Three major U.S. unions sent a scathing letter to Democratic leaders in Congress, warning that unless changes are made, President Obama’s health care reform plan will destroy the foundation of the 40 hour work week for the American middle class. According to union leaders, without an equitable fix, the ACA will shatter hard-earned health benefits and destroy the foundation of the 40-hour workweek that is the backbone of the American middle class.
The unions complain that the law creates an incentive for employers to keep employees’ work hours below 30 hours a week. Numerous employers have already started cutting 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 health benefits.
Second, millions of Americans are covered by non-profit health insurance plans like the ones in which most union members participate. Under the ACA, our employees will not be eligible for subsidies afforded other citizens. But these plans will be taxed to pay for those subsidies. These restrictions will make non-profit plans unsustainable; and will undermine the health-care market of viable alternatives to the big health insurance companies, according to the letter.
Union leaders say that common-sense corrections to ACA implementation would allow union members to keep their health plans and benefits just as the President has pledged.
