Walmart's New Health Care Policy Shifts Burden To Medicaid, Obamacare

[oreo]

By Alice Hines

Walmart, the nation’s largest private employer, plans to begin denying health insurance to newly hired employees who work fewer than 30 hours a week, according to a copy of the company’s policy obtained by The Huffington Post.

Under the policy, slated to take effect in January, Walmart also reserves the right to eliminate health care coverage for certain workers if their average workweek dips below 30 hours -- something that happens with regularity and at the direction of company managers.

Walmart declined to disclose how many of its roughly 1.4 million U.S. workers are vulnerable to losing medical insurance under its new policy. In an emailed statement, company spokesman David Tovar said Walmart had “made a business decision” not to respond to questions from The Huffington Post and accused the publication of unfair coverage.

Labor and health care experts portrayed Walmart’s decision to exclude workers from its medical plans as an attempt to limit costs while taking advantage of the national health care reform known as Obamacare. Among the key features of Obamacare is an expansion of Medicaid, the taxpayer-financed health insurance program for poor people. Many of the Walmart workers who might be dropped from the company’s health care plans earn so little that they would qualify for the expanded Medicaid program, these experts said.

“Walmart is effectively shifting the costs of paying for its employees onto the federal government with this new plan, which is one of the problems with the way the law is structured,” said Ken Jacobs, chairman of the Labor Research Center at the University of California, Berkeley.

More: Walmart's New Health Care Policy Shifts Burden To Medicaid, Obamacare

I don't know why you're surprised by this. This is the effect of OBAMACARE. Part time jobs in this country are increasing because employers are cutting back on employee's hours--because of Obamacare. In 2016--these employees will be charged a minimum of 8% of their gross wages so they can pay for their own Obamacare. If they do not comply--their bank account can be siezed--their wages garnished--and their property liened by the Federal Government.

You voted for it--you got it.

 

[Political Junky]

Obama wants to put health insurance companies OUT of business!![/B]

"The result ObamaCare which today McKinsey & Company commissioned a survey of 1,329 U.S. private sector employers to measure their attitudes about healthcare reform concluded that 30% of all companies would stop providing health coverage once Obamacare kicked in in 2014.
US employer healthcare survey | McKinsey & Company

And any of you idiots who think the "insurance exchanges" will replace this??? You know NOTHING about how health insurance works!

It was NEVER the insurance companies fault... they just passed the costs on by raising premiums!
Then Obama care does away with "pre-existing conditions" and NOW insurance actuaries are telling us they have to take that in account and therefore the actuaries that calculate the premiums are saying the following for private insurance not employer!
>
http://www.ama-assn.org/amednews/2012/05/28/bisf053

BUSINESS

Compensation for most health plan CEOs rose in 2011 — to $87 million in total
In most cases, pay went up along with company income. The highest-paid executive made 94 times the average compensation level of primary care physicians.
By EMILY BERRY, amednews staff. Posted May 31, 2012.

PRINT|E-MAIL|RESPOND|REPRINTS| SHARE
Executives in the top spots at the country’s seven largest publicly traded health plans were paid a collective $87 million for their services in 2011.

Cigna CEO David Cordani made the most, at $19.1 million. Humana’s Mike McCallister had the smallest compensation package, with $7.3 million. Health Net CEO Jay Gellert saw the largest pay increase, with a 35% rise in compensation compared with 2010. Most chief executives’ compensation went up, although WellPoint’s Angela Braly saw her compensation fall by 2%, and Coventry Health Care CEO Allen Wise made 5% less in 2011 than in 2010.

The base pay of most CEOs is around $1 million, because of tax rules on executive salaries. But in every case, other financial rewards pushed the total pay packages into the multimillions. In 2011, Cordani made 94 times the average primary care physician’s compensation, using the latest Medical Group Management Assn. figures.

