The shameless politics of ObamaCare's latest delay
Once again, President Obama is playing politics with his signature policy


Gee, for such a terrific law, the White House sure seems reluctant to let ObamaCare take effect.
On Monday, the Obama administration announced yet another unilateral change to statutory language in the Affordable Care Act. The employer mandate had already had its enforcement deadline moved by HHS — until January 2015. Then the pricing deadline for these employer-based group plans got adjusted outward a few weeks in a vain attempt to avoid election consequences in the upcoming midterms. Those changes were bald attempts to avoid political consequences for the massive market disruptions that the ACA will cause in the group-insurance markets, after the administration saw disruptions in the much smaller individual market as well as the incompetent rollout of the exchanges.
If those delays were blatantly political, then the newest changes rise to the level of sheer shamelessness. The White House has postponed the mandate altogether for a certain class of employer, those between 50 and 99 employees, until January 2016. This puts off their decisions on coverage for another year past the midterms, saving Democrats from accountability in this election cycle, when other business owners have to decide whether to provide insurance or pay a fine. At the same time, the new executive action also lessens the threshold of compliance for large employers by covering only 70 percent of their employees in 2015, instead of the existing statutory requirement of 95 percent.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
Just a couple of weeks ago, President Obama promised "a year of action" in his State of the Union speech, warning Congress that he'd take unilateral action to protect the American people. Who knew he'd take that action to protect employers from his own law?
That's hardly the only irony in this situation, either. Last week, the CBO produced a new analysis of the ACA — the results of which the White House touted to reinforce its claim that the law was workable. The new analysis, however, showed that the projected costs of ObamaCare as implemented had more than doubled from its more-theoretical status, from $848 billion to over $2 trillion.
Even more damaging was the CBO conclusion about the impact of ObamaCare on the economy. The analysis projected that the U.S. would have 2.5 million fewer jobs or full-time-equivalents (FTEs) as a result of ObamaCare, largely because fewer Americans would stay in jobs just for the insurance coverage. Later, the Republicans on the Senate Budget Committee calculated that the loss of compensation into the economy for that net reduction would amount to over $1 trillion in the decade, lowering payouts by at least $100 billion each of the 10 years.
Democrats and ACA supporters insisted that this amounted to good news. Four years ago, Nancy Pelosi promised that ObamaCare would add four million jobs to the economy. This week, the new catchphrase became "job lock." Now people would be free to not work, the argument went, thanks to the subsidies provided by those who do work for their health care. Democrats declared this an end to so-called "wage slavery," but the White House couldn't quite figure out how to square a smaller economy with bigger taxpayer-financed subsidies into a win for American consumers.
Now, suddenly, one of the main mechanisms of this supposed job-lock freedom bill has to be postponed. Why? According to an unnamed "senior administration official," medium-sized businesses "need a little more time to adjust to providing coverage." The law passed in March 2010, nearly four years ago, and the original statutory deadline of January 2014 was in place for more than three years. One would think that business owners, who have to create budgets and capital plans on an annual basis, would already know how to provide coverage — since most businesses have done precisely that, for decades before ObamaCare.
The real problem for the White House is that many of these employers will find ways to get out of providing that coverage — and the Obama administration has known that almost ever since the law passed. HHS's own analysis showed that as many as 93 million Americans might find themselves out of their current plans when the employer mandate goes into full effect, and the financial disincentives to provide coverage as premiums skyrocket this year means many of those will find themselves in the individual market.
That, of course, gets us to the disincentive that Democrats fear most. The market disruptions and systemic failures from ObamaCare were bad enough when they mostly centered on the individual market for coverage. The employer mandate will create similar disruption in premiums and provider networks for the large majority of Americans who still get health insurance through their employers. Some of the premium escalations have already affected this market, but the big hit will come with the full implementation of the employer mandate. Since businesses have to plan for those expenses well before the start of the new year, the disruption would have started just before the midterm elections — especially for the smaller employers who have fewer resources to buffer the financial effects of the turmoil.
Instead of pushing full speed ahead for the end of "job lock" and the beneficence of government-run health-insurance markets, Obama and his administration have opted to protect Democratic incumbents in the midterms … again. Suddenly, Democrats have met a disincentive they won't embrace — the disincentive to vote for the politicians who imposed this unpopular system on taxpayers in the first place. That tells us all we need to know about their embrace of the other disincentives in the ACA.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Edward Morrissey has been writing about politics since 2003 in his blog, Captain's Quarters, and now writes for HotAir.com. His columns have appeared in the Washington Post, the New York Post, The New York Sun, the Washington Times, and other newspapers. Morrissey has a daily Internet talk show on politics and culture at Hot Air. Since 2004, Morrissey has had a weekend talk radio show in the Minneapolis/St. Paul area and often fills in as a guest on Salem Radio Network's nationally-syndicated shows. He lives in the Twin Cities area of Minnesota with his wife, son and daughter-in-law, and his two granddaughters. Morrissey's new book, GOING RED, will be published by Crown Forum on April 5, 2016.
-
Road trip: New England’s maple syrup season
Feature New England is serving up maple syrup in delicious and unexpected ways
By The Week US Published
-
Music Reviews: Mdou Moctar, Panda Bear, and Tate McRae
Feature “Tears of Injustice,” “Sinister Grift,” and “So Close to What”
By The Week US Published
-
What's at stake in the Mahmoud Khalil deportation fight?
Talking Points Vague accusations and First Amendment concerns
By Joel Mathis, The Week US Published
-
'Seriously, not literally': how should the world take Donald Trump?
Today's big question White House rhetoric and reality look likely to become increasingly blurred
By Sorcha Bradley, The Week UK Published
-
Will Trump's 'madman' strategy pay off?
Today's Big Question Incoming US president likes to seem unpredictable but, this time round, world leaders could be wise to his playbook
By Sorcha Bradley, The Week UK Published
-
Democrats vs. Republicans: who are the billionaires backing?
The Explainer Younger tech titans join 'boys' club throwing money and support' behind President Trump, while older plutocrats quietly rebuke new administration
By Harriet Marsden, The Week UK Published
-
US election: where things stand with one week to go
The Explainer Harris' lead in the polls has been narrowing in Trump's favour, but her campaign remains 'cautiously optimistic'
By Harriet Marsden, The Week UK Published
-
Is Trump okay?
Today's Big Question Former president's mental fitness and alleged cognitive decline firmly back in the spotlight after 'bizarre' town hall event
By Harriet Marsden, The Week UK Published
-
The life and times of Kamala Harris
The Explainer The vice-president is narrowly leading the race to become the next US president. How did she get to where she is now?
By The Week UK Published
-
Will 'weirdly civil' VP debate move dial in US election?
Today's Big Question 'Diametrically opposed' candidates showed 'a lot of commonality' on some issues, but offered competing visions for America's future and democracy
By Harriet Marsden, The Week UK Published
-
1 of 6 'Trump Train' drivers liable in Biden bus blockade
Speed Read Only one of the accused was found liable in the case concerning the deliberate slowing of a 2020 Biden campaign bus
By Peter Weber, The Week US Published