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They aren't compelled to do so, and many employers continue to provide health insurance (often better or cheaper than what's available on the exchanges) to retain their talent.
However, some employers just don't care and will drop the coverage to enhance the bottom line. There's nothing stopping this either.
What bucket of people did you see have costs lowered to employers after ACA? Most small business plans are being dropped completely by insurance companies.
NEW YORK (MainStreet) — Employers are slashing major medical plan options even more and shifting costs to employees who are forced to find other alternatives such as opening a health savings account (HSA).
Changes in benefits are occurring because 49% of companies said that controlling costs is their top business issue, compared to only 28% in 2011, according to a recent survey from Aflac, a Columbus, Ga. provider of voluntary insurance. The study surveyed 1,856 employers and 5,209 employees at small, medium and large U.S. companies and sheds light on how companies are dealing with health care costs and how it affects workers.
The ACA isn't the cause of people losing employer health care. It's a RESPONSE to the problem. Benefits started to disappear years ago. I started to work for a Fortune 100 company in the early 1980s. We never got a single new benefit the entire time I was there. We just lost them. Drip, drip, drip.
Isn't that the truth? Bonuses, pensions, decent raises . . . now healthcare.
Quote:
Originally Posted by collegeguy35
Thanks Bugsy pal great post. The WW2 wages restrictions was what I was talking about. That was what I meant about an accident of history. We came with in a hair of having a national health system. But GM US Steel Ford steeped up and said we will do it. So big business and the unions worked to set up the system we have now. That the reason big business was fine with it. Healthcare was cheap and they tons of profits. After WW2 we were the only game in town. Big business in the US owned the world. Now 70 years later health care cost are beyond nuts. We no longer are the only game in town profits are much smaller. Employers will cease offering health benefits it is that simple. They are in business to make a profit. They hate paying healthcare coverage. It never stops going up it eats in their profits more every year. So year by year more and more will drop it. Those who keep it will have very high deductible 2000 to 4000 a year. And they will keep moving them even higher as cost move higher. In 15 to 20 years lots of people will have no health coverage. Those that do will have very high deductible plans. This will be the norm in the future.
Profits are much smaller for who? Profits have never been bigger for most corporations.
They aren't compelled to do so, and many employers continue to provide health insurance (often better or cheaper than what's available on the exchanges) to retain their talent.
However, some employers just don't care and will drop the coverage to enhance the bottom line. There's nothing stopping this either.
That's the point of this discussion. Employers are dropping benefits to enhance the bottom line. Whatever it takes to stay afloat. If a business goes under, then you don't just lose benefits, you lose jobs. It's great that businesses are able to make these subtle changes during these tough times in order to keep the business running, investors happy, and employees employed.
problem is, employers aren't giving employees anything in place of it ( like an increased salary, or more vacation time), so this change only benefits the company
In the long run this will hurt the company. Employees will get up and leave if they aren't satisfied. A loss of talent is one of the worst things to happen to a company.
Gee, when there were increasing benefits weren't unions a factor? It has not been much discussed that union decline has corresponded with decline in pay and benefits. My personal choice many years ago was to quit several jobs when I would have had to join the union. In retrospect I think that may have been a mistake. The couple of guys that I know that chose to stick it out and join retired earlier with benefits. It amazes me that many who gripe about this are jumping to the Corp news media bait that unions are all bad. Too big seems to be bad whether Corp or union. Two of my kids on an upward path in a private company are getting screwed shortly after the two companies went public.
Benefits are still increasing at companies that desire top talent... without Unions. Take a look at Google, Johnson & Johnson, Mercedes Benz, Yahoo, Starbucks, etc. All of these companies are hiring. Jobs with great benefits still exist... and you don't need a union. Don't get me wrong, unions can be helpful if done properly.
Large corp. America still offers benefits to their FTE the rest are forced to temp positions with no benefits. Smaller companies are cutting left and right. It's one of the reasons I am leaving my job. The worst health plan I have seen, major medical only.
Eh... Starbucks offers all employees that work 20 hours/week full tuition to a university. Part timers get benefits as well.
That's the point of this discussion. Employers are dropping benefits to enhance the bottom line. Whatever it takes to stay afloat. If a business goes under, then you don't just lose benefits, you lose jobs. It's great that businesses are able to make these subtle changes during these tough times in order to keep the business running, investors happy, and employees employed.
But at the same point sometimes benefits in aggregate are cheaper for an employer rather than increasing pay. Look at Starbucks. Providing a free online education certainly will cost them thousands per employee...but the retention adds up. Then again you have to be careful. I worked at a place that years prior provided such comprehensive dental care that people came out of the woodwork for free caps, bridges and crowns Even if you strip out the stock performance Google would still attract people based on the benefits alone. Costco can also be contrasted against Walmart but there's a whole thread on that here.
"Good question. The government is trying to eliminate it by putting personal responsibility on others (and employers)."
that can be a bit hard to say because technically health is beyond a individual. Smoking kills. One might argue that it is someone slowly killing themselves. But second hand smoke also can gradually kill. Diet can be dictated by parents on youths and then compound. I once worked with a women who was hit on by a man with no teeth (20 something year old). apparently his mother allowed him to drink soda instead of milk
There are some things that might come at a cost but when build pay dividends. Certainly we can invent things to help others. Contact lenses for a individual are cheaper on that level rather than make everything large print. However those with wheelchairs pretty much need ramps and elevators in buildings.
Location: East of Seattle since 1992, 615' Elevation, Zone 8b - originally from SF Bay Area
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Quote:
Originally Posted by hnsq
What bucket of people did you see have costs lowered to employers after ACA? Most small business plans are being dropped completely by insurance companies.
My employer's cost went up 19%, so they eliminated the "cadillac" plan they had offered before to cut it back down to an overall 10% increase. It did not go down.
For the past few pages, you've claimed ACA is the reason employers are choosing to cut other benefits.
How is that not blaming the ACA for decisions employers make on their own?
Quote:
Originally Posted by NJBest
Good question. The government is trying to eliminate it by putting personal responsibility on others (and employers).
The government isn't trying to eliminate anything. Employers are CHOOSING to eliminating these benefits on their own. Claiming ACA is the reason for these choices is not accepting personal responsibility for their own decisions.
You just don't get it.
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Even if you strip out the stock performance Google would still attract people based on the benefits alone. Costco can also be contrasted against Walmart but there's a whole thread on that here. 
