Thursday, November 7, 2013

Big Unions May Get Their Obamacare Exemption After All

Big Unions May Get Their Obamacare Exemption After All

Robert Scardelletti, president of the Transportation Communications International Union/International Association of Machinists (TCU/AIM), estimates that under current ACA rules, his union’s multiemployer health fund will have to pay $27 million in taxes. He’s not happy about it.

At the convention, labor said that if their demands weren’t met, then the Affordable Care Act should be repealed.

Three days after the convention the Obama administration told labor– no exemptions. It was not legally possible.

However, those exemption requests by labor are now coming to fruit. Last week the Obama administration released hundreds upon hundreds of pages worth of new rules and regulations for the healthcare law. Inside, a new loophole for unions was discovered. A disclosure exists that the administration will propose exempting “certain self-insured, self-administered plans” from the laws reinsurance tax. Such a description applies to the majority of the Taft-Hartley union healthcare plans, which act as their own insurance company and claims processors.