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Democrats’ Backroom Deal Benefits Unions at the Expense of Others

January 15, 2010

Data from the non-partisan analysts at the Centers for Medicare and Medicaid Services (CMS) shows that by 2019 more than 1 in 5 workers would be affected by an unprecedented new tax on health benefits included in the Senate-passed Democrat health bill.  And that figure (1 in 5 workers being affected) will grow quickly over time.
Numerous media reports indicate that during their secret negotiations President Obama and Democrat leaders have now cut a deal worth an estimated $60 billion that would exempt union workers from paying this tax for years to come. 

Millions of non-union workers, however, were not treated so generously and would be forced to pay higher taxes for the same benefits their union counterparts have.  This despite the acknowledgement yesterday by House Majority Leader Steny Hoyer (D-MD) that, “there are a lot of Americans that are not in organized labor that are very concerned about the so-called tax on high-end policies.” Too bad their concerns have been ignored by Congressional Democrats.

Conveniently for Democrat leaders, the backroom deal benefits their states while leaving many middle class workers, particularly in southern and rural states, to bear the brunt of the Democrats’ new tax on individuals with good health care benefits.  According to data from the Bureau of Labor Statistics, below are the states whose residents are most likely to be protected by the recent backroom deal-making and the states whose residents are least likely to be protected by it. 


*Who Represents

Winning States?


New York: Ways and Means Chairman Rangel, Democratic Vice-Conference Chairman Schumer

California: Speaker Pelosi, Energy and Commerce Chairman Waxman, Education and Labor Chairman Miller

Connecticut: Democratic Caucus Chairman Larson

New Jersey: DSCC Chairman Menendez

Nevada: Senate Majority Leader Reid

Illinois: Senate Majority Whip Durbin