The Church can't impose its laws on the general public, but it sure as hell can impose them on its employees.
If you have any doubt about that, you should get a teaching job in a Catholic school and then announce that you're co-habitating with your boyfriend/girlfriend. The school can and will terminate you without any due process -- there's probably a clause in every Catholic employees' contract that says something to this effect.
I should hope so! My kids go to a non-denominational Christian school with very strict rules about things like that ... including co-habitation and out-of-wedlock births. While I agree with the rules (I wouldn't want to have to explain to my kids right now why unmarried Miss. Jones is pregnant), I would hope that after the baby is born they would allow the woman to come back to work, otherwise it encourages abortion in exchange for a job.
That being said, I will be praying that the Bishops and the whole of the Church -- joined I hope by Protestant religions who oppose contraceptives, or at least contraceptives that cause abortions -- are successful in this very, very important battle. If we lose this, we will lose far more than we realize.
First Amendment BUMP!