Dec. 13, 2010 /EIN Presswire/ — Recent budget proposals from both Democrats and Republicans call for reducing or eliminating government tax breaks that help fund employer health insurance.
According to economists, this proposal is not only an effort to reduce government spending but a method to turn Americans into more economical health care consumers by forcing people to pay for the full costs of their medical needs. Dismantling the medical tax breaks would save several billion dollars each year.
A similar proposal to cut such government health care tax breaks was rejected by Democrats several month ago. However, the political climate has changed. Labor unions are preparing to fight tax reform that slashes government health insurance assistance.
Tax breaks for employer health insurance is the leading source of medical coverage for middle class families. Mary Kay Henry, the president of the Service Employees International Union, says that such measures will only “destabilize” the middle class.
Read more healthcare news at Healthcare Industry Today (http://health.einnews.com), a healthcare media monitoring service from EIN News.
