White House Nixes Union Affordable Care Act Request

In a move that is likely to deepen labor’s disenchantment with the Affordable Care Act (ACA), the Obama administration on Friday rejected some union leaders’ call to apply certain ACA tax subsidies to participants in multi-employer health plans.  On Wednesday, delegates to the AFL-CIO conference adopted a resolution outlining its concerns with the ACA.  The resolution calls for, among other changes, an amendment that would allow non-profit multiemployer plans to have the same access to the ACA’s premium tax credits and cost-sharing reductions as other health plans. Without subsidies, these multi-employer plans will likely be comparatively more expensive for union workers who participate in these plans, thereby leading these workers to obtain insurance through the future health exchanges instead. Continue reading this entry at Littler's DC Employment Law Update.

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