“Sometimes Things Don’t Work Out As Planned”: UPS’s Christmas Screw Up Is Comeuppance For Private-Sector Triumphalists
At the heart of the great big pile-on of ridicule for the flawed healthcare.gov rollout the past few months was a large helping of private-sector triumphalism. Just imagine, the chorus went, if tech giants like Amazon or Google had been in charge of the Web site instead of those clueless, fusty bureaucrats – first, the problems would not have happened in the first place, but even if they had, the private sector would have held those responsible for the mistakes to account.
Bret Stephens wrote an entire column in the Wall Street Journal listing all the ways that the kludgy healthcare.gov launch had failed to live up to Amazonian standards: “For an ‘Amazon-like’ experience, it isn’t enough to have a website that functions on the front end, the back end and in between. Nor is it enough to have a site that can handle 800,000 users a day without crashing, as the administration now boasts of the health site. Amazon.com handled 26.5 million purchases on Nov. 26, 2012, a company record and a rate of 306 items per second. You also need an Amazon-like culture, which is the product of other Amazon-like realities. Such as: Jeff Bezos as the boss, demanding results and innovation from his employees, providing results and satisfaction for his customers and shareholders.” California congresswoman Anne Eshoo, a Democrat, questioned the contractors’ excuse that the website’s problems had been exacerbated by the large number of visitors after the launch: “There are thousands of websites that handle concurrent volumes far larger than what HealthCare.gov was faced with,” she said. “Amazon and eBay don’t crash the week before Christmas, and ProFlowers doesn’t crash on Valentine’s Day.” And the Washington Examiner’s Philip Klein mocked healthcare.gov’s performance by noting that during the 2011 holiday shopping season, “nearly half of [large retail] websites (such as Amazon and eBay) were up 100 percent of the time. The lowest performing was Foot Locker, which was at 98.573 percent.” He added: “Imagine what a disaster it would be for sales if, during the holiday shopping season, Amazon’s website were down for about a day and a half.”
Yes, just imagine the disaster: the presents might not make it to people’s homes on time!
Oh, wait, what’s this I see in today’s papers?
A surge in online shopping this holiday season left stores breaking promises to deliver packages by Christmas, suggesting that retailers and shipping companies still haven’t fully figured out consumers’ buying patterns in the Internet era. Companies from Amazon.com Inc. to Kohl’s Corp. and Wal-Mart Stores Inc., having promised to deliver items before Dec. 25, missed some delivery target dates. United Parcel Service Inc. determined late Tuesday that it wouldn’t deliver some goods in time for Christmas, as a spike in last-minute shopping overwhelmed its system. “The volume of air packages in the UPS system did exceed capacity as demand was much greater than our forecast,” a UPS spokeswoman said…. Although weather, Web glitches and late deliveries from manufacturers played a part in late deliveries, the sheer unanticipated volume of holiday buying this year may have been the biggest problem, retail analysts said.
…In notifications to some Amazon customers, UPS said there were some shipping delays because it had “not yet received the package from the shipper.” “Amazon fulfillment centers processed and tendered customer orders to delivery carriers on time for holiday delivery,” said an Amazon spokeswoman Wednesday. “We are reviewing the performance of the delivery carriers.” The spokeswoman also said Amazon refunded any shipping charges associated with the impacted shipment and provided a $20 gift card. She declined to say how many customers had been impacted or offered such a rebate.
On Christmas Eve, Brandon Scott was still waiting for a 46-inch Samsung TV and Kate Spade watch he ordered from Amazon on Saturday. “I’m frustrated because these items could have easily been purchased at various retailers in my area, something I would have gladly done had Amazon not ‘guaranteed’ their arrival before Christmas,” said Mr. Scott, of Ann Arbor, Mich.
Well, then. There’s little schadenfreude to be had in people being left empty-handed of presents to give their family and friends, or in underpaid, overworked warehouse employees and drivers rushing unsuccessfully to get the goods to their destinations on time. And as my colleague Jonathan Cohn noted recently, the comparison between healthcare.gov and Amazon was deeply flawed from the outset. But still, the Great Christmas Delivery Screwup of 2013 should inject a bit of perspective and humility into the ranks of the loudest private-sector champions. The fact is, the clichés are true: life is complicated, stuff happens and sometimes things don’t work out as planned. As amazing and wonderful as technology is, there are still limits to what is possible in narrow windows of time – sometimes you just need a few more weeks to get the complex new health insurance Web site for 36 states working properly, or you just run out of hours to beat Santa to the house – to millions and millions of houses. (And sometimes it’s not just the government web site that struggles with keeping personal information secure, but also one of the largest retailers in the country, in a breach far wider and more potentially damaging than anything that has happened with healthcare.gov.)
