BOSTON — As President Barack Obama descends on the Bay State to join union bosses and Democratic politicians at the annual Labor Day Breakfast, a key element of Obamacare is poised to hurt most Massachusetts families, including those in union households. Obamacare’s “Cadillac Tax” on “high-cost” health insurance plans will take effect in 2018, and will force Massachusetts working families to pay thousands of dollars a year in new taxes: over $50,000 over ten years for the average police officer, for example. MassGOP Chairman Kirsten Hughes released the following statement:

“While Obama and the union bosses applaud each other at today’s breakfast, working families – especially union households – face a crippling Obamacare tax that will force them to pay thousands of dollars a year in new taxes. With union leaders and a bipartisan coalition agreeing that the tax needs to go, Massachusetts needs leaders to stand up to Obama to avert this disastrous burden on workers across the Commonwealth. But despite the consistent failure of Obamacare in Massachusetts, Elizabeth Warren gave the law a grade of “A++” last week. Our Commonwealth deserves better leadership in Washington, D.C.”

Background:

The “Cadillac Tax” Is Going to Hit Massachusetts Hard

Pioneer Institute: “Any Profession That Has Robust Healthcare Benefits – Construction Workers, Teachers, Police, State And Local Public Workers, And A Majority Of Those On Private Insurance – Will Be Immediately And Significantly Impacted By This Tax.”(Josh Archambault, “Impact Of The Federal Health Care Law’s ‘Cadillac Insurance Tax’ In Massachusetts,” Pioneer Institute, October 5, 2012) 

Unions And A Bipartisan Coalition Are Opposed To The Tax

The President Of The Massachusetts AFL-CIO Said The Tax Will Be ‘Catastrophic.’ (Steven Tolman, This Week In Business, NECN, 9/6/15) 

There Is Bipartisan Opposition To Obamacare’s Cadillac Tax. “Opposition cuts across both parties, with half of the House of Representatives now co-sponsoring one of two bills — one Democratic, one Republican — that would rescind the levy. House Republican leaders are mulling a vote on repeal.” (Brian Faler, “‘Caidllac Tax’ Could Wreck Popular Medical Accounts,” Politico, 8/31/15)

Working Families Will Suffer Under the Tax

A Police Patrol Officer With A Family Insurance Plan Will Pay $53,907 More On Average In Taxes Over 10 Years. (Josh Archambault, “Impact Of The Federal Health Care Law’s ‘Cadillac Insurance Tax’ In Massachusetts,” Pioneer Institute,10/5/12)

The Health Insurance Tax Will Affect Well Over 50% Of Workers In Massachusetts. “The report says that the so-called ‘Cadillac’ tax will affect well over 50 percent of workers in Massachusetts. This is due to the fact that Massachusetts health insurance rates are the highest in the country.” (Julie M. Donnelly, “Study: Obamacare’s ‘Cadillac’ Health Care Tax Would Hit Half Of All Mass. Workers,” Boston Business Journal, 10/10/12)

But Massachusetts Democrats Like Elizabeth Warren Heap Praise On Obamacare

Warren Gave Obamacare In Massachusetts A Grade Of ‘A++’ (“Political Happy Hour With Elizabeth Warren,” Boston Globe, 9/2/15)

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