America's Work Force Union Podcast

Inflation Reduction Act under fire from major drug company

Written by awfblog | June 16, 2023

Executive Director of the Alliance for Retired Americans Rich Fiesta, joined the America’s Work Force Union Podcast to discuss a lawsuit filed by a major drug company to cancel the Inflation Reduction Act’s policy on drug pricing. Fiesta also discussed a new budget proposal from the Republican Party in the House of Representatives.

The Inflation Reduction Act hopes to curb inflation by lowering federal deficit, lowering prescription drug prices, and investing in domestic energy production with a focus on clean energy. The Act also looks to spend more on several major public projects in hopes of improving the status of many Americans. There will also be a cap of $35 per month and $2,000 for out-of-pocket medical costs for Americans on Medicare.

Merck claims the Inflation Reduction Act is unconstitutional and that Medicare is supposedly taking something from Merck. At this time Merck and other drug companies are already negotiating with several other public organizations. Merck is trying to stand by the original Part D Medicare expansion that requires Medicare to not be allowed to negotiate, according to Fiesta.

The majority of the Republican Party in the House of Representatives is supporting a new budget proposal with some major changes. The first change would be to increase the age of those receiving Social Security benefits to 69. The second change is to make more parts of Medicare privatized. This privatization would take more money from taxpayers and put it into the pockets of the private healthcare service, Fiesta said.

Listen to the entire episode to learn more.