So, how about it: if not an outright truce, maybe some de-escalation of the anti-government triumphalism. And a little forgiveness all around. Happy Boxing Day.
By: Alec MacGinnis, The New Republic, December 26, 2013
“There’s Something There”: GOP ‘Confronting A New Reality’ On Healthcare
The Obama administration won’t have an official announcement on December’s health care enrollment numbers for a few more weeks, but chances are good that we’ll see a spike in the number of newly enrollment Americans. At the end of November, the Affordable Care Act had helped bring coverage to about 1.2 million people; by the end of this month, that total will include millions more.
And with each new enrollment, it slowly dawns on congressional Republicans that the larger calculus has changed in fundamental ways. Jonathan Weisman reported overnight that GOP policymakers are “confronting a new reality.”
The enrollment figures may be well short of what the Obama administration had hoped for. But the fact that a significant number of Americans are now benefiting from the program is resulting in a subtle shift among Republicans.
“It’s no longer just a piece of paper that you can repeal and it goes away,” said Senator Ron Johnson, Republican of Wisconsin and a Tea Party favorite. “There’s something there. We have to recognize that reality. We have to deal with the people that are currently covered under Obamacare.”
And that underscores a central fact of American politics since Franklin D. Roosevelt signed the Social Security Act during the Depression: Once a benefit has been bestowed, it is nearly impossible to take it away.
Quite right. The Republican repeal crusade, whether the party wants to admit it or not, is over. Sure, Boehner & Co. can schedule a few dozen more repeal votes to help Tea Partiers feel warm and fuzzy, but even that’s less likely in light of the millions of consumers who’ve signed up for coverage – in an election year, candidates don’t generally thrive running on a platform that says, “Vote for me so I can take health care benefits away from your family.”
Indeed, GOP officials are desperate to talk about the “cancellation notices” a small sliver of the population received, but it gets a little tricky for these same Republicans to draw up plans to cancel millions more health care plans on purpose.
As we discussed a few weeks ago, the fight over health care is no longer an abstraction over hypothetical benefits. There’s a profound difference between “Republicans are voting to deny you a benefit you don’t yet enjoy” and “Republicans are voting to take away your health insurance and replace it with nothing.” The former struck GOP officials as plausible; the latter is politically suicidal.
So, as of this minute, what’s the Republican position on health care? No one, including GOP policymakers themselves, has any idea. For years, it was a straightforward push to repeal the entirety of the law, regardless of the consequences or human suffering. Now, some still want to pretend repeal is possible, others want to tinker around the edges with “reforms.” Some believe it’s time for Republicans to craft a policy alternative of their own to present to voters, others believe incessant complaining should be enough to give the GOP a boost on Election Day.
“The hardest problem for us is what to do next,” Sen. Lindsey Graham (R-S.C.) told Weisman.
Ya don’t say.
By: Steve Benen, The Maddow Blog, December 27, 2013
“Fast And Loose With The Facts”: Lying About Obamacare Continues As Campaign Season Begins
You may want to sit down before reading this: Republicans aren’t being totally truthful about the Affordable Care Act (ACA). As the 2014 midterm elections approach, conservative groups are beginning to hit the airwaves with spots targeting vulnerable Democrats and their support for the health law — and the ads are playing fast and loose with the facts.
Americans for Prosperity, the tax-exempt conservative action group created by brothers Charles and David Koch, took out two ads against vulnerable Democrats: Rick Nolan of Minnesota’s 8th District and Ann Kuster of New Hampshire’s 2nd District. Both focus on the health-care law, and they are important to dissect because they are the first trickles of what is sure to be a torrent of anti-ACA advertising.
The ad against Nolan features a middle-aged Minnesota resident named Randy Westby, who [http://youtu.be/-VVwc60M8zg]says he lost his health care plan because it no longer qualified for purchase in the exchanges. “I’ve had three heart attacks in the last six years. Health care is something that’s essential, and my life depends on it,” he continues.
