Backroom Deals Exempt Union Health Care Plans from ‘Cadillac Tax’

Thursday, January 14, 2010 5:27 pm

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WASHINGTON, D.C. — After a Tuesday meeting between White House officials and union leaders, the two sides reached a health care deal that would exempt union health care plans from new taxes. While plans with similar benefits are likely subject to tax rates as high as 40%, health care plans negotiated under union managed collective bargaining agreements will remain tax-free.

“The decision to exclusively tax non-union health care plans represents the latest and most egregious sop to Democrat’s most loyal ally – big labor,” said Brian Johnson, Executive Director of The Alliance for Worker Freedom. Johnson added, “Unions got the legislation they were lobbying for while getting the rest of the country to pay for it; and Burger and Stern aren’t even registered lobbyists!”

Labor unions who have been longtime supporters of Democrat health care proposals disagreed with the party over how to finance the expensive legislation. Since health care negotiations began, unions were vocal in their opposition to proposals that would tax their benefits.

“President Obama who once condemned lobbyists and special interests has allowed the same people he denounced to write his health care legislation. Given the cozy relationship unions have with this President, the fact that Andy Stern and Anna Burger have over 50 White House visits combined, no one should be surprised by this administration’s decision to tax everyone but unions,” Johnson said.

Comments (5)

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This should not be a surprize to anyone. The Democrat party has been in bed with unions since FDR. They elected our current president.
>> joseph January 14, 2010 14:16 pm

Not only is this a shakedown on the rest of us but it also provides a 40% tax savings incentive to unionize. Isn't that what this is all about, building the union membership back up. I and millions of others have been visiting the white house voicing our dissatisfaction with the health care bill, we are still waiting to be heard never mind get a 40% tax exemption on our healthcare that we pay for! Damn I'm mad and spending money on conservative candidates like a drunken sailor, before the government redistributes it.
>> Deb January 15, 2010 15:19 am

Well at least he's transparent. I mean we can see all these Chicago back room deals going down in the wee hours of the morning. What a crock. Now they're going to try and push this thing through faster cause the Massachusetts senatorial election ain't looking like a shoe in for the Democrat and if by some slim chance the republican wins, there goes the supermajority in the senate and they'll hold up swearing him in until after the health care vote. Is it any wonder why used car salesmen have a higher approval rating than congress? I can't wait till November 2010. Unfortunately there might not be much left of this country by then.
>> FedUp January 15, 2010 15:59 am

I agee with the previous comment - transparency - we don't need it!! We can see throught these cronies like looking through a freshly cleaned window pane. If we make to 2010 elections vote in the freshmen. I believe the Dems and the Rep all eat at the same table and share the same bed. Its all smoke and mirrors! They really think we are hopelessly stupid
>> Tom January 15, 2010 15:45 pm

Yeah pretty much what I thought at the end of the article is bipartisanism serves mainly to keep our teeth sunk in the fight over idealism. Duh and uh really? Let's move on.
>> Ehulani January 16, 2010 16:09 pm

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