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About Northwest labor press. (Portland , Ore.) 1987-current | View Entire Issue (March 3, 2006)
Think Again • EE R F By Tim Nesbitt Free ads to subscribers DEADLINE: Friday prior to publication The ABCs of our health care crisis W e have more jobs in Oregon than ever before. We also have more Oregonians without health in- surance than ever before. Maybe this is why pollsters report that health care has supplanted jobs and education as the Number One concern of Oregonians. Our health care crisis is two-fold. Too many people don’t have insur- ance, and those who have it are pay- ing more than they can afford in pre- miums, co-pays and deductibles. These two problems are connected, and they’re both problems that our government is going to have to solve. The jobs problem was different. Three years ago, politicians argued over the best ways to grow jobs and help Oregon climb out of the reces- sion, even though there was not a lot that the state could do to accelerate the pace of economic recovery in the short term. Some efforts helped at the margins. Gov. Kulongoski’s trans- portation package is producing the jobs that he promised. But, we gained jobs largely because of forces beyond the control of state government. Yet, the same market forces that produced most of the new jobs during the past three years encouraged em- ployers to strip those jobs of health benefits or shift more of their health care costs to their workers. Employ- ers like Wal-Mart gain an economic advantage over their competitors, like Fred Meyer and Safeway, by chisel- ing on health benefits. The market is rewarding bad employers for doing the wrong thing and penalizing good employers for doing the right thing. This is why, for the almost two mil- lion Oregonians who get their health care from a job, the trends are not our friends. And this is why we need our government to step in. Look at how our population is di- vided by health care coverage. For every 100 Oregonians: A Rewarding Job Serving Working Families in Oregon Union Plus Mortgage is HIRING! 503.449.6994 Korean War Veterans organization is looking for new members. The group meets the 4th Tuesday each month (March 28), at noon at Milwaukie Elks Lodge, 13121 SE McLoughlin Blvd. For more information, call Max Loucks at 503-286-1464 PAGE 10 52 get their health care coverage from their jobs or a family member’s job. 17 have no health insurance. 11 are disabled or poor enough to qualify for the Oregon Health Plan. 15 are seniors covered by Medicare. 5 pay for their own health insur- ance. Category A is shrinking and Cate- gory B is growing as employers aban- don or reduce their support for health insurance. More than half of all Ore- gonians without health insurance come from households with a full- time worker. But Category C is shrinking too, because government is running out of money. And, as we pour more of our tax dollars into Cat- egory C, we tend to create more in- centives for employers to abandon their health plans and tell their work- ers to sign up for government bene- fits. This is why some Category C so- lutions are not sustainable. Gov- ernment pays more, employers pay less, and then government has to pay more again to make up for declining employer support. Given this scenario, we need to fo- cus on boosting employer coverage in Category A, which could potentially cut in half the number of uninsured in Category B. One way to do that is to require that all employers above a cer- tain size provide health care for their workers or pay into a state fund for health care. Another way: Govern- ment can help employers who provide good benefits by offering re-insurance against extraordinary catastrophic costs. But government needs to supple- ment employer efforts as well. We just need to be smarter about how we use our tax dollars in Category C. We could expand coverage for children, more than 100,000 of whom are with- out insurance from their working par- ents, by raising cigarette taxes to Broadway Floral for the BEST flowers call broaden the Oregon Health Plan. Still, this idea, embraced by Kulon- goski and a number of state lawmak- ers, could encourage more employers and workers to abandon health insur- ance for children, which is why it’s at best a temporary safety net. California Congressman Pete Stark has a better idea: Expand Medicare (Category D, above) to cover all children. We could do this by increasing the Medicare payroll tax paid by employers and workers by one percent each. This would also help good employers who pay for full family coverage and reduce costs for working families who have to pay high premiums to cover their kids. If the federal government doesn’t do this, states can do it on their own. The Oregon AFL-CIO drafted such a plan three years ago, estimat- ing that a payroll tax of less two per- cent shared by employers and work- ers could guarantee health coverage for every child in Oregon. These are just steps on the road to universal health care. But they are fea- sible and effective in the short term, and they will prove that government can help solve our health care crisis. Plus, these steps lead logically to a more sustainable health care system in which employers finance health care for all working people and gov- ernment provides health care through Medicare-style programs for the non- working population of seniors, chil- dren, the disabled and the unem- ployed. Such a system will be cheaper (by reducing administrative costs), fairer (by requiring equal support from all employers) and better (by covering everyone). The only other alternative is Cate- gory E above: Pay for your own health insurance. Tim Nesbitt is a former president of the Oregon AFL-CIO. Southgate Mobile & RV Park Published 1st and 3rd Fridays Send to: NW Labor Press, PO Box 13150, Portland, OR 97213 503-288-5537 Spaces Available up to 35’ 503-771-5262 BUREAU OF LABOR & INDUSTRIES Principal Executive/Manager C Apprenticeship & Training Division Operations Manager Apprenticeship & Training Council and to various state, federal, and local governments. This person is also re- sponsible for establishing statewide industrial com- mittees as directed. Salary is $3,287-$4,840/month. For Announcement #LE060080 and to obtain an ap- plication packet, call 971-673-0783 (Portland) or visit www.oregonjobs.org. Closing date for all applications is March 20, 2006. 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