Employee Benefit News for School, City and County Employers

State of the Union Speech Addresses Employee Benefits

Written by Erin Woulfe | Feb 14, 2020 7:16:09 PM

1 minute read

President Trump’s February State of the Union Address discussed several topics that may impact the employee benefits industry.

Unemployment and the Economy

The unemployment rate reached a 5-year low in 2019. The nationwide average unemployment rate is 3.5%.

Due to low unemployment and a strong economy, the labor market has been tight. Employers will continue to feel the effect of a tight market which may include difficulty hiring and retaining talent.

 

Paid Family leave

Many states are passing and proposing their own versions of paid family leave. Trump asked Congress to pass the Advancing Support for Working Families Act. It would provide paid family leave to new parents in the federal workforce. If passed, Trump stated that it would serve as a model for the rest of the country.

 

Prescription Drug Costs

President Trump has been focusing on lowering prescription drug costs over the past few years. Steps have been taken to increase the transparency of drug costs to help save employees money.

 

Health Care

President Trump passed legislation requiring that hospitals provide transparency when it comes to pricing/billing information. This will become effective in 2021. He also reiterated that those with pre-existing conditions will continue to be protected.

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