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White House, unions reach deal on taxing insurance coverage Posted by Merlin Jetton on 1/16, 6:27am | ||
The White House caved to labor union leaders on the Senate's proposed surtax on high cost health insurance plans ("Cadillac plans"). The tax will begin in 2013 for non-union employees covered by private sector plans, but be delayed until 2018 for health plans negotiated on behalf of state and local workers, or as part of collective-bargaining agreements. Democrats have touted the surtax will significantly reduce future government deficits. There goes that phony rationale. Given that the labor union leaders succeeded this time, I'd bet on their being able to later delay the surtax past 2017 or even eliminate it for collectively-bargained plans. | ||
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