Taking the largest seven shareholder-owned companies as a group, pay packages for the top executives went up $11.1 million, or 14.7%, in 2011 over 2010. In most cases, executive pay rose with shareholder income, but the increases in profit and income were not always proportional. Health Net was restructuring after selling off its East Coast business, and its per-share earnings were down 61% for 2011 compared with 2010. Still, Gellert’s compensation went up 35% in 2011 from 2010.

Most executive pay is dependent on performance and based on complicated formulas described in company filings with the Securities and Exchange Commission.

Under the “say-on-pay” securities rule that took effect in April 2011, the health plans’ shareholders — like shareholders in every other industry — have the power to cast an advisory vote over executive compensation at least once every three years. To date, no health plan shareholder group has rejected a pay package.

 

[thereisnospoon]

By Alice Hines

Walmart, the nation’s largest private employer, plans to begin denying health insurance to newly hired employees who work fewer than 30 hours a week, according to a copy of the company’s policy obtained by The Huffington Post.

Under the policy, slated to take effect in January, Walmart also reserves the right to eliminate health care coverage for certain workers if their average workweek dips below 30 hours -- something that happens with regularity and at the direction of company managers.

Walmart declined to disclose how many of its roughly 1.4 million U.S. workers are vulnerable to losing medical insurance under its new policy. In an emailed statement, company spokesman David Tovar said Walmart had “made a business decision” not to respond to questions from The Huffington Post and accused the publication of unfair coverage.

Labor and health care experts portrayed Walmart’s decision to exclude workers from its medical plans as an attempt to limit costs while taking advantage of the national health care reform known as Obamacare. Among the key features of Obamacare is an expansion of Medicaid, the taxpayer-financed health insurance program for poor people. Many of the Walmart workers who might be dropped from the company’s health care plans earn so little that they would qualify for the expanded Medicaid program, these experts said.

“Walmart is effectively shifting the costs of paying for its employees onto the federal government with this new plan, which is one of the problems with the way the law is structured,” said Ken Jacobs, chairman of the Labor Research Center at the University of California, Berkeley.

More: Walmart's New Health Care Policy Shifts Burden To Medicaid, Obamacare

What the hell did these people (those who voted for Obama) expect?
This will be repeated many times over.
Once again Washington ignores the law of unintended consequences and makes a HUGE mess.
This is a biggie. This is the equivalent to the skateboarder who tries that trick where he attempts to ride his board on a railing and ends up squashing his nuts.
Nice going, Ace!

 

[uscitizen]

People that work under 20 hours at Wal Mart cannot afford Wal Marts insurance anyway. Unless their spouse works and covers pretty much all the other expenses.

 

[thereisnospoon]

Im heading to Cosco today to get a membership. And I only buy food at Whole Foods.

Fuck WalMart. Im done with them for good.

HA! If you think this ends with Walmart, you are delusional.
This is the unstated goal of Obama "don't" care. To get as many Americans to depend on government as possible.
ACA has ZERO to do with health insurance. ACA is pure politics. The more people dependent on government, the more democrat voters.
The last election proves this out. People did not vote for Obama. They voted against the fear they would lose government handouts.

 

[thereisnospoon]

Costco is a great company. Walmart is shit.

And you're saying you didn't see this coming? Sit back and watch how many employers drop health insurance thanks to Obamacare. It should come as no surprise.

Let the free market speak. Shop at places that dont do that.

But...the end result? If fewer people can go to the doctor, the medical system will start losing money. Supply v. Demand. Eventually, they'll lower their damn prices.

No genius. There will be LESS available care.
No one is going to go to medical school and then work a two year internship followed by a two year residency before they can make real money so that they can pay off their student loans and enormous medical malpractice premiums when the federal government is going to tell them how much their earnings will be.

 

[Greenbeard]

No genius. There will be LESS available care.
No one is going to go to medical school and then work a two year internship followed by a two year residency before they can make real money so that they can pay off their student loans and enormous medical malpractice premiums when the federal government is going to tell them how much their earnings will be.

