AFL-CIO president signals room for compromise in health debate

The leader of the AFL-CIO reiterated opposition to two key parts of the Senate health bill, but suggested there may be room for compromise on the provisions.

AFL-CIO President Richard Trumka voiced opposition to a provision in the Senate healthcare reform bill that impose an excise tax on high value health plans. He also voiced opposition to a second provision that would allow states to "opt out" from a public health insurance option.

But Trumka sent signals that the labor group may be open to bargain on the two provisions in an effort to move health reform across the finish line.

Trumka told reporters that the labor group would be willing to considered a restructured version of the tax if it were to provide exemptions to plans held by middle-class workers.

"If you can define what those plans are, then maybe we can talk from the same point of view," he said during a conference call with reporters. "If you wanted to tax the Goldman Sachs plans, I'd say that's fine."

Trumka praised the House health bill as having a more effective public option and fairer financing compared to its Senate counterpart, which Trumka said would effectively tax middle class workers through the tax on so-called "Cadillac plans."

"It's bad policy, it's bad politics, and it's totally unacceptable to put the costs of healthcare reform on the backs of working families," he said of the Senate taxes.

But the labor leader expressed optimism that a deal will be reached on healthcare reform, saying the debate is "moving in the right direction."

The AFL-CIO president, who took office in September, said that the opt-out provision in the Senate bill falls short of the "robust" public option the union supports, but suggested the provision is "on its way" toward being something the organization could support.

"We cannot be in favor of reform for reform's sake. This is the moment to make sure that it's real," Trumka said in a conference call with reporters on Monday. "The fight now is about what reform will look like."

As the House and Senate bills near completion in each chamber, Trumka said that the AFL-CIO, along with the labor coalition Change to Win, would organize a push next Thursday, November 5th, in which union members will wage a public phone call campaign encouraging lawmakers to support their preferred outcomes in the health reform debate.