Employer Coalition Urges Congress to Pass PBM Reforms This Year
EmployersRx and allies urge Congress to continue its momentum to eliminate PBM business practices driving up the cost of drugs for American businesses and workers
Oakland, CA, Nov. 16, 2023 (GLOBE NEWSWIRE) — The Employers’ Prescription for Affordable Drugs (EmployersRx), a coalition of employers formed in 2019 to advocate for policies that address the high cost of prescription drugs, along with 50 other organizations representing employers, patients and a wide range of industry sectors, calls on Congress to pass strong pharmacy benefit manager (PBM) reforms this year to address rising health care costs.
“Given the outsized role prescription drugs play in rising health care costs, it is essential that Congress pass reforms that will ensure transparency and accountability in the PBM industry,” said Alan Gilbert, Vice President of Policy for the Purchaser Business Group on Health (PBGH), which leads the EmployersRx coalition. “While no one expects PBMs to perform their services without remuneration, we must ensure these companies are not allowed to engage in practices whereby employers, health plans and patients are charged more for a drug than the PBM paid the pharmacy for that drug.”
EmployersRx and 50 organizations unite to urge Congress to implement crucial reforms. These reforms include enforcing complete transparency and reporting, eliminating spread pricing, obligating PBMs to pass on all rebates, discounts and fees and demanding that PBMs are held accountable to the same standards as employers.
“We are encouraged by the progress that has been made in the Senate and urge Congress to act quickly to pass these reforms into law,” said James Gelfand, President and CEO of The ERISA Industry Committee (ERIC). “Implementing these common-sense, free-market reforms will help to ensure that employers, health plans and patients have access to affordable prescription drugs.”
EmployersRx is committed to working with Congress to ensure that PBM reforms are passed this year. The coalition is urging Congress to take action to ensure that employers, health plans and patients are not paying more for drugs than they should be.
About Employers’ Prescription for Affordable Drugs
Collectively, employers are the largest purchaser of health care in the United States, purchasing health care services for more than 153 million people. Employers’ Prescription for Affordable Drugs (EmployersRx) represents public and private employers across the United States that are advocating for reducing prescription drug costs. To learn more about joining EmployersRx in the fight against high prescription drug costs, visit www.EmployersRx.org. Coalition members include:
Purchaser Business Group on Health. PBGH is a nonprofit coalition representing 40 private employers and public entities across the U.S. that collectively spend $350 billion annually purchasing health care services for more than 21 million Americans and their families. PBGH has a 35-year track record of incubating new, disruptive operational programs in partnership with large employers and other health care purchasers that lower health care costs and increase quality across the U.S.
The ERISA Industry Committee
ERIC is a national advocacy organization exclusively representing the largest employers in the United States in their capacity as sponsors of employee benefit plans for their nationwide workforces. With member companies that are leaders in every economic sector, ERIC is the voice of large employer plan sponsors on federal, state, and local public policies impacting their ability to sponsor benefit plans. ERIC member companies offer benefits to tens of millions of employees and their families, located in every state, city, and Congressional district.
American Benefits Council
The Council is a Washington D.C.-based employee benefits public policy organization that advocates for employers dedicated to the achievement of best-in-class solutions that protect and encourage the health and financial well-being of their workers, retirees and families. Council members include over 220 of the world’s largest corporations and collectively either directly sponsor or support sponsors of health and retirement benefits for virtually all Americans covered by employer-provided plans.
National Alliance of Healthcare Purchaser Coalitions
The National Alliance of Healthcare Purchaser Coalitions (National Alliance) is the only nonprofit, purchaser-led organization with a national and regional structure dedicated to driving health, equity, and healthcare value across the country. Its members represent private and public sector, nonprofit, and Taft-Hartley organizations, and more than 45 million Americans, spending over $400 billion annually on healthcare.
Silicon Valley Employers Forum
The Silicon Valley Employers Forum (SVEF) is a coalition of over 65 high-tech employers that impacts the evolution of global benefits through plan designs and administration, sharing and educating about innovative ideas, and partnering with companies to promote beneficial social change. We facilitate the sharing of U.S., International, and Global benefits practices to enable our members to strategize, optimize and manage benefits programs in support of their employees and family members. We partner with vendors and stakeholders, while respecting the culture, philosophy and benefits strategy of member companies. SVEF members collectively employ over 2M people in 120 countries.
HR Policy Association
HR Policy Association is the lead organization representing Chief Human Resource Officers at major employers. The Association consists of nearly 400 of the largest corporations doing business in the United States and globally, and these employers are represented in the organization by their most senior human resource executive. Collectively, their companies employ more than 10 million employees in the United States, over nine percent of the private sector workforce, and 20 million employees worldwide. These senior corporate officers participate in the Association because of their commitment to improving the direction of human resource policy.
CONTACT: Lisa Zamosky Purchaser Business Group on Health 9177510232 [email protected]
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