2313

Benefits Of Obamacare You Probably Didn’t Know

Obamacare is the law that extends health coverage to millions of Americans.It is a US law aimed at reforming the American health care system. It is also the law that requires restaurants to post calorie labels, employers to provide adequate break times for breast feeding and starts funding programs meant to train people for adulthood (seriously).

There is a Slight benefit provided to the workers by the Affordable Care Act: It gives them an upper hand in contract negotiations with employers.Here’s how it works. The goal of each side in a strike is to impose the maximum economic hardship on the other. For employers, it’s the loss of business; for employees, the loss of wages and benefits.It’s not unusual for employers to freeze pension contributions and end health benefits during a strike.

“Pulling health insurance is an effective way of dividing  the union as it pits the members who are old or sick against members who don’t have urgent medical needs. Someone whose daughter needs chemotherapy next week will push leadership to take a deal far faster than someone whose kids eventually need to go in and get their teeth cleaned.”

The federal law known as COBRA crops this option, as it allows workers to continue their health plans for up to 18 months i.e. if they pay the full premium themselves. That could put health insurance out of reach of many families.

Then comes Obamacare. The loss of health coverage is a qualifying event under the Affordable Care Act allowing locked out or striking workers to go on their state or federal exchange and buy coverage. It might not be as good as what they were receiving from their employers, but as a stopgap it’s almost certain to have lower premiums than COBRA coverage.

This is one way that the Affordable Care Act counterbalances the drawbacks of America’s reliance on employer-sponsored health coverage and counteracts what has been a steady shift of employer-employee relations toward the former over recent decades. When you hear Obamacare’s critics demand its repeal, you might wish to ponder this one more bit of evidence about who would gain, and who would lose.

Comments