Working America Relies on Medicaid: Congress Must Protect Essential Workers from Devastating Medicaid Cuts

In light of Congressional Republican efforts to pass a budget bill that cuts Medicaid to pay for tax cuts for billionaires and corporations, Families USA conducted an original analysis detailing the specific industries that depend on the nearly 20 million low-wage workers in America who get their health care coverage through Medicaid. The key industries with the highest percentage of workers covered by Medicaid represent the backbone of the U.S. economy and are overwhelmingly blue-collar and low-wage jobs, including the retail and service industries, health care and social services, manufacturing, transportation, education and farming. The workers are predominantly women (56%) and are a plurality White (46%) and in some states, account for more than 15% of the workforce, including West Virginia and New York.

The current version of the budget reconciliation bill includes severe cuts to the Medicaid program that supports health care for 80 million Americans, including nearly 20 million low-wage workers who often have no other options for affordable health care coverage. The bill also includes new bureaucratic burdens that would punish Americans for losing their job and would require Americans to prove they work 40 hours per week in order to access health care, despite that more than 90% of eligible adults on Medicaid are already working or would be exempt from work reporting requirements.

Key Findings:
Based on Families USA’s analysis of 2023 American Community Survey data, more than 19.4 million low-wage workers from key industries rely on Medicaid for health insurance, including:

• More than 7.3 million retail and service industry workers, including those in food service, hospitality, and maintenance sectors, as well as those who are cashiers.
  • 25% of retail and service industry workers in Alaska are on Medicaid.
• More than 2 million health care and social service workers, including in-home health care and nursing care facilities, as well as hospital support staff and child care providers.
  • 25% of social service workers in Ohio are on Medicaid.
• More than 1.3 million manufacturing and factory workers.
• More than 1.2 million transportation and warehouse workers, including truck drivers, pilots, taxi operators and cargo handlers.
  • Nearly 20% of Pennsylvania’s transportation workers are on Medicaid.
• More than 1.1 million teachers and educators.
• More than 300,000 farmers, fishers, hunters and loggers.
  • 30% of Maine’s farmers, fishers, hunters and loggers are on Medicaid.