Thursday, August 22, 2013

Middletown Cuts The Hours of Part-Timers To Avoid Obamacare: Joins The Likes Of Greedy Corporate CEO's From Papa John's, Applebees and Red Lobster

We can now add the name of Middletown Township NJ to the likes of Papa John's, Applebees, Deny's,  Red Lobster and the many other similar corporate institutions that have decided that it is better to cut employee hours (and livelihoods) than give its hard working, part-time employees health care coverage under the guidelines of the Affordable Care Act, aka Obamacare.

According to the Asbury Park Press at this past Monday night's Middletown Township Committee meeting (I'll post the video when it becomes available), the township administration announced that rather that provide health benefits to 25 part-time employees under the guidelines of the Affordable Care Act, they have instead cut the hours of those employees to avoid paying the extra premiums

For the companies named above the additional costs of providing health care coverage to their employees equates as little as 10 cents or less per menu item, to their bottom line. Those costs can easily be added onto a customer's bill with very little notice or trouble from the clientele, as a matter of fact, according to many polls conducted in the past year, customers would be more than happy to pay the few cents more added on to their bill knowing that the additional costs were going to provided health coverage to those that prepare and serve their meals.

In the case of Middletown, providing health care coverage to those 25 part-timers, who live in Middletown and just might be some of our friends and neighbors, would equate to little more than $6 per tax paying township property owner per year. To some of you out there that may sound outrageous but keep in mind, these people are our hardworking friends and neighbors who just might need those extra few hours of pay each week to make ends meet at the end of the month.

Middletown's reasoning for not wanting to provide health coverage to its part-time help is somewhat understandable if you believe that the cost of providing coverage to those employees is indeed $31,000 per individual or family as the township states. That's outrageous! How can it be so much? It doesn't make sense.

I know how much it cost my employer to provide me with an HMO family plan through Cigna Health Care and it is nowhere near $31,000 a year. I think it's about time Middletown starts fessing up as to what real costs are available to them and not try to make excuses.

Whenever the cost of township health insurance premiums are brought up at a public meeting or in the media those on the dais and the administration point to the fact that Middletown is self-insured and as a result of being self-insured, the overall costs of health care coverage is less as compared to enrolling current and retired employees in the state's various coverage plans.  It's obvious to me and many others that this just isn't so.

I've stated it before and I'll state it again, there has been a great many current and former Middletown employees who have told me in the past that they are/were afraid to speak out against their employer (the Township) because Middletown was self-insured. It seemed to them that whenever they would complain to much or too loudly about different work related conditions or insurance benefits, they would notice a slowdown in how their claims or benefits were processed or distributed.

Of course they and I know that that sort of behavior by an employer  is illegal. You can't intimidate or knowingly go out of your way to harass a current or former employee because you are unhappy with them. However those that have talked to me about it feel just that, and believe the only reason why the township is still self-insured is so that Middletown controlled them and demand their loyalty and silence




10 comments:

Anonymous said...

I followed this in the APP, and I still don't know how Middletown pays $31,000 per employee for health care coverage. That seems really high, more than twice the cost of my plan. That cannot be right, and if it is we are getting ripped off in a big way.

Anonymous said...

I followed this in the APP, and I still don't know how Middletown pays $31,000 per employee for health care coverage. That seems really high, more than twice the cost of my plan. That cannot be right, and if it is we are getting ripped off in a big way.

Anonymous said...

Merchantante made his film debut on Channel 12 News yesterday also making these statements about insurance costs etc.but he failed to state that the Middletown Township Sewage Authority may provide coverage to some former mayors and other politicians that spend little or no time "earning " those benefits. What hypocrites !!

Anonymous said...

Can you name who on the sewerage authority is getting benefits?

MiddletownMike said...

Anon 3:07,

off the top of my head I can not recall the names of those on the sewerage authority that are receiving benefits. However, I do know that 2 of 7 sewerage authority board members are receiving them.

Anonymous said...

Wouldn't that calculate to $62,000 for benefits paid for part time "politicians" by Middletown Township
at TOMSA (a government entity) and bet it buys those benefits from the same source as the township gets benefits for all other recipients....the township is self insured isn't it ????

Anonymous said...

As long as the people in this continue to elect these mutts to office, injustice will prevail. We need bipartisan government desperately.

Anonymous said...

It is truly shameful that the town is cutting hours just to avoid its responsibility to these employees. I'm not sure how the math works, though. If it truly costs $31,000 per employee, there are 25 employees, and 70,000 resident, isn't that more like $60 per resident? Or in the ball park of $150 per property?

In any case, we need a council/mayor system of government in the township. If politicians were accountable more directly to their neighbors, they would be much more careful in how they spend our money. And the chance of electing a bipartisan council would be much higher.

Your Leonardo reader

MiddletownMike said...

Leo,

The costs would be spread out over every property owner, business owners included, not just residents.

Anonymous said...

I looked at the tax list. There are something like 25,000 properties in town; not sure if all are taxable. But assuming all are, that works out to more like $31 per taxable property, not the $6 indicated in the post. Still not a huge amount, but would rather we have our facts straight....

Your Leonardo reader