[Congressional Record Volume 140, Number 79 (Tuesday, June 21, 1994)]
[House]
[Page H]
From the Congressional Record Online through the Government Printing Office [www.gpo.gov]


[Congressional Record: June 21, 1994]
From the Congressional Record Online via GPO Access [wais.access.gpo.gov]


                              {time}  1620
 
         EMPLOYER MANDATES IN CLINTON'S HEALTH PLAN A BAD IDEA

  The SPEAKER pro tempore (Mr. Holden). Under a previous order of the 
House, the gentleman from California [Mr. Kim] is recognized for 5 
minutes.
  Mr. KIM. Mr. Speaker, 9 months ago, President Clinton presented us 
with his plan to radically change the American health care system. The 
details of this plan are by now familiar to all of us. The Clinton plan 
contains, as its centerpiece, an employer mandate that would force 
every employer to pay 80 percent of the health care costs for their 
employees and their families, or up to 7.9 percent of payroll.
  From the beginning, I, along with most other Republicans, have 
strongly opposed the employer mandates proposed by the President. For 
months, we have been trying to convince the proponents of the plan that 
these new mandates would be destructive to business, especially small 
business, and would threaten the livelihood of ordinary American 
people.
  However, the proponents of the Clinton plan are not listening. They 
persist in trying to convince the American people that forcing 
employers to pay for the employees' health care costs would not put 
companies out of business, would not reduce employees' wages, would not 
cost hundreds of thousands of Americans their jobs.
  I am here to tell you that those who are trying to sell this line of 
reasoning are dead wrong. As a former small businessman myself, I know 
from firsthand experience that business simply cannot afford to absorb 
this enormous new payroll tax without cutting wages, laying off 
employees, or, in some cases, going out of business entirely.
  You do not have to take my word for this. Over the past few months, 
numerous studies have been conducted to look at this impact that 
Clinton's plan will have on wages and jobs. Almost universally, these 
studies predict that the Clinton plan will have a devastating impact on 
jobs and wages.
  Let's take a look at this chart. The studies done by the State of 
California Office of Planning Department says jobs will be lost, 
between 2.5 to 3.7 million jobs.
  Let's take a look at the CONSAD study, which is commissioned by the 
National Federation of Independent Businesses. It says, 850,000 job 
losses, up to 3.7 million potential job losses.
  According to CONSAD, 470 employees of small businesses will lose 
their jobs, 540,000 employees in the retail and service industry will 
lose their jobs, and 23 million employees will see their wages reduced 
by a total of $28 billion, or $1,200 per year per worker.
  While these results are disturbing enough, I am even more disturbed 
by the conclusion of who will exactly be hurt the most by these 
proposed employee mandates. According to the study of those who lose 
the jobs the most, let's look at this chart: Women, 59 percent of women 
lose their jobs. That is without the subsidy. Low-wage people, 66 
percent of low-income people lose their jobs. Parents with children, 75 
percent. And 88 percent of part-time workers will lose their jobs.
  In other words, not only will the employer mandates in the Clinton 
plan create massive job loss and wage decline, but the plan will also 
concentrate those losses among those American people who are least able 
to afford such losses, such as this group of people, the very people 
this plan is supposed to help.
  I believe the CONSAD study clearly demonstrates how bad an idea this 
employer mandate is.

                              {time}  1630

  While these kind of mandates may bring a few more people into the 
health care system, they only do so at great cost to the wages and jobs 
of ordinary people. Even worse, employer mandates hurt groups of 
people, people with families, the poor, women that are most in need of 
our help.
  For these reasons, I strongly urge my colleagues to explore 
alternatives to the Clinton plan that do not require employer mandates. 
Let us fix what is wrong with the system, but let us not risk the 
livelihoods of millions of hard-working American people.
  The SPEAKER pro tempore (Mr. Hastings). Under a previous order of the 
House, the gentleman from Illinois [Mr. Michel] is recognized for 5 
minutes.
  Mr. MICHEL. Mr. Speaker, I submit for the Record the votes on health 
care reform which took place in full committee in the Education and 
Labor Committee on June 17, 1994:

                    COMMITTEE ON EDUCATION AND LABOR

                             Full Committee

                   Health Care Markup, June 17, 1994

       The following recorded votes were taken on June 17, 1994 in 
     the Committee on Education and Labor during full committee 
     consideration of Chairman Ford's mark, H.R. 3600, Health 
     Security Act of 1994:
       1. An amendment by Representative Armey to eliminate the 
     provisions imposing government-determined premium caps on all 
     health plans. The amendment was defeated 14-26.


                               democrats

       Mr. Ford, ``nay.''
       Mr. Clay, ``nay'' by proxy.
       Mr. Miller (CA), ``nay'' by proxy.
       Mr. Murphy, ``nay'' by proxy.
       Mr. Kildee, ``nay.''
       Mr. Williams, ``nay.''
       Mr. Martinez, ``nay.''
       Mr. Owens, ``nay'' by proxy.
       Mr. Sawyer, ``nay'' by proxy.
       Mr. Payne, ``nay'' by proxy.
       Mrs. Unsoeld, ``nay.''
       Mrs. Mink, ``nay'' by proxy.
       Mr. Andrews, not voting.
       Mr. Reed, ``nay.''
       Mr. Roemer, not voting.
       Mr. Engel, ``nay'' by proxy.
       Mr. Becerra, ``nay.''
       Mr. Scott, ``nay.''
       Mr. Green, ``nay.''
       Ms. Woolsey, ``nay.''
       Mr. Romero-Barcelo, ``nay'' by proxy.
       Mr. Klink, ``nay'' by proxy.
       Ms. English, ``nay'' by proxy.
       Mr. Strickland, ``nay'' by proxy.
       Mr. De Lugo, ``nay.''
       Mr. Faleomavaega, ``nay'' by proxy.
       Mr. Baesler, ``nay.''
       Mr. Underwood, ``nay'' by proxy.


