North America's Strongest Union

Teamsters: Defeat of Amendments to Repeal Excise Tax an Attack on Middle Class

“Cadillac Tax” in AHCA Targets Working Men and Women
Press Contact

Galen Munroe

Phone: (202) 624-6911

(WASHINGTON) – The Teamsters Union denounced the defeat of two amendments offered in committee to the American Health Care Act (AHCA) that would have permanently repealed the “Cadillac Tax” which imposes a 40 percent tax on high quality health care plans starting in 2025. This excise tax would unfairly target middle class working families and ultimately increase the cost of their health care plans as insurers pass along the cost to the participants.

The House Committee on Ways and Means voted along party lines to defeat the two amendments during a marathon session that went through the night. Teamsters General President Jim Hoffa called on the chairmen and ranking members of the House Committees on Ways and Means and Energy and Commerce to support a repeal of the 40 percent excise tax on comprehensive insurance plans in a letter they received yesterday.

“It is unconscionable that our representatives have no issue with repealing every single tax that was levied on corporations and the wealthy that was in the Affordable Care Act, but keeps the burdensome tax on employee health coverage in place,” Hoffa said. “This is just another example of the rich getting a free pass while the people who can least afford it foot the bill.”

Founded in 1903, the International Brotherhood of Teamsters represents 1.4 million hardworking men and women throughout the United States, Canada and Puerto Rico. Visit for more information. Follow us on Twitter @Teamsters and “like” us on Facebook at

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