Bubblehead
My Senior Picture
Not quite. The letter complains of three impacts the ACA has on Taft Hartley plans, none of which will affect UPS emplyees under this agreement.
1) The incentive to cut full time hours to 30 or less.
Not happening at UPS.
Who are you trying to kid, it's already happening, through attrition?
Full time employees aren't being replaced as it is, and the new single day vacation driver language in the Central Region Supplement is going to make full time opportunities even more scarce.
2) Taft Hartley plans not eligible for subsidies.
Subsidies for individuals kick in depending on earnings. With HC paid by UPS through negotiated contributions via the contract, individual eligibility vanishes.
So is the company contributing the same amount of $ for a part time employee as they are for a full time employee to the Central States H&W fund?
Would these same part time employees be eligible for these "subsides" if this were not a TH plan.
Could this be a mirage for part time employees who think this to be a good thing, only to have the rug pulled out from under them when presented with ever increasing annual deductibles?
Part timers will be economically crippled with deductibles.
3) Taft Hartley plans pay tax for ACA.
Correct, but without the implementation of the ACA (which is expected to lower overall H&W costs), H&W plans would have paid out higher claim costs thereby expending additional funds. It becomes something of a wash. While the three year "tax" paid by plans could be a factor, the impact will be felt by smaller plans and absorbed by larger plans.
If overall H&W costs "lower", it will be the first thing that has happened under the ACA that was supposed to, and the first time it has lowered...ever?
Reality dictates that advancement in medicine costs money.
Who better to shoulder the burden, but the companies that benefit from the fruit of healthier employees?
To proceed as if H&W costs will ever "lower", is irresponsible.
Hoffa clearly stated in the letter you've referenced numerous times that "Taken together, these restrictions will make non-profit plans like ours unsustainable..."
The fact is point 1 and 2 of the letter do not apply to the members moving into the TeamCare plan under the UPS contract, so only point 3, with it's marginal impact, applies.
This letter in its entirety, coupled with the "Big Picture" of this concessionary contract, illustrates the gaping holes we are facing going forward if this Master is ever signed off on.