Meanwhile, on Planet Earth:

More students want to be doctors than ever before

A record number of students applied to medical school in 2012 according to new data from the Association of American Medical Colleges. Applications have risen over the past decade, growing more quickly over the past few years than they did in the mid-2000s.

 

[thereisnospoon]

No, Windbag, you're stupid for your "selective" outrage. Walmart was milking Uncle Sam long before Obamacare.

How so?

 

[thereisnospoon]

Or Walmart could just lay off workers like thousands of other companies across the states. Isn't this what the liberals want? Now the Dems can raise taxes on the wealthy and make them pay for everyone's health care.

Why lay them off when they figured a way to have the American taxpayer subsidize their benefit package?

It was subsidized the day ACA was passed.
Don't act surprise.
What we find amazing is this is exactly what we were told would happen and EXACTLY what Obama and democrats wanted to happen.
Now that it is happening, you libs are in complete "blame the other guy" mode.

 

[Lakhota]

No, Windbag, you're stupid for your "selective" outrage. Walmart was milking Uncle Sam long before Obamacare.

How so?

Reading is your friend. It's all contained in previous posts in this thread.

 

[thereisnospoon]

More: Walmart's New Health Care Policy Shifts Burden To Medicaid, Obamacare

It was NEVER Walmart's responsibility to provide insurance for those that worked there. They did that as an added incentive to get and retain better workers. The government has now made offering that perk way too expensive.

I know it's a novel concept but insurance is a perk..not a responsibility of your employer. Employers don't pay your rent for you, or make your car payment. They don't buy your groceries and pay your light bill. Walmart didn't owe anyone anything more than they agreed to when they were hired.

It is the employer's obligation in all other industrialized nations. The US isn't good enough, I guess.

No way!!!!
The idea of providing insurance and other perks such as profit sharing ,etc were developed over the years to attract better employees. These items are still to this day known as "fringe benefits".
Those on the political left pushed by unions made them and entitlement.
Well, Obamacare has turned them on their head.
This is what the lefties voted for.

 

[thereisnospoon]

No genius. There will be LESS available care.
No one is going to go to medical school and then work a two year internship followed by a two year residency before they can make real money so that they can pay off their student loans and enormous medical malpractice premiums when the federal government is going to tell them how much their earnings will be.

Meanwhile, on Planet Earth:

More students want to be doctors than ever before

A record number of students applied to medical school in 2012 according to new data from the Association of American Medical Colleges. Applications have risen over the past decade, growing more quickly over the past few years than they did in the mid-2000s.

It's not 2014 yet.

 

[Lakhota]

Walmart's Internal Compensation Documents Reveal Systematic Limit On Advancement

Wal-Mart Welfare: How taxpayers subsidize the world's largest retailer. by Jenna Wright

Top Reasons the Walton Family and Walmart are NOT “Job Creators”

Taxpayers Should Stop Subsidizing Walmart | Crooks and Liars

The Walmart Welfare Queen

 

[tinydancer]

I thought Wal mart gave mega bucks to Obama's campaign and didn't Michelle sit on the board of directors?

 

[Political Junky]

Wal-Mart Stores: Summary | OpenSecrets

Top Candidate Recipients, 2011-2012
Mitt Romney (R) $59,360
Barack Obama (D) $53,080

 

[Glensather]

Costco is a great company. Walmart is shit.

This is what you wanted. Why are you complaining?

Hey now, I know a lot of Democrats who hated Obamacare just as much as any conservative.

But, like any other minority voice, they've been drowned out.

Personally (I've said it before and I'll say it again), I think Obamacare is a great idea, but for one, its execution is flawed at the least, and secondly, simply hiking taxes on the rich and cutting spending here and there won't pay for it.

Until we get more people working and paying taxes, it's simply not viable yet.

 

[Quantum Windbag]

Obama wants to put health insurance companies OUT of business!![/B]

"The result ObamaCare which today McKinsey & Company commissioned a survey of 1,329 U.S. private sector employers to measure their attitudes about healthcare reform concluded that 30% of all companies would stop providing health coverage once Obamacare kicked in in 2014.
US employer healthcare survey | McKinsey & Company

And any of you idiots who think the "insurance exchanges" will replace this??? You know NOTHING about how health insurance works!

