NEWS FLASH

Why Employers Won’t Drop Coverage In Large Numbers | Via Incidental Economist, Steve Pizer explains: “Predicting the effects of the exchanges is harder, but the fact that access will be limited to those without employer offers simplifies things somewhat. Most workers will not be eligible for subsidies if they had access to exchanges and the tax benefit is a major factor, especially for higher income workers, so a firm that drops coverage will be cutting compensation significantly for most of its workers. It’s not likely that many firms will be able to do this unilaterally.”