Warren's plan will adversely impact states which expanded Medicaid under the ACA and lower-wage employees. It will increase income disparity, disproportionately impact historically-responsible employers, and increase unemployment of low-wage workers.
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1/6
Under Warren's plan, current states' contributions to Medicaid will be redirected back to the federal government to help fund the M4A program. This disproportionately impacts states which expanded Medicaid coverage under the ACA.
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2/6
Warren's plan replaces the current Medicare tax, which is based on employee earnings, with a per-employee tax based on previous employer healthcare expenditures, or a "per-head" tax.
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3/6
A "per-head" tax imitates current premiums, but lower-wage employees usually opt for lower-cost coverage than higher-wage employees. Warren's plan equalizes the cost for every employee, increasing expenditures for lower-wage employees. This is a disincentive to employ them.
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4/6
Warren's plan won't tax independent contractors or employers with 50 or fewer employees. Large employers can eliminate many low-wage jobs by using contractors or by spinning off work off to smaller companies. It will starve Medicare funding and cut off employee advancement.
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5/6
In short, Warren's plan will increase income disparities, increase unemployment, impede economic advancement for employees in larger businesses.
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peoplespolicyproject.org/2019/11/01/war…
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peoplespolicyproject.org/2019/11/01/war…
We need #MedicareForAll, but this is the wrong way to fund it.
