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WARNING: More Special Deals for Unions While Obama Administration Ignores Average Workers

February 01, 2013

The Obama Administration is once again considering a special exemption from the health care law.

According to the Wall Street Journal, the new ObamaCare loophole being considered by the Obama Administration would only benefit union members, not the average American worker.  This new exemption is in addition to the over 300 union plans the President has already said do not need to comply with the burdens of the health care law.   
The favor these union bosses are now seeking would allow certain union-run health care plans access to taxpayer subsidies, something that is not available to the roughly 85 percent of working Americans who receive health insurance through their job.  

For labor unions, which strongly supported ObamaCare, the sudden desire to be exempted from the very law they supported raises a natural question – why?  The answer is simple – the law increases the cost for employers of providing health insurance by imposing new taxes and mandates.  Now, big labor wants hardworking taxpayers to pick up its health care tab, which will be higher because of ObamaCare:

“Union leaders say many of the law’s requirements will drive up the costs for their health-care plans and make unionized workers less competitive … To offset that, the nation’s largest labor groups want their lower-paid members to be able to get federal insurance subsidies while remaining on their plans.”

This handout runs contrary to the clear language of the law.  Employees who are offered affordable coverage by their employer are not eligible for subsidies (Sec 1411) – and that includes union-run plans.  

Unions and their members should have to follow the law, just like every other American worker.  This is cronyism at its worst – the Obama Administration taking care of its political friends while sticking hardworking taxpayers with tens of billions of dollars in additional and unanticipated costs for ObamaCare.