                              republicans

       Mr. Goodling, ``yea.''
       Mr. Petri, ``yea'' by proxy.
       Mrs. Roukema, ``yea.''
       Mr. Gunderson, ``yea'' by proxy.
       Mr. Armey, ``yea.''
       Mr. Fawell, ``yea'' by proxy.
       Mr. Ballenger, ``yea.''
       Ms. Molinari, ``yea.''
       Mr. Barrett, ``yea'' by proxy.
       Mr. Boehner, ``yea.''
       Mr. Cunningham, ``yea'' by proxy.
       Mr. Hoekstra, not voting.
       Mr. McKeon, ``yea.''
       Mr. Miller (FL), ``yea.''
       Mr. Castle, ``yea'' by proxy.
       2. An amendment by Representative Armey to strike the 
     monetary penalties, up to $5,000 or three times the amount 
     owed, which may be levied by the Department of Labor on 
     individuals who fail to pay premiums owed. The amendment was 
     defeated 15-27.


                               democrats

       Mr. Ford, ``nay.''
       Mr. Clay, ``nay'' by proxy.
       Mr. Miller (CA), ``nay'' by proxy.
       Mr. Murphy, ``nay'' by proxy.
       Mr. Kildee, ``nay.''
       Mr. Williams, ``nay.''
       Mr. Martinez, ``nay.''
       Mr. Owens, ``nay.''
       Mr. Sawyer, ``nay'' by proxy.
       Mr. Payne, ``nay'' by proxy.
       Mrs. Unsoeld, ``nay'' by proxy.
       Mrs. Mink, ``nay'' by proxy.
       Mr. Andrews, Not voting.
       Mr. Reed, ``nay'' by proxy.
       Mr. Roemer, ``nay.''
       Mr. Engel, ``nay'' by proxy.
       Mr. Becerra, ``nay.''
       Mr. Scott, ``nay.''
       Mr. Green, ``nay.''
       Ms. Woolsey, ``nay.''
       Mr. Romero-Barcelo, ``nay'' by proxy.
       Mr. Klink, ``nay'' by proxy.
       Ms. English, ``nay'' by proxy.
       Mr. Strickland, ``nay'' by proxy.
       Mr. De Lugo, ``nay.''
       Mr. Faleomavaega, ``nay'' by proxy.
       Mr. Baesler, ``nay.''
       Mr. Underwood, ``nay'' by proxy.


                              republicans

       Mr. Goodling, ``yea.''
       Mr. Petri, ``yea'' by proxy.
       Mrs. Roukema, ``yea.''
       Mr. Gunderson, ``yea'' by proxy.
       Mr. Armey, ``yea.''
       Mr. Fawell, ``yea'' by proxy.
       Mr. Ballenger, ``yea.''
       Ms. Molinari, ``yea.''
       Mr. Barrett, ``yea'' by proxy.
       Mr. Boehner, ``yea'' by proxy.
       Mr. Cunningham, ``yea'' by proxy.
       Mr. Hoekstra, ``yea.''
       Mr. McKeon, ``yea'' by proxy.
       Mr. Miller (FL), ``yea.''
       Mr. Castle, ``yea'' by proxy.
       3. An amendment by Representative Hoekstra to delete the 
     provisions which require the Secretary of Labor to establish 
     a special ``migrant health plan'' for migrant and seasonal 
     agricultural workers and their families. The amendment was 
     defeated 18-25.


                               democrats

       Mr. Ford, ``nay.''
       Mr. Clay, ``nay'' by proxy.
       Mr. Miller (CA), ``nay.''
       Mr. Murphy, ``yea.''
       Mr. Kildee, ``nay.''
       Mr. Williams, ``nay.''
       Mr. Martinez, ``nay'' by proxy.
       Mr. Owens, ``nay'' by proxy.
       Mr. Sawyer, ``nay.''
       Mr. Payne, ``nay'' by proxy.
       Mrs. Unsoeld, ``nay'' by proxy.
       Mrs. Mink, ``nay.''
       Mr. Andrews, ``yea.''
       Mr. Reed, ``nay'' by proxy.
       Mr. Roemer, ``nay.''
       Mr. Engel, ``nay'' by proxy.
       Mr. Becerra, ``nay'' by proxy.
       Mr. Scott, ``nay.''
       Mr. Green, ``nay.''
       Ms. Woolsey, ``nay.''
       Mr. Romero-Barcelo, ``nay'' by proxy.
       Mr. Klink, ``nay'' by proxy.
       Ms. English, ``nay'' by proxy.
       Mr. Strickland, ``nay.''
       Mr. De Lugo, ``nay.''
       Mr. Faleomavaega, ``nay'' by proxy.
       Mr. Baesler, ``yea.''
       Mr. Underwood, ``nay'' by proxy.


                              republicans

       Mr. Goodling, ``yea.''
       Mr. Petri, ``yea'' by proxy
       Mrs. Roukema, ``yea.''
       Mr. Gunderson, ``yea.'' by proxy.
       Mr. Armey, ``yea'' by proxy.
       Mr. Fawell, ``yea'' by proxy.
       Mr. Ballenger, ``yea.''
       Ms. Molinari, ``yea.''
       Mr. Barrett, ``yea'' by proxy.
       Mr. Boehner, ``yea'' by proxy.
       Mr. Cunningham, ``yea'' by proxy.
       Mr. Hoekstra, ``yea.''
       Mr. McKeon, ``yea'' by proxy.
       Mr. Miller (FL), ``yea.''
       Mr. Castle, ``yea.''

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