From the NYT article Health Care’s Uneven Road to a New Era, we learn of a key ingredient to the fast food recipe—inviting workers’ medical bankruptcy. Case in point is McDonald’s Corp. and their current (and soon to cease) offering of mini-med insurance (pay $750/year in premiums for a maximum coverage of $200/year. That’s right, coverage maximum of $2000).
This points to another pathology at the (diseased) heart of the two-dollar burger deal. It is not just the huge subsidy machine of ADM corn and CAFE industrial meat. McD’s is externalizing the cost of doing business, or rather, saddling its typical employee with the burden of medical insurance and risk of medical bankruptcy for any event or combination of expenses in excess of that paltry amount.
“ At the same time, it’s probably unrealistic to expect McDonald’s to give workers decent health insurance. Many of those workers make less than $20,000 a year. A typical family insurance plan would raise their total compensation by more than half, destroying the McDonald’s business model [emphasis mine].”
Does that deal come with a shake?