McDonald's May Drop Health Plan

McDonald's has warned federal regulators that it could drop its health insurance plan for nearly 30,000 workers unless regulators waive a new requirement of the U.S. health overhaul. Full Story »

Posted by Jon Mitchell - via Peter Daou, OneRiot (Health & Medicine), Memeorandum, Columbia Journalism Review, Wall Street Journal (Most Emailed), John Rueschenberg (t), Wil Kristin (t), David K. Miller (t), David Wardell (t), Brian Mauger (f), avivao (f), David Wardell (f), Joe Bonner (f)
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Posted by: Posted by Jon Mitchell - Sep 29, 2010 - 4:48 PM PDT
Content Type: Article
Edit Lock: This story can be edited
Edited by: Jon Mitchell - Sep 30, 2010 - 7:32 PM PDT

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Jon Mitchell
3.6
by Jon Mitchell - Sep. 30, 2010

The WSJ reports this story in a way that feels subtly biased to me, referring to such cuts as "unintended consequences of the health overhaul," as opposed to, say, a demonstration of misplaced corporate priorities. It also doesn't talk about how these costs compare to McDonalds' profits. Still, the report is thorough, and it helps illustrate the changes unfolding in the economy.

See Full Review » (11 answers)
Walter Cox
2.9
by Walter Cox - Sep. 30, 2010

This story requires readers to read between the lines. If one does so, what emerges is that McDonald's may not be willing to provide health insurance for their employees if they can't make a substantial profit on the venture. All the new rule requires is that 80-85% of premium revenue be spent on medical care, which leaves a healthy 15-20% margin to cover administrative costs and profit. If an ancillary problem is, as the article states, "relatively low spending on claims," then the solution is even simpler-- reduce premiums. The article does not explore the possibility that McDonald's threat to drop its health insurance for 30,000 employees may be based more on greed than economic necessity.

I believe we can expect more of this sort of thing from corporate America as the mid-term elections near. Enemies of the Obama administration have demonstrated their clear intent to derail successful implementation of the healthcare legislation, and one way to do that is to make Americans fearful of losing their benefits.

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Kaylee Lentz
4.0
by Kaylee Lentz - Oct. 3, 2010

Usually, I shy away from reading about insurance policies because they're too long and confusing. Heck, the health care reform bill is thousands of pages in its entirety! But as a former employee of McDonald's, I'm very interested in these recent discussions. So, I read the article and I'm happy to say I didn't have to do much head scratching at all. All the information was laid out clearly. The charticle was very well done and the side notes about workers without coverage was a nice attribute as well.

See Full Review » (11 answers)
Roland F. Hirsch
4.2
by Roland F. Hirsch - Sep. 30, 2010

This news story is excellent journalism. It documents yet another problem with the new health care law, providing considerable factual detail, and explaining why the problem arose and how widespread it will be. Big, nationwide problems like this are surfacing every week, increasing the likelihood that the entire contradictory 2000-page law will be repealed. One missing point: the lobbyist who got this provision into the law is not identified.

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Preston Watts
4.0
by Preston Watts - Oct. 1, 2010

Let the games begin. By the time it's done most big business will be exempt insurance company profit percentage requirements will be loopholed and all you'll have left is mandated insurance that covers little or nothing and a big price tag.

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Anthony Alaniz
3.9
by Anthony Alaniz - Oct. 2, 2010

This piece shows that there could be many unintended consequences with the new health care coverage. The article points out many issues that are going to arise, and it may actually kick people off of coverage that had it prior to the passage of the law. The article was well written, balances, and brings up very valid points.

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Christopher Jordan Smith
3.9
by Christopher Jordan Smith - Oct. 1, 2010

I think that this is good journalism becasue the author did the research and gathered all the information necessary to write a good article. He presented the facts to the public in an unbiased way and I was able understand this story better.

I think that McDonalds has the right to drop its health plan but I don't think that it is a good idea. Their employees work hard for the company and they deserve to be able to get the proper health care if they were to get injured or sick on the job.

See Full Review » (12 answers)
Nye Hutson-Legette
3.8
by Nye Hutson-Legette - Oct. 3, 2010

McDonald's shouldn't decrease it's workers insurance policy. They are one of the few successful companies that still have some type of coverage for their employees.

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amanda schimm
4.0
by amanda schimm - Sep. 30, 2010

I thought this story was well written and gave me a chance to see what is going on. I thought maybe this is occuring because of the new health care plan that Obama is supporting. I didn't know that McDonald's had a decent health care plans for its employees, not many fast food or restaraunts do this. I really liked that the story showed statistics with charts and the extra without coverage column.

See Full Review » (11 answers)

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