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How Romney Would Worsen Unemployment Among the Disabled

Repealing Obamacare would make it impossible for many people with disabilities to join the workforce. 

Ben Adler

November 1, 2012

If Mitt Romney has made one promise during the campaign it is to improve employment. From his slogan—”Obama isn’t working”—to his stump speech, to his talking points in debates and press releases, Romney has made high unemployment his central attack on President Obama’s record. Even permanent Republican goals, such as rapacious extraction of our natural resources and lower marginal tax rates, have been reframed as pieces of Romney’s five-step plan to get the country working again.

But one of Romney’s central campaign pledges—to repeal Obamacare—would undermine employment for those who are most likely to be unemployed: people with disabilities. The rate of unemployment among disabled adults has remained stubbornly high, even since the 1990 Americans with Disabilities Act banned workplace discrimination against them. In September, according to the Bureau of Labor Statistics, the labor force participation rate among people with disabilities was 21.9 percent, compared to 69.3 percent among people without disabilities.

That is partly because our pre-Obamacare health insurance system makes it impossible for many people with disabilities to get a job. People with disabilities require comprehensive and continuous insurance coverage. If you are unemployed and impoverished, you qualify for Medicaid. If you get a job, your income will make you ineligible for Medicaid. But your job may not provide you with health insurance. Even if you get insurance, it may not cover services and medications you require. Or it may not cover pre-existing conditions. Or it may subject you to an annual or lifetime cap on coverage that you will exceed. Even if you have none of those problems, there may be an untenable three month waiting period for your insurance to kick in. “That’s a huge disincentive to working,” says James Weissman, general counsel of the United Spinal Association. “A person with disabilities on Medicaid doesn’t have any cap, lifetime or annual. A person on an employer’s plan, even if he’s covered right away and doesn’t have a waiting period, could still have an annual cap of $25,000.”

Obamacare will correct all of those problems. It will eliminate annual and lifetime caps on coverage, make it illegal to deny coverage of pre-existing conditions and require large employers to provide immediate coverage to new employees. (It will also expand Medicaid coverage to include some 17 million low-wage workers.)

“Obama preventing exclusions for pre-existing conditions in the Affordable Care Act—assuming we survive Romney’s attacks on it—has gone a long way towards reducing the disincentive for people with disabilities to get employment. Assuming that’s the case people will not be afraid of losing their Medicaid in going to work,” says Weissman.

There are other reasons to oppose Romney’s pledge to repeal Obamacare: It will steal insurance from millions to pad the reimbursement rates of Medicare Advantage–participating hospitals and insurers. But, ironically, it will also work at cross-purposes to Romney’s supposed number-one priority.

For more on the impact of Obamacare, check out "What the Affordable Care Act Would Mean for Transgender People."

Ben AdlerTwitterBen Adler reports on Republican and conservative politics and media for The Nation as a Contributing Writer. He previously covered national politics and policy as national editor of Newsweek.com at Newsweek, a staff writer at Politico, a reporter-researcher at The New Republic,and editor of CampusProgress.org at the Center for American Progress. Ben also writes regularly about architecture, urban issues and domestic social policy.  Ben was the first urban leaders fellow, and later the first federal policy correspondent, at Next American City. He has been an online columnist, blogger and regular contributor for The American Prospect. He currently writes regularly for The Economist's Democracy in America blog, and MSNBC.com's Lean Forward.  His writing has also appeared in Architect, Architectural Record,The Atlantic,Columbia Journalism ReviewThe Daily Beast, DemocracyGood, GristThe GuardianIn These TimesNew YorkThe ProgressiveReutersSalon, The Washington Examiner and The Washington Monthly and has been reprinted in several books. Ben grew up in Brooklyn, NY and graduated from Wesleyan University. You can follow him on Twitter.


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