporate state, who appear poised to slam as many low-class and middle class workers as it can into the medical slums known by “Obamacare” …all paid for with grade F government deficits. From the WSJ:
McDonald’s Corp. has warned federal regulators that it could drop its health insurance plan for nearly 30,000 hourly restaurant workers unless regulators waive a new requirement of the U.S. health overhaul.
The move is one of the clearest indications that new rules may disrupt workers’ health plans as the law ripples through the real world.
Trade groups representing restaurants and retailers say low-wage employers might halt their coverage if the government doesn’t loosen a requirement for “mini-med” plans, which offer limited benefits to some 1.4 million Americans.
The requirement concerns the percentage of premiums that must be spent on benefits.
I’ll tell you what’s going on. The cost of giving employees benefits just got jacked up by new government rules. McDonald’s had figured out a way to break even on the deal before and now the paperwork costs of running a health insurance program doesn’t make financial sense, so they are going to end up dumping the whole program (except for management, you can be damn sure).
McDonald’s may claim ignorance and play the victim here, but they didn’t make a fucking peep when these laws were being put in place, so they are clearly guilty of neglecting their workers. My lowly slave brother and sisters at McDonald’s should be rightly pissed off about this, my condolences are with you and I would understand if you feel the need to sabotage valuable corporate equipment, like the delivery truck’s tires.
This won’t be the last company to drop a bombshell like this, and if it keeps happening in election season… oh boy.
UPDATE 10/1: McDonald’s has issued a statement saying that the Wall Street Journal is basically full of shit for reporting this as fact. Keep your ears to the ground on this one.
From Stephen Gordon’s facebook: Another from the ObamaCare I-Told-So Department: This hubby-of-a-doc and former medical practice manager kept telling the liberals that ObamaCare would cause “brain flight” similar to what happened in Canada and Great Britain, but they didn’t believe me. Health reform to worsen doctor shortage: group:
The U.S. healthcare reform law will worsen a shortage of physicians as millions of newly insured patients seek care, the Association of American Medical Colleges said on Thursday.
The group’s Center for Workforce Studies released new estimates that showed shortages would be 50 percent worse in 2015 than forecast.
“While previous projections showed a baseline shortage of 39,600 doctors in 2015, current estimates bring that number closer to 63,000, with a worsening of shortages through 2025,” the group said in a statement.
UPDATE 10/7: I knew this shit wasn’t over. Now there’s new revelations… Apparently if you are a big corporation, Obama wants to let you know the rules don’t actually apply to you (change you can get an exemption for?). From the NYTIMES:
To date, the administration has given about 30 insurers, employers and union plans, responsible for covering about one million people, one-year waivers on the new rules that phase out annual limits on coverage for limited-benefit plans, also known as “mini-meds.” Applicants said their premiums would increase significantly, in some cases doubling or more.
It’s not a coincidence this is taking place right before an election. Corporations know which way the wind blows, and right now they are more than happy to put the screws to Obamacare to get concessions and waivers thrown at them by a White House freaking out over mid-term polls. Democrats want this story to go away, but I’m sure the 1 million workers getting screwed will have their say.