California Union Advocates 5% Billionaire Tax to Mitigate Medicaid Cuts

The Service Employees International Union proposed a one-time 5% tax on billionaires in California to offset Medicaid cuts and bolster health care funding for low-income residents.

• On Thursday, the Service Employees International Union announced plans to introduce a 5% tax on the net worth of billionaires in California to counteract federal Medicaid funding cuts.
• The federal government of the United States has threatened cuts to health care programs, prompting the union to seek voter approval for the statewide measure in the next election.
• A portion of the revenue generated from this tax would also be allocated to support K-12 education, addressing broader funding issues in California amid ongoing federal budget constraints.