Grapevine rumors on jobs

[My Name Is Nobody 3]

This is not my strategy. But will be used by established businesses across the country.

I do have one question. Why would it matter to the employee who pays for the insurance as long as they have it? This new health care law says all people will have affordable insurance regardless of income. I think they would pay the same regardless of who pays....Employer or Obamacare.

There is no reason why they should be upset. Unless the employer can provide better insurance than the Guv?

[one...two...tree 2,762]

[Gary and Alla 3,694]

I am sure it will happen, it always has before. However, you forget one important thing. This passage of health care "reform" is not the end, it is the beginning. If employers reduce to under 50 workers, the government will lower the threshold to 20 employees, or 10...or even ONE. They will not be thwarted. This is about control, not health care, and they will not allow people to avoid being controlled.

wait until the legislation comes controlling every part of your life in the name of "reducing health care costs". Every aspect of your life is now a vested interest of the government BT they will not legislate against politically correct "risky behavior" only that which they want to control.

[Mr. Big Dog 10,747]

I do have one question. Why would it matter to the employee who pays for the insurance as long as they have it?

It's simple: The coverage I currently have for my family now costs about 14K / year. My employer covers the majority of it - about 10K while I pay the remaining portion of the premium. Now, I do not pay any taxes (income or FICA) on that 10K or so that my employer pays towards my coverage. If I was to buy that coverage on my own, my employer would have to raise my income by over 10K for me to actually break even. My income is well above the limit to qualify for any subsidy of any kind. If my employer would pay out the portion of the benefit (taxes and all) on top of my current salary and I would come out even, it wouldn't matter to me whether I buy my own coverage on the exchange. But if my employer does that, then what savings does he have? None as far as I can see.

We can get into a debate on whether the employer sponsored coverage should be abolished altogether - along the lines that McCain suggested as a candidate for President. That wouldn't be the worst thing in the world as it would 1) level the playing field for employers (large and small) and 2) provide additional mobility for employees since one - not insignificant - consideration of changing jobs would simply vanish.

ETA: For those within the income limits to be eligible to receive subsidies, here's why the employer is better off offering a plan than dropping them into the exchange. It's tax relief for employers who provide health insurance benefits and a penalty for those employers that rather drop the cost on society. Levels the playing field and promotes the employer sponsored coverage that our health care system happens to be build on.

Edited March 23, 2010 by Mr. Big Dog