It was NEVER the insurance companies fault... they just passed the costs on by raising premiums!
Then Obama care does away with "pre-existing conditions" and NOW insurance actuaries are telling us they have to take that in account and therefore the actuaries that calculate the premiums are saying the following for private insurance not employer!
>
http://www.ama-assn.org/amednews/2012/05/28/bisf053

BUSINESS

Compensation for most health plan CEOs rose in 2011 — to $87 million in total
In most cases, pay went up along with company income. The highest-paid executive made 94 times the average compensation level of primary care physicians.
By EMILY BERRY, amednews staff. Posted May 31, 2012.

PRINT|E-MAIL|RESPOND|REPRINTS| SHARE
Executives in the top spots at the country’s seven largest publicly traded health plans were paid a collective $87 million for their services in 2011.

Cigna CEO David Cordani made the most, at $19.1 million. Humana’s Mike McCallister had the smallest compensation package, with $7.3 million. Health Net CEO Jay Gellert saw the largest pay increase, with a 35% rise in compensation compared with 2010. Most chief executives’ compensation went up, although WellPoint’s Angela Braly saw her compensation fall by 2%, and Coventry Health Care CEO Allen Wise made 5% less in 2011 than in 2010.

The base pay of most CEOs is around $1 million, because of tax rules on executive salaries. But in every case, other financial rewards pushed the total pay packages into the multimillions. In 2011, Cordani made 94 times the average primary care physician’s compensation, using the latest Medical Group Management Assn. figures.

Taking the largest seven shareholder-owned companies as a group, pay packages for the top executives went up $11.1 million, or 14.7%, in 2011 over 2010. In most cases, executive pay rose with shareholder income, but the increases in profit and income were not always proportional. Health Net was restructuring after selling off its East Coast business, and its per-share earnings were down 61% for 2011 compared with 2010. Still, Gellert’s compensation went up 35% in 2011 from 2010.

Most executive pay is dependent on performance and based on complicated formulas described in company filings with the Securities and Exchange Commission.

Under the “say-on-pay” securities rule that took effect in April 2011, the health plans’ shareholders — like shareholders in every other industry — have the power to cast an advisory vote over executive compensation at least once every three years. To date, no health plan shareholder group has rejected a pay package.

One would think that anyone who has made almost 10,000 posts would understand how the quote function works.

One would, obviously, be over estimating the mental capacity of some posters.

 

[tinydancer]

Michelle had a direct link to Walmart. Not as close as Hillary. But I know she did thru a supplier. MMMM I have to get this.

 

[tinydancer]

Costco is a great company. Walmart is shit.

This is what you wanted. Why are you complaining?

Hey now, I know a lot of Democrats who hated Obamacare just as much as any conservative.

But, like any other minority voice, they've been drowned out.

Personally (I've said it before and I'll say it again), I think Obamacare is a great idea, but for one, its execution is flawed at the least, and secondly, simply hiking taxes on the rich and cutting spending here and there won't pay for it.

Until we get more people working and paying taxes, it's simply not viable yet.

Obamacare is a great idea?

Rotflmbo......................................from a land of supposed free health care.

 

[Lakhota]

Costco is a great company. Walmart is shit.

This is what you wanted. Why are you complaining?

Hey now, I know a lot of Democrats who hated Obamacare just as much as any conservative.

But, like any other minority voice, they've been drowned out.

Personally (I've said it before and I'll say it again), I think Obamacare is a great idea, but for one, its execution is flawed at the least, and secondly, simply hiking taxes on the rich and cutting spending here and there won't pay for it.

Until we get more people working and paying taxes, it's simply not viable yet.

Maybe you could ask Boehner why he hasn't held a vote on Obama's jobs bill - the American Jobs Act?