As the article says:
”Empowering employees to shop for their own plans permits the companies to leave the insurance risk industry, and to do so with fixed costs and budget.”
That’s great for the employer. Instead of having to provide insurance they can offer a flat payment which may or may not be adequate for the employee to find insurance.
Employees, on the other hand, are now on their own in the individual market which in many states offers very limited options.
The employee then has a choice between making up the difference himself, or getting a health plan with a bigger deductible and more exclusions.
What many companies have been doing in the meanwhile is making positions be part-time, and thus not eligible for company benefits.
But I can see the argument, isn’t having fewer employees and resources devoted to things that aren’t related to the core of a company’s business a good thing?
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All this HRA approach does is shift the risk from the employer to the employee.
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You make that sound like it’s a BAD thing.
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Employees, on the other hand, are now on their own in the individual market which in many states offers very limited options.
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Sounds like the People should demand govt get the F* outta the way & let the Free Market go ITS job.
I don’t see why healthcare is all an employer’s responsibility.