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Boeing May Whittle Down Employee Benefits

Says National Health Care Plane Is Partly To Blame

The new health care law which is currently set to be phased in over the next several years could have an effect on Boeing employees, the company told its workers last week.

In a letter sent through the mail to the workforce, Boeing said changes in health care law is partly responsible for its asking some 90,000 non-union workers to pay more for their health care coverage next year. The Associated Press reports that the letter indicated some of the law's requirements which will be phased in over the next several years will increase what the company will be required to pay for health insurance. Those costs will be at least partially passed on to the workers.

Boeing's Rick Stephens said skyrocketing health care costs are making it difficult to compete with other manufacturers. Boeing's major competitor is Airbus, and European governments are largely responsible for paying for health care for its' employees.

Boeing spokeswoman Karen Forte told the AP that Boeing offers a more generous health plan than other manufacturers, and that the company worries that it will be required to pay a new tax when the law takes effect. The company said deductibles and copays will go up in all of its non-union plans next year.

FMI: www.boeing.com

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