The ad leans heavily on Politifact’s “Lie of the Year” designation for President Obama’s “if you like your plan, you can keep it” claim, and gives the strong impression that sick people are much worse off under Obamacare.
But was Westby able to find another plan? Four million to five million people probably had their plan canceled because of updated coverage requirements, but the administration believes fewer than 500,000 of those people are still looking for another plan. The ad doesn’t tell us if Westby is one of those people.
Nor does it note that he can’t be disqualified from any of the plans on the exchanges because of his preexisting condition — and three heart attacks in six years is one heck of a preexisting condition. Are the plans available to him cheaper than what he had before? How much better is the coverage? We don’t know, although given Westby’s medical history and apparent age, it seems he is exactly the type of person most likely to benefit from how the new individual market is structured.
The New Hampshire ad is more general and features an actress, but it relies on the same central and shaky claim that “millions of people” are losing coverage. Both ads hit the Democrats in question for voting to keep the ACA in place. (Aside from firing up the conservative grass roots, there was a good political reason for all those repeal votes in the House: to get vulnerable Democrats on the record, again and again.)
A focus on horror stories like these is the likely new Republican approach to Obamacare, as the New York Times outlines today. “It’s no longer just a piece of paper that you can repeal and it goes away,” Sen. Ron Johnson (R-Wis.) told the times. “There’s something there. We have to recognize that reality. We have to deal with the people that are currently covered under Obamacare.”
But Westby may well be one of these people. And he may be getting better coverage. These will be the battle lines for the upcoming year: Republicans are gearing up to tell the horror stories, and Democrats will have to respond with stories of their own — the eight million to 10 million people who will be getting coverage under Obamacare by the end of March.
By: George Zornick, The Plum Line, The Washington Post, December 27, 2013
“Yes, A Birthright To Health Care”: America Joins The Developed World, Thanks To Obamacare
I’m sitting here very early Christmas Eve morning staring at a chart from the Organization for Economic Cooperation and Development. You know the OECD—they’re the people who keep all those annoying stats about how the United States is 17th in this and 32nd in that, the kind that alas aren’t very surprising anymore except that they do make us shake our heads and wonder how we managed to come in behind even Belarus.
This chart is on an Excel spreadsheet, so I can’t provide a link, but it shows access to “health insurance coverage for a core set of services, 2009.” It then lists the 34 OECD member states, showing percentages of citizens with “total public coverage” and with “primary private health coverage.”

In 19 countries, 100 percent of the population is covered via public insurance. In 11 more, more than 95 percent are covered the same way. So all but four countries basically provide universal or near-universal public coverage. In Turkey, Mexico, and Chile, between 70 and 80 percent are covered—also publicly. In the United States, that number is 26.4 percent. That’s the seniors, the veterans, and the very poor who get direct public health care. We then add 54.9 percent who get private coverage. No other country even bothers with private coverage at all, except Germany a little bit (10.8 percent). Our two numbers add up to 81.3 percent, ranking us 31st out of the 34. The rest of the advanced world, in other words, with not all that much fuss and contention, has come around to the idea that health coverage is a right.
As I think back over 2013, in my sunnier moments, I try to think of it as the year that future historians will point to as the time when the United States finally and grudgingly started joining this world consensus. Sometime in the 2030s, after Medicare for all has passed and we’re finally and sensibly paying taxes for preventive cradle-to-grave care, people will note—with pride!—that the long process started with Obamacare (yes, conservatives: I’m admitting gleefully that the elephant’s nose is under the door, so spare yourselves the trouble of thinking you’re clever by tweeting it!).
There were of course other important stories in the year now ending. For my number two, I’d choose Iran and Syria; that’s certainly one to watch heading into next year. Barack Obama mishandled Syria with all that talk of red lines that ended up being unenforced, badly letting down the small-d democrats in the region who count on the United States to countervail Iran. On the other hand, those chemical weapons actually are being destroyed, evidently. On the other other hand, the slaughter continues, and we will do nothing. Even a deal with Iran on nuclear technology, certainly a thing to be celebrated in one respect, will also allow Iran to show the region (that is, Saudi Arabia, its main competitor for regional domination) that it’s in the big leagues now too. As is typical in that part of the world, no diplomatic development is all good or all bad.
