Lee & Andy’s uniquely American scheme, whatever it is
[WSJ.com] - February 7, 2007 — 4:43 p.m. EST
THE EVENING WRAP (IN FULL) Strange Bedfellows
By TIM ANNETT
When unions and managers start agreeing, that often can have workers
and shareholders squeezing harder on their wallets. But after
slugging it out over medical costs for ages, labor and business hope
to use their collective muscle to make health care cheaper for everyone.
Wal-Mart Chief Executive H. Lee Scott and Service Employees
International Union boss Andy Stern would probably seem more at home
on an episode of “Celebrity Deathmatch” than sharing the dais at a
news conference on health-care reform. Unions and their supporters
have long complained that the world’s largest retailer offers a
health plan to its employees that is neither affordable nor adequate,
symptoms of what they see as a dysfunctional U.S. health-care system.
Wal-Mart vocally defends its benefits programs. But today, the two
men informed reporters in Washington that they and other corporate
and labor brass would calmly remove their hands from around one
another’s throats to set forth the goal of providing health care to
all Americans within five years. Mr. Stern said that it’s “time to
admit the employer-based health care system is dead.” His new buddy
Mr. Scott chimed in that “government alone won’t and can’t solve this
crisis. By following this campaign’s common sense principles, we
believe America can have high quality, affordable and accessible
health care by 2012.”
The team of rivals laid out some other worthy goals, such as boosting
the value of every dollar spent on health care. It just wasn’t clear
exactly how they think these lofty aspirations can be achieved. Mr.
Scott swerved from making any policy prescriptions; he did say he
would like to see a change that is “uniquely American.” Carl Camden,
chief executive officer of Kelly Services, one of the participating
firms, said Americans “like choice.” The most concrete proposal was
to convene a national summit by the end of May with other business,
union and government leaders. That left at least one prominent Wal-
Mart critic telling the company to put up or shut up. Paul Blank of
WakeUpWalMart.com said if the company is “truly serious” it would
“provide universal health care to all of its uninsured employees and
their families today.” But another loud Wal-Mart critic offered some
praise. Wal-Mart Watch said that all “should be encouraged by
collaboration between unions and business in search of true,
comprehensive reform of the nation’s healthcare” system. Wal-Mart
Watch receives funds from Mr. Stern’s union.
Corporate America has an obvious economic interest in getting out
from under its massive health-care obligations. In the global
economy, U.S. companies that must provide health-care benefits for
their workers say they are at a competitive disadvantage to companies
from nations with expansive government coverage. Finding some kind of
solution could also serve to smooth rocky labor relations.
Communications Workers of America President Larry Cohen noted most
labor disputes these days center on health-cost issues. Politicians
have offered up a range of options. President Bush has proposed tax
changes that would help cover more uninsured and Democratic
presidential contender John Edwards recently unveiled a sweeping
health-reform proposal. But much of the action is taking place on the
state level. Massachusetts, California and Pennsylvania are tinkering
with various approaches that would require citizens to purchase
health insurance, much as they must carry an autos policy. Reform
advocates say it’s clear that there is no shortage of ideas on how to
move forward. “It’s not about policy, it’s politics,” Mr. Stern said.
“We need the political will to get it done.”