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Saw this one coming: Unions to receive exemption from 'Cadillac tax'

by: Bill Dupray   posted: 2010-01-14 12:18:00
Viewed 257 times. 0 Comments.

It appears, according to Congress Daily, that the unions have secured a deal to exempt them from the Cadillac tax on expensive health insurance policies.

We saw this coming as far back as June of last year, and dragged it out again on Monday as the most likely thing to break the logjam over the financing in the two health care bills.

The NRO Editors shredded the idea this morning.

Even after all the unsavory bargains and rotten deals that have characterized the rush to get this thing passed (the “Louisiana Purchase,” the “Cornhusker Kickback,” etc.) the “Labor Loophole” surely takes the prize. A few Democrats in the Senate already tried this trick and were laughed out of the smoke-filled room, so nakedly obvious was the special-interest favoritism at work. That the Democratic party is seriously reconsidering this deal is a sign of how desperate it has become to pass a bill — any bill — that shoves the federal foot through the waiting-room door.

The money quote.

The Democrats are fighting a losing battle: Every time they make a corrupt compromise to buy votes, a disgusted public likes the bill a little less, which drives down its popularity in the polls, which increases the number of votes the Democrats have to buy. As Ramesh Ponnuru and Yuval Levin noted in the latest issue of National Review, the end product of this process will present a big red target for Republicans to shoot at all year. The Labor Loophole would make that target even bigger.

The Dems must be out of their gourds. How do you defend a 40% tax on the health plan of a non-union worker at a manufacturing plant and no tax whatsoever on the union guy with the same plan across the hall?

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