Friday, August 23, 2013

IS DELTA BRACING EMPLOYEES FOR AN OBAMACARE SHOCK?

Is Delta bracing employees for an ObamaCare shock?Erick Erickson of RedState has a radio show in Atlanta, which is also the hub for Delta Airlines.  Erick says he’s been getting calls from Delta employees about a memo, originally sent from Delta management to the Obama Administration in June, which the company is now beginning to circulate among employees.  Coupled with warnings that “their healthcare will be radically changed because of ObamaCare,” this might be the first step in dropping the kind of Affordable Care Act bomb that so many other companies have been forced to detonate on their employees, most recently United Parcel Service.
Erickson calls the letter “stunning:”
According to Delta, in 2014 Obamacare will cost the company at least $38 million in direct costs and that is only the beginning. With added medical inflation, Delta claims “the cost of providing health care to our employees will increase by nearly $100,000,000 next year.” A $100 million increase thanks in large part to Obamacare and ancillary cost increases derived therefrom.
He included an excerpt from the letter:
The ACA requires large employers to pay an annual fee of $63 per covered participant in 2014. For Delta’s roughly 160,000 enrolled active and retired employees and their family members, this represents more than $10 million added to the cost of providing health care next year. As we discussed, this fee, which is meant to help stabilize the state exchanges as they get started, provides absolutely zero direct benefit to our participants. It is, essentially, a direct subsidy from us and our employees to those who participate in the exchanges.
Via: Human Events

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