Are they doing this at your company, giving lower wage workers

Discussion in 'Healthcare/Insurance/Govt Healthcare' started by Penelope, Jun 14, 2018.

  1. Penelope
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    Penelope Platinum Member

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    a cut in their insurance. I think its a good thing, they are clever though, instead of paying more in wages, the employer will get out of paying FICA tax. I know some of you will be jealous that the person down the ladder is paying less than you and getting the same benefits, but I do wonder if they are really the same benefits, will the lower wage earners get a lesser health ins coverage? Also your SS checks are based on your earnings, so less pay , less SS. Interesting.
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    It’s a practice that has not received much attention, but some employers have moved to "progressive," or wage-related, health benefits in recent years. That's where their lower wage employees pay a smaller share of insurance premiums, deductibles or health account contributions than higher-wage employees do.

    Why it matters: Unlike consumers in the Affordable Care Act marketplaces, lower wage workers in the far larger group market don’t get any help with premiums or cost sharing. With premiums and deductibles rising and wage growth stubbornly flat, progressive benefits are one way for employers to help their low wage employees with their health care costs.

    Why some employers are turning to progressive health benefits
     
  2. AyeCantSeeYou
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    AyeCantSeeYou Senior Mod Staff Member Senior USMB Moderator Gold Supporting Member

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    Nope, not happening where I work.
     
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