February 3, 2026
Washington, D.C. – The Pharmaceutical Industry Labor-Management Association (PILMA) applauds Congress for passing critical pharmacy benefit manager (PBM) reform legislation as part of the bipartisan spending package now headed to the President’s desk.
“After years of advocacy, meaningful PBM reform has finally crossed the finish line,” said AJ Stokes, PILMA’s Executive Director. “These bipartisan reforms will make healthcare more affordable for American workers, lower costs for unions and employers, and save money for taxpayers.”
The reforms in this legislation directly confront the unchecked power of pharmacy benefit managers, whose opaque business practices have driven up costs for working families, strained employer-sponsored and union-managed health plans, and undermined access to affordable medicine. Crucially, the bill “delinks” PBM compensation from drug list prices by establishing flat, predetermined fees rather than percentage-based arrangements that favor expensive medications.
The current prescription drug system has been unsustainable, with rising costs placing a profound strain on working people and their families – including the skilled pipefitters, electricians, ironworkers, and other tradespeople who build America’s pharmaceutical manufacturing infrastructure. Today, PBMs and other middlemen capture more than half of every dollar spent on prescription medications – and their share continues to grow as patients increasingly struggle to afford their medications.
Employer-sponsored and union-managed health plans, long considered the gold standard of American healthcare benefits, have felt this strain even as they continue to provide comprehensive coverage for millions of American workers and retirees.
“We commend the bipartisan leadership in Congress that made this reform possible. Stokes continued. “Lawmakers from both parties listened to workers, employers, and patients, and achieved real results. We thank every member who supported this critical reform and look forward to continuing our partnership to build on this victory and ensure our healthcare system delivers for working Americans.”
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