COBRA To The Rescue

General Motors cuts health plan for 50,000 striking employees

Morgan Haefner – Wednesday, September 18th, 2019 Print  | Email

Health insurance for union workers striking against General Motors abruptly ended the week of Sept. 16, according to local news station ABC News.

About 50,000 workers are striking as the United Auto Workers Union and GM try to negotiate a new deal. The union said GM cut Blue Cross Blue Shield coverage for striking workers, and as a result the union would absorb healthcare costs.

Many workers said they did not know about the change until they or their family members went in for cancer treatment or to pick up their prescription. In one case, a worker said he learned about the news immediately after his wife, who was covered under the plan, received a $40,000 stomach operation, according to Fox 17 News.

In a statement to ABC News, GM said, “Strikes can be difficult and disruptive to families. While on strike, some benefits shift to being funded by the union’s strike fund, and in this case hourly employees are eligible for union-paid COBRA so their healthcare benefits can continue.”

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