[Vision2020] Wal-Mart and the health care burden

Fri Nov 25 17:49:47 PST 2005

I have a friend working at our local Wal-mart who is delighted with her
health insurance.

----- Original Message ----- 
From: "Tom Hansen" <idahotom at hotmail.com>
To: <vision2020 at moscow.com>
Sent: Friday, November 25, 2005 11:55 AM
Subject: Re: [Vision2020] Wal-Mart and the health care burden

Greetings Visionaires -

Now that you have read one take on Wal-Mart's health care plan, let's read
another one.

http://www.aflcio.org/corporatewatch/ns10212003.cfm

Mr. Harkins' opinion is based upon what Wal-Mart management says.  The
AFL-CIO discussion is based upon what Wal-Mart management does.

Hmmmm.

Take care, Moscow.

Tom Hansen
Moscow, Idaho

>From: Jeff Harkins <jeffh at moscow.com>
>To: vision2020 at moscow.com
>Subject: Re: [Vision2020] Wal-Mart and the health care burden
>Date: Fri, 25 Nov 2005 11:41:54 -0800
>
>What a surprise - a local business owner doesn't want enhanced competition.
>  It has been many years now, but as I recall, Mr. Connelly did not want a
>WalMart store here initially either.
>
>Many of us wane (no wax) over the loss of Schweitzer Eng to Pullman.
>
>The health care/insurance issue is a very complex issue.  First, the
>question of benefits offered by WalMart.  Here is an excerpt from their
>employment op page:
>
>
>Our health care benefits offer associates peace of mind and the ability to
>care for themselves and their families.
>Associates' Medical Plan
>    * Protection from the unexpected-that's the goal of the Associates'
>Medical Plan. If a major or unexpected medical event occurs, the coverage
>is there to help associates. The Associates' Medical Plan is designed to
>protect associates from catastrophic loss and financial ruin.
>Health Maintenance Organization (HMO)
>    * In addition to the Associates' Medical Plan, HMO plans are offered in
>some facilities.
>STARBRIDGE
>    * STARBRIDGE, a limited medical plan, is available to associates and
>their families during an eligibility waiting period and to temporary
>associates.
>Aflac Cancer Insurance
>    * This supplemental insurance plan helps reduce financial worries if
>cancer strikes Associates or their family.
>Dental
>    * A bright smile is one of associates' greatest assets. The Dental Plan
>provides associates with a way to keep it looking great. Under this Plan,
>associates have access to a network of general dentists and specialists who
>have agreed to provide dental care at discounted fees.
>Life Insurance
>    * We want our associates to be prepared. Life insurance offers
>financial protection for associates and their families in case of death.
>Full-time eligible associates receive Company-Paid Life Insurance.
>Associates also may apply for additional coverage for themselves, their
>spouse, or their dependent children.
>Accidental Death and Dismemberment Insurance (AD&D)
>    * AD&D insurance plans offer financial protection for associates and
>their families in case the associate or a dependent suffers a serious
>injury or death.
>Business Travel Accident Insurance
>    * We offer associates even more protection when they travel on company
>business by providing Business Travel Accident Insurance.
>Disability Plans
>    * It is important for associates to think about protecting their
>families. Both Short-Term and Long-Term Disability Insurance can help
>protect an associate's family should the associate become suddenly ill or
>injured.
>This plan compares favorably with many US plans, but most importantly, it
>compares rather well with the plan offered by our largest employer, UI.
>Frankly, I am puzzled by the lack of righteous indignation over the cuts
>and changes to the UI Health Coverage - especially  the changes that
>impacted part-time and retired employees.
>
>But the essence of understanding the health insurance issue is to decide
>who should pay the cost of health benefits. Classically, the issue has been
>sorted out by one's perspective of our social system.  Those with a foot or
>two into the "everyone is entitled to basic health care" camp would usually
>advocate that the government provide for basic health care.  Thus the US
>taxpayer foots the bill.
>
>Others argue that (in some form or other) employers should foot the bill
>because ... well, it is not clear to me how they argue this.
>
>What my background and experience have taught me is that employers will
>offer various benefit packages in order to attract the folks they want to
>attract to their firm. As far as I can tell, no business as yet (in our
>country) owes anyone a job - jobs are opportunities offered to folks - the
>folks can decide if they want the job or not.   In past decades, employers
>offered rather rigid plans, without much in the way of choice to employees,
>ie, the one size fits all model.  Recent advances in benefit plans have
>offered employees choices (major med, dental, eye, HMO, etc) through
