NRF supports Obamacare repeal

The National Retail Federation has announced its support for the repeal of President Obama's Affordable Care Act. House Republicans unveiled their proposed repeal and replacement plan this week, much to the ire of those on both the Republican and Democratic sides of the aisle.

“Retailers want reforms that push us toward a more competition-driven private health care market, and the ObamaCare repeal-and-replace bills take us in that direction,” NRF senior vice president for government relations David French said in a statement.

NRF sides with Congressional Republicans in Obamacare repeal

“We believe this reform can be achieved without disturbing the tax treatment of employer-provided benefits, which are the foundation of coverage for more than 175 million Americans,” French said. “Employees are highly sensitive to any change in benefits and younger, healthier workers could choose to drop their coverage altogether rather than pay more taxes. We are pleased that House leadership heard our concerns and that their bills do not disturb this structure. We will work with Congress to repeal all threats to employer-based coverage, including the so-called Cadillac tax on health benefits.”

NRF has been working to educate lawmakers on the consequences of taxing health benefits, as there are proposals to cap the current exclusion from taxable income of employer-provided health benefits. House Republicans had originally supported capping the exclusion when the measure was brought up in June, but NRF wants to ensure that the proposal does not end up in any amended legislation.

“Health benefits are highly sought after, even for small start-up businesses, and greater stability will help create a better functioning market,” French said.

Retailers are also pleased with the reform bills’ focus on market-driven changes to benefit offerings. NRF believes greater variation in what is offered and freeing up where it can be purchased would help lower costs through greater competition. Enhancements to health savings accounts, greater state flexibility in rating factors and the availability of catastrophic coverage are all important reforms NRF supports.

photo:via National Retail Federation Facebook