McDonald's may get its way with health-care law
As the new health law goes into effect across the country, McDonald's might avoid one requirement.
The Wall Street Journal reported Thursday that the fast food restaurant sent a memo to the U.S. Department of Health and Human Services saying that if a new requirement of the law is enforced, it might have to drop 30,000 restaurant workers from the company's health-insurance plan.
The requirement says insurance companies must spend 80 to 85 percent of their revenue from premiums on actual medical care and not administrative costs. The fast food chain's insurer has refused to do that.
A McDonald's spokeswoman told Bloomberg News, "We're not going to walk away from health care insurance completely, but we're going to have to look for alternatives if we can't get the resolution we're seeking from Health and Human Services."
Today, the Obama administration said the head of the Department of Health and Human services would "exercise her discretion" in applying the law, which could mean McDonald's will get the exemption it seeks.
A spokeswoman for McDonald's today said the company was encouraged by the announcement, though she did not know what the department means by "exercising
| October 1, 2010; 9:55 AM ET
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