Personnel(ly) Speaking
Personnel Management Systems, Inc.
Comprehensive Health Care Reform
“…So let there be no doubt: health care reform cannot wait, it must not wait, and it will not wait another year.”- President Barack Obama, February 24, 2009.
Clearly, President Obama has passion around this issue and although extraordinarily controversial, many think that something significant will be enacted this year. Health care reform was certainly a hotly debated topic during the Presidential election and seems to be gathering steam as the summer roles on. We aren’t weighing in opinion-wise one way or another. As HR people we’ve simply been trying to keep tabs, at least in a general sense, of what is developing. This week a clearer picture seems to be emerging. The details, of course, are not yet evident, and a lot of debate and rancor remain, but there do seem to be a few common themes.
With crystal ball in hand, here are some of our predictions of what we will see:
1. A government run insurance plan will be created and made available to everyone. This has sometimes been called “Medicare Lite”.
2. People can choose to stay in their current plan or choose the government plan.
3. A “National Insurance Exchange” will be created that will include approved private insurance companies as well as the government plan. Americans will be able to choose their plan.
4. The national program will be paid for by eliminating some tax deductions such as charitable contributions. In addition, health insurance premiums paid by employers will be considered taxable income to employees.
5. Employers will be required to pay a significant portion of the employee premium for health insurance or be required to pay a special payroll tax.
6. Greater emphasis will placed on creating medical delivery efficiencies and cost controls such as better management of health care records, better access to primary care physicians, increased screening, more emphasis on preventative care and wellness, and overall medical care coordination.
This newsletter is not intended to address any of the political, social, or economic issues associated with comprehensive health care reform. There are many, and they are complex.
We predict that significant changes are coming. It is probably a safe bet that the way you purchase, access, and receive your health care will be different. Businesses, individuals, and families will all be affected. It is also a pretty safe bet to assume that HR people will be called upon to help employers and employees sort out what is sure to be a difficult transition.
If you need further assistance on this or any other Human Resource issue, call on Personnel Management Systems.
Personnel(ly) Speaking is a monthly comment on HR issues of importance. It is intended to provide general information and must not be construed as legal advice. Reproductions are allowed as long as credit for this information is given to PMSI. We welcome your comments, questions, and concerns. © PERSONNEL MANAGEMENT SYSTEMS, INC., Corporate Office (425) 576-1900, Colorado Office (720) 497-0200, www.hrpmsi.com.