Academic journal article Journal of Accountancy

How Companies View Health Care Reform Proposals

Academic journal article Journal of Accountancy

How Companies View Health Care Reform Proposals

Article excerpt

A Hewitt Associates survey of 370 employers found business owners and managers were divided on some aspects of health care reform proposals.

A majority (54%) would be likely to keep their own health care plans rather than join regional alliances if given the option. As exhibit 1, page 26, shows, only 5% of the employers polled would not be likely to retain their plans.

John T. Bigalke, a partner of Price Waterhouse, Orlando, Florida, said the employers--who were surveyed before President Clinton's reform plan was unveiled--were opting for a "known plan rather than taking a risk on a new plan the costs and benefits of which have yet to be determined."

Nearly all (93%) of the employers surveyed used part-time workers, and 60% said part-time employees were eligible for some medical coverage. Eligibility for health coverage started at 20-29 hours per week for 39% of the companies and at 30-39 hours per week for 40%. As exhibit 2, bottom left, shows, a federal requirement to provide coverage to part-time workers would not significantly change part-time employment levels at about two-thirds of the employers. …

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