Monday, August 24, 2009

The $10 billion bribe for Big Labor in Obamacare

is detailed in the article below from the Detroit Free press.

Of course, this is just the tip of the iceberg. Big labor retirement and health benefits would have brought the car companies down. The only alternative was for the car companies to turn over the retirement funds to the unions, which they did. The labor unions knew they could not make up the shortfall either so their only option is to get the taxpayers to foot the bill. The eventual cost to the taxpayer of these auto union benefits, if Obamacare passes, will make $10 billion look like pocket change.

They're both talking about a $10-billion provision tucked deep inside thousands of pages of health care overhaul bills that could help the UAW's retiree health-care plan and other union-backed plans.

It would see the government -- at least temporarily -- pay 80 cents on the dollar to corporate and union insurance plans for claims between $15,000 and $90,000 for retirees age 55 to 64.

Big businesses with union workers are twice as likely to offer retiree benefits as nonunion ones.