But this has been the year of Obamacare first and foremost. And next year pretty much will be, too. I’m glad the website was fixed, and glad for the apparent surge in the enrollment numbers. But it’s still the case for the change to take root and really succeed, Democrats from Obama on down have to defend this policy on principled terms, not just practical ones.
That is—right now, Democrats and progressive groups are mostly trying to get people to sign up for coverage by scaring them into thinking they might break their leg. But there are two problems with this approach. One, most people don’t break their leg. I’ve been on this planet 53 years and I’ve never broken a bone.
Two, it’s not completely honest as a selling point. Yes, liberals are concerned that people who face injury have coverage. But that’s not the main reason liberals support health care reform. We support it because we think health care coverage should be a right, and this is a big step down that road, or the best step we could make under current reality. Like any right, it comes with responsibility, so that’s why you have to buy it. But it’s a right. It’s not an extravagance or something you earn by having a better-than-Walmart-level job. You “earn” it by doing something a lot simpler than that—you earn it by being born.
This is one of those occasions where I wish desperately that Democratic politicians would just say what they believe without worrying how it’s going to be played in Politico or what those fat-mouth propagandists on the right are going to say about it. Obamacare isn’t just about getting people to fear illness or injury. It’s about changing people’s minds about what health coverage fundamentally is. And they’re not going to change any minds unless they’re willing to say that.
Hey, I’ve kept flipping through those OECD spread sheets and I’ve found some things we’re number one in. Male obesity—70.3 percent in 2011! Female obesity, too—56.1 percent! Infant mortality rate of 6.1 per 1,000 live births! Okay, we trail Mexico and Turkey there, but still. Income inequality—well, thank God for Turkey, Mexico, and Chile. Whoever let them in was really thinking ahead, so at least we’d look OK compared to someplace.
Something like reducing obesity can be best done through preventive care that kicks in well before a person has a BMI in the 40s. Obamacare already has started the process of changing this. More than 5 million Medicare recipients are getting free preventive treatments across a range of categories (PDF). That’s health care as a right. Democrats need to be unapologetic in talking like that.
By: Michael Tomasky, The Daily Beast, December 26, 2013
“Not A Bad General Election Issue”: Should Democrats Press The Public Option?
There’s no question that the Affordable Care Act’s rollout has been “rocky,” to borrow the common parlance of the Beltway. The Web site troubles and shifting health coverage for some Americans, despite over-assurances from President Obama during the 2010 political debate, have naturally turned off some people. A much-ballyhooed poll from CNN yesterday shows that support for “Obamacare” has dropped to an all-time low.
But conservatives toasting the apparent turn in public opinion ought to look a little closer at the polling data. It’s true that only 35 percent of Americans favor the law, while 43 percent oppose it. But there’s a crucial third group: 15 percent oppose the ACA because it’s “not liberal enough.” That means that 50 percent of Americans either support the law or want policy changes that shift leftward.
Looking at the polls in that light suddenly shifts the political calculus. Republicans who want to repeal and “replace” the legislation — with measures that have never been entirely clear, especially when it comes to the most popular provisions of the ACA — are suddenly facing an uphill battle with the public.
This presents a pretty clear road map for Democrats worried that the biggest legislative achievement of the Obama era might turn against them. The CNN/ORC poll didn’t press people on what, exactly, “not liberal enough” meant, but it’s not hard to imagine what those people might want. Recall that while the legislation was being crafted, the public broadly supported a “public option” in the bill that would allow people purchasing insurance on the exchanges to select a federal health insurance plan.
So what if Democrats pushed for it? A public option would save $100 billion over 10 years, according to the Congressional Budget Office, and could offer respite from the plan cancellations and rate hikes that still persist with private insurers with the ACA in place.
There’s essentially no chance President Obama will take another bite at the health-care apple, especially with so many other priorities to tackle: his professed desire to combat climate change and income inequality before he leaves office, along with getting comprehensive immigration reform passed. But strategists on 2016 presidential campaigns ought to take heed.
Imagine a candidate who comes out early, and strong, for adding a public option to the ACA exchanges. It could become a signature issue with the liberal grass roots during the primaries, and it wouldn’t be a bad general election issue either — the polls in 2010 showed support for a public option among Republicans and independents as well as Democrats. As Ezra Klein has noted, the sudden disappearance of the public option from Democratic politics has been “a bit curious,” but perhaps its day is coming.
By: George Zornick, The Plum Line, The Washington Post, December 24, 2013