Commentary Magazine


Topic: insurance policy holders

Big Labor Sold Out by Democrats

Harold Meyerson writes of Big Labor’s reaction to ObamaCare:

Labor believes, rightly, that the cost controls in the Senate bill come chiefly from insurance policy holders (among them, labor’s members), rather than from insurance and drug companies. Both the AFL-CIO and the Service Employees International Union have condemned these provisions, while hailing the bill’s epochal creation of affordable health insurance for 30 million Americans. They’re careful, too, to exempt President Obama from their criticisms.

Actually, if the labor bosses had their members’ interests at heart, they’d be outraged and looking to upset the deal. For starters, insurance for 30 million Americans really doesn’t do much for their members,  nearly all of whom have union contracts giving them that benefit. (Come to think of it, unions dig their own graves by supporting mandatory benefits for nonunion workers, thereby lowering the incentive to unionize.) Moreover, the excise tax on Cadillac plans hits their members disproportionately and quite severely. Having run against a similar proposal by John McCain, now Obama is delivering the same bitter pill to his political allies, as Meyerson concedes:

Politically, in fact, the tax could set in motion the kind of dynamic that undermined many Great Society anti-poverty programs: taxing the working class to provide benefits to the poor (or, in this case, the uninsured). Richard Nixon and Ronald Reagan smashed the Democrats’ New Deal coalition by fanning the racial and class tensions endemic to such programs.

So what exactly is in this for union members and why aren’t their leaders trying to stop this assault on their financial interests? You got me. But union members might start to wonder why millions in union dues are being used to support candidates who back legislation so hostile to their economic well being.

Harold Meyerson writes of Big Labor’s reaction to ObamaCare:

Labor believes, rightly, that the cost controls in the Senate bill come chiefly from insurance policy holders (among them, labor’s members), rather than from insurance and drug companies. Both the AFL-CIO and the Service Employees International Union have condemned these provisions, while hailing the bill’s epochal creation of affordable health insurance for 30 million Americans. They’re careful, too, to exempt President Obama from their criticisms.

Actually, if the labor bosses had their members’ interests at heart, they’d be outraged and looking to upset the deal. For starters, insurance for 30 million Americans really doesn’t do much for their members,  nearly all of whom have union contracts giving them that benefit. (Come to think of it, unions dig their own graves by supporting mandatory benefits for nonunion workers, thereby lowering the incentive to unionize.) Moreover, the excise tax on Cadillac plans hits their members disproportionately and quite severely. Having run against a similar proposal by John McCain, now Obama is delivering the same bitter pill to his political allies, as Meyerson concedes:

Politically, in fact, the tax could set in motion the kind of dynamic that undermined many Great Society anti-poverty programs: taxing the working class to provide benefits to the poor (or, in this case, the uninsured). Richard Nixon and Ronald Reagan smashed the Democrats’ New Deal coalition by fanning the racial and class tensions endemic to such programs.

So what exactly is in this for union members and why aren’t their leaders trying to stop this assault on their financial interests? You got me. But union members might start to wonder why millions in union dues are being used to support candidates who back legislation so hostile to their economic well being.

Read Less




Welcome to Commentary Magazine.
We hope you enjoy your visit.
As a visitor to our site, you are allowed 8 free articles this month.
This is your first of 8 free articles.

If you are already a digital subscriber, log in here »

Print subscriber? For free access to the website and iPad, register here »

To subscribe, click here to see our subscription offers »

Please note this is an advertisement skip this ad
Clearly, you have a passion for ideas.
Subscribe today for unlimited digital access to the publication that shapes the minds of the people who shape our world.
Get for just
YOU HAVE READ OF 8 FREE ARTICLES THIS MONTH.
FOR JUST
YOU HAVE READ OF 8 FREE ARTICLES THIS MONTH.
FOR JUST
Welcome to Commentary Magazine.
We hope you enjoy your visit.
As a visitor, you are allowed 8 free articles.
This is your first article.
You have read of 8 free articles this month.
YOU HAVE READ 8 OF 8
FREE ARTICLES THIS MONTH.
for full access to
CommentaryMagazine.com
INCLUDES FULL ACCESS TO:
Digital subscriber?
Print subscriber? Get free access »
Call to subscribe: 1-800-829-6270
You can also subscribe
on your computer at
CommentaryMagazine.com.
LOG IN WITH YOUR
COMMENTARY MAGAZINE ID
Don't have a CommentaryMagazine.com log in?
CREATE A COMMENTARY
LOG IN ID
Enter you email address and password below. A confirmation email will be sent to the email address that you provide.