>various types of "cafeteria" plans.  People can tailor their benefit
>package to fit their particular need.
>
>Of particular interest to some of you (many professional-type positions) is
>that many firms are experimenting with providing higher pay and offering no
>additional benefits.  This provides those employees with enough resources
>to make their own choices about how to provide health insurance, etc.
>
>But here is the bottom line - who should pay (is responsible for) the cost
>of health (and other) benefits.
>
>Should taxpayers be responsible for the cost, should employers (and hence
>consumers) be responsible, should the individual be responsible?  This is
>the discussion that needs to take place.  Arguing about whether WalMart or
>any other individual employer offers too little, too much or whatever is a
>ruse - not a useful discussion.
>
>The cites regarding health insurance coverage provided by Ms. Opyr
>demonstrates my point quite clearly.  Here are the exact cites for Montana,
>Nebraska, New Hampshire and Vermont (I added the bold, colored italicized
>text):
>
>Montana
>
>In June 2005 the Great Falls Tribune examined records for the state's CHIP
>program and found that the private employer with the largest number of
>workers with dependents receiving the health insurance was Wal-Mart. Its
>193 employees using CHIP represented about 4 percent of the company's
>workforce in the state. Other companies high on the list were McDonald's,
>Pizza Hut, NAPA Auto Parts and Subway.
>
>Source: Mike Dennison, "State Insurance for Kids Going to Employees You
>Might Not Expect," Great Falls Tribune, June 26, 2005, p.16A.
>
>Nebraska
>
>In October 2005 the Nebraska Health and Human Services System reported that
>an estimated 9,369 workers and an unknown number of their dependents were
>receiving benefits through the state's Medicaid program. Leading the list
>was Wal-Mart with 654 workers and Tyson with 548.
>
>Source: Paul Hammel, "Thousands with Jobs are on Medicaid Rolls," Omaha
>World-Herald, October 19, 2005.
>
>New Hampshire
>
>In May 2005 the Associated Press reported that it had obtained a report
>from the state Department of Health and Human Services on those employers
>in New Hampshire with the most workers (or their dependents) enrolled in
>Medicaid or the Healthy Kids Silver program. The employer at the top of the
>list in both categories was Wal-Mart, which had 487 of its 8,500 workers in
>the state getting subsidized coverage. Also high on the list were the state
>government, Dunkin' Donuts, the supermarket chain Shaw's, Concord Hospital,
>nursing-home operator Genesis and the U.S. Postal Service.
>
>Source: Norma Love, "State, Retail Workers High on List of Needing
>Health-care Subsidy," Associated Press, May 12, 2005.
>
>Vermont
>
>In April 2005 the Vermont Guardian reported that it had obtained data from
>the state's Department for Children and Families on families enrolled in
>Medicaid that had someone employed by a large company or a government
>agency. The state government itself was said to account for largest number
>of such employees with 481. Among the private-sector companies with the
>most workers using Medicaid were Price Chopper (443), McDonald's (290),
>Hannaford (288) and Wal-Mart (286). Among industry groups, grocery stores
>accounted for the largest number at 1,036.
>
>Source: Kathryn Casa, "Employees at Vermont's Top Companies Enrolled in
>Medicaid Health Plans," Vermont Guardian, April 18, 2005. Some of the
>numbers cited above came from a copy of the data prepared for Casa that was
>provided to Good Jobs First by the Department for Children and Families.
>
>You will find a similar pattern throughout the other cites provided in the
>post by Ms. Opyr.  While WalMart appears at the head of the list in many of
>the cites, that is probably due to the size of the workforce employed by
>WalMart relative to other employers in the state.  Of particular note is
>that the percentage of Walmart's employees using state medicaid is a small
>percentage of Walmart employees as a whole (look at cites above - Montana -
>4% and New Hampshire 5.7%.
>
>What is very clear is that the overwhelming majority of Walmart employees
>are covered by a health plan of some kind.
>
>Again, the issues here really are two-fold:
>    * What system should be in place to provide health coverage for
>Americans?
>    * Who should pay for it?

>_____________________________________________________
>  List services made available by First Step Internet,
>  serving the communities of the Palouse since 1994.
>                http://www.fsr.net
>           mailto:Vision2020 at moscow.com
>

_____________________________________________________
 List services made available by First Step Internet,
 serving the communities of the Palouse since 1994.
               http://www.fsr.net
          mailto:Vision2020 at moscow.com
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