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> It’s interesting that the U.S. picked an employer-driven model... Health insurance, parental leave† and retirement are also employer-driven. This seems to b
by overfeed 1y ago
> It’s interesting that the U.S. picked an employer-driven model...
Health insurance, parental leave† and retirement are also employer-driven. This seems to be a US default that incidentally gives a lot of leverage to employers.
† Yes there are government mandated minimums, but when compared to other developed countries, substantive parental leave is largely left to the generosity of the employer
- fuzztester 1y agowhy did it work out that way in the US?
- js2 1y agoDuring WWII there were wage freezes so employers started providing benefits: https://www.nytimes.com/2017/09/05/upshot/the-real-reason-the-us-has-employer-sponsored-health-insurance.html?unlocked_article_code=1.lk8.Jr29.KUO8bXOavG1b&smid=url-share https://www.nytimes.com/2017/09/05/upshot/the-real-reason-th... > In 1942, with so many eligible workers diverted to military service, the nation was facing a severe labor shortage. Economists feared that businesses would keep raising salaries to compete for workers, and that inflation would spiral out of control as the country came out of the Depression. To prevent this, President Roosevelt signed Executive Order 9250, establishing the Office of Economic Stabilization. > This froze wages. Businesses were not allowed to raise pay to attract workers. > Businesses were smart, though, and instead they began to use benefits to compete. Specifically, to offer more, and more generous, health care insurance. > Then, in 1943, the Internal Revenue Service decided that employer-based health insurance should be exempt from taxation. This made it cheaper to get health insurance through a job than by other means. ---- Hysterical raisins strikes again.
- BeFlatXIII 1y agoHysterical raisin?
- ToucanLoucan 1y agoOnce more the most rational economic system has to be shepherded away from spontaneously destroying itself
- deleted 1y ago[deleted]
- timeon 1y agoIdeology.
- bregma 1y agoYou wrote "incidentally" but I think you meant "intentionally". There is no evidence it's a coincidence, but there is a great deal of evidence that it is not.
- nerpderp82 1y agoThis drives a lot of the opposition to single payer insurance from the corporate world. They lose leverage as it would increase wages and labor mobility.
- joquarky 1y agoOne of the main reasons why annual raises have become so miniscule is because health insurance costs are rising significantly faster than inflation.