The most obvious example is Wal-Mart, one of our nation's largest and most profitable employers. Wal-Mart is big and wealthy, but it does not provide decent health care benefits for its employees.
Should we be concerned about how Wal-Mart treats its employees? Wal-Mart and its allies say this topic should be no concern to the public or the Legislature.
I see it differently.
Wal-Mart follows a business model of providing minimal health care, which it knows will shift costs to taxpayers and other employers. A recent news article said more than 3,100 of Wal-Mart's employees in Washington are on taxpayer-funded health care plans.
This practice by Wal-Mart and some other large employers has a direct impact on the entire state. The cost to taxpayers is estimated at tens of millions of dollars a year.
This is unfair to our state treasury, to communities across Washington, to business and to families. Our Legislature must step in. That's why I decided to support the “Fair Share” bill.
The bill sets a minimum for the state's largest employers and targets the worst corporate abusers. For companies with 5,000 or more employees, the bill requires them to spend at least 9 percent of payroll on health care or pay the difference into the state's health care fund. That's a reasonable minimum. The vast majority of companies that size already meet the standard.
The bill is supported by businesses, working families, elected officials, health care professionals, and community and civic leaders. This bill can help address the growing number of uninsured children and adults in Washington, now estimated at more than 600,000 people.
Health care is a national crisis, and we do need comprehensive change. But as we work to bring change nationwide, we can't ignore growing abuses of the present system by Wal-Mart and other large employers. We must stop the “race to the bottom” by unfair employers.
This legislation will have two important benefits. First, employees at Wal-Mart and other companies would get improved health care for themselves and their children. Second, and perhaps more important, taxpayers would no longer provide an unintended subsidy to corporations whose employees are on the taxpayer-funded Washington Basic Health Plan.
Wal-Mart and its allies have tried to characterize this bill as anti-business. This is the same argument that failed in Maryland, where similar legislation was passed into law.
Many small and larger businesses support the “Fair Share” bill because it levels the playing field. Fair-minded employers shouldn't be paying higher premiums to offset the irresponsible few. Fair-minded employers should not be penalized for doing the right thing.
Wal-Mart has a well-documented history of questionable treatment of its employees. It's time to pass this legislation and help put a stop to abuses of our health care system.
Mike Murphy is treasurer of the state of Washington.