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McBrayer Blogs
Showing 1 post in Cadillac tax.
UPS Denies Insurance Coverage of Spouses and Cites ACA as Reason
Posted In Affordable Care Act, Cadillac tax, Health Care Law, Individual mandate, Spousal coverage, UPS
The United Parcel Service (“UPS”) recently made a big statement when they decided to drop 15,000 working spouses eligible for health coverage through their own employers from the UPS plan in 2014. The shipping conglomerate explained the change in a memo to its workers and repeatedly cited the Affordable Care Act (“ACA”) as the reason for the new policy. Rising medical costs “combined with the costs associated with the Affordable Care Act, have made it increasingly difficult to continue providing the same level of health care benefits to our employees at an affordable cost,” the memo stated. The new policy will not affect union workers, as their health benefits are already spelled out in labor contracts, but will apply to about a quarter of the UPS U.S. workforce. More >
