If unions regard having to pay for retirement or health care as being a pay cut,  then they are stating that the retirement and health benefits are,  in fact, pay,  and if they are pay,  why not tax that pay?  You can't have it both ways.  What a better way to  pay for indigent care than to tax furnished health care as wages,  a part of the remuneration for work.  That should spread the wealth and not   tax the job providers. more.  

Further,  if a company or employer furnishes health insurance,  or a retirement benefit,  then that money is an expense that is deducted from gross revenue to get to taxable income.  In a zero sum world,  you get that forgone tax money back by taