Toyota Tells Employees: The Health Insurance Free Ride Is Over

Workers at Toyota’s largest plant in the United States will have to start paying a premium from each paycheck to insure spouses, domestic partners or families, the company said.

The move, which takes effect next year, is part of an initiative by Toyota to align the benefits at the plant in central Kentucky with many of its other North American plants, where employees already pay premiums. Employees at the Georgetown, Ky. plant also would have higher copays and deductibles under the plan.

The company said it is planning for the future to ensure that health care costs are managed and won’t drag down the business.


Read Article

EL34 - 9/4/2007 11:46:12 AM

-3 Boost

Where are all of the Japanese fanboys???

Looks like Toyota are not making the money we all thought!

hmmm.

Need4Speed - 9/4/2007 12:05:48 PM

+2 Boost

If Toyota were unionized there is no way that would happen. It would be interesting to see if the union jumps all over this and organize an effort to unionize the Toyota workers. This could be a more significant event for Toyota than what they may anticipate.

A4ORCE - 9/4/2007 12:31:09 PM

0 Boost

One of the reasons Toyota was able to succeed decades ago against Honda, Nissan, and Mazda, and even have this advantage to this day was their unique ability to keep the unions under full control, as Toyota was pretty much isolated in its own city. I don't know the characteristics of Georgetown, KY are, but I wouldn't be surprised if they chose the location based on similar characteristics to Toyoda City. Nevertheless, it's not Toyoda City and imho I think they're going to have a tougher time against us Americans.

EnnNorak - 9/4/2007 1:41:39 PM

+4 Boost

The U.S. health care system was pretty good about 20 years ago when my father died in N.Y. His hospital bill came to $89,000 and Uncle Sam picked up all but a small deductible which was something like $560 at the time. Catastrophic protection was in effect then. Given more recent abuses by HMOs who like to collect premiums but declare certain treatments ineligible on the grounds that they are "experimental", the health care system needs to be reformed and made universally accessible. A good heath care system helps to keep the nation competitive. A competitive nation is good for workers and business alike.

gsh23 - 9/4/2007 2:04:36 PM

+2 Boost

its not the government of the companies at fault for poor health care. its the insurance companies, the biggest middleman ever who say what can or cannot be and who and who cannot be covered. big pharma is in on it too, who pays to get their stuff plugged by doctors collecting kickbacks and insurance companies who take a little off the top.

toolatetorace - 9/4/2007 11:58:28 PM

+1 Boost

They are looking at major cost reductions in order to pay those losing NASCAR teams that they are throwing their money at and the BIG BIG bucks they are going to give to Joe Gibbs to field a winning team with Tony Stewart seeing that they can not build a team of their own .

1970toyotamarc - 9/6/2007 9:32:32 AM

+1 Boost

As a couple posters seem to have noted, one solution would fix this. It would also end the woes for the Big 3 (can we call them that again??)

Universal Health Care.

Knowing how much money some corps would save, I am surprised there isnt more republican backing for this. It just sows who is really in charge in this country. We all know how influential big oil is, they own the white house. But HMOs, pharmaceuticals, et al are just as powerful.