Thursday, March 19, 2009

Employer-provided insurance hampers labor mobility.

Home ownership and employer-sponsored insurance may play a bigger role in unemployment than taxes or other alleged issues.

I've noted this for a time, that without some form of universal health coverage, people were tied to their jobs due to employer-provided insurance. When a health crisis hits, people can't just leave a job and lose their insurance, COBRA be damned.

Our system cements workers to their jobs when it might make better economic sense to move.

With the downturn in real estate, home owners are given a double-whammy with the loss of home value. They can't sell and they can't lose what they have sunk into their houses either.

The country may not be ready for this, but portable, universal health coverage would be a boon to labor mobility. People could move to where the jobs were instead of suffering with a job for the sake of the insurance and the house.

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