For immediate release
October 11, 2018
rgumpert [at] unitehere [dot] org
New Study Shows 40% ‘Cadillac Tax’ Would Drive Health Coverage Beyond Reach of American Workers
Top Labor Leader Warns of Political Consequences This November
New York, NY – A major study published by the Economic Policy Institute (EPI) shows clearly that taxing employer-sponsored healthcare benefits, a cornerstone of Republican healthcare policy, will drive the cost of coverage beyond the reach of UNITE HERE members and working-class Americans.
“This EPI study should be a wake-up call to politicians who push for healthcare policy that focuses on instating crushing 40% taxes on employer-sponsored healthcare instead of taking on the rampant patient abuse of Big Pharma,” said D. Taylor, international president of UNITE HERE. “The study underlines that the so-called Cadillac Tax would be a disaster for American workers, and proves that the issue is unconstrained cost generated by price-gouging at every level of our health system, not over-utilization of health services by consumers.”
Over 181 million Americans get their healthcare through their employer, making it the backbone of the American healthcare system until a new regime replaces it. As providers raise prices to pad their bottom line, employers raise premiums or deductibles and their employees are forced to pick up increasing costs.
“On the eve of a crucial election, polling shows that healthcare remains a top issue of concern to voters. Our healthcare should be protected, not taxed,” continued Taylor.“The EPI study should remind Democrats that they must own the healthcare issue and pledge never to tax a single benefit until they get costs under control. And to the GOP: good luck with taking away protections for pre-existing conditions, doing nothing to bring costs under control, and then taxing what health benefits exist.”
UNITE HERE has long been a leader on healthcare reform, including successfully passing statewide pharmaceutical transparency laws in Nevada and California in the past two years.
UNITE HERE represents 270,000 members working in the hotel, gaming, food service, manufacturing, textile, distribution, laundry, transportation, and airport industries in the U.S. and Canada. Learn more at www.unitehere.org