Remember when Obama & Co. keep yammering about how great Obamacare was going to be, and how health care coverage was going to get so much better, and how is *wasn’t* a socialist takeover and nationalization of the health care industry? How citizens who liked their current health care coverage would be able to keep it? Ah, good times, good times…
http://money.cnn.com/2010/05/05/news/companies/dropping_benefits.fortune/index.htm
Internal documents recently reviewed by Fortune, originally requested by Congress, show what the bill’s critics predicted, and what its champions dreaded: many large companies are examining a course that was heretofore unthinkable, dumping the health care coverage they provide to their workers in exchange for paying penalty fees to the government.
That would dismantle the employer-based system that has reigned since World War II. It would also seem to contradict President Obama’s statements that Americans who like their current plans could keep them. And as we’ll see, it would hugely magnify the projected costs for the bill, which controls deficits only by assuming that America’s employers would remain the backbone of the nation’s health care system.
Long story short… AT&T, Verizon, John Deere and Caterpillar each ran the numbers and have found that it would be cheaper to simply dump health care coverage for their employers and pay the fines instead.
The end result of this is that major companies are going to get out of the health care coverage business for their employees, and those employees will now most likely be stuck with government health care… costly, crappy, communal coverage. And it’s a good question as to *why* employers have been stuck with the requirement to cover employees at all. Are employers legally responsible for employee mortgages as well? Gas bills? Phone bills? Food bills? Why not jsut pay people their wages, and let them buy their own stuff?
But since this has been a generations-long trend, there will be millions of people suddenly dumped into the governments lap with no understanding of how to take care of themselves… and they will have little choice but to turn to Uncle Sam.
Which, I imagine, was the point all along. Some may think of this as “unintended consequences,” but I have the feeling that these are the intended consequences.
Greece, here we come…