Wednesday, August 21, 2013

Teachers get hours cut due to ObamaCare

Thanks to the delayed employer mandate in ObamaCare, we are now sixteen months away from enforcement of those statutes, even though they go into effect in four months.  Are employers taking a break from ObamaCare prep?  Not hardly.  Today we have three new stories about how the perverse incentives of the ACA will impact workers, starting with UPS, which has just announced that it will stop offering health-care coverage to spouses — and explicitly cites ObamaCare as the reason (via Jim Geraghty and Jeryl Bier):
United Parcel Service Inc. plans to remove thousands of spouses from its medical plan because they are eligible for coverage elsewhere. The Atlanta-based logistics company points to the Affordable Care Act, or Obamacare, as a big reason for the decision, reports Kaiser Health News.
The decision comes as many analysts are downplaying the Affordable Care Act’s effect on companies such as UPS, noting that the move reflects a long-term trend of shrinking corporate medical benefits, Kaiser Health News reports. But UPS repeatedly cites Obamacare to explain the decision, adding fuel to the debate over whether it erodes traditional employer coverage, Kaiser says.
Rising medical costs, “combined with the costs associated with the Affordable Care Act, have made it increasingly difficult to continue providing the same level of health care benefits to our employees at an affordable cost,” UPS said in a memo to employees.
Via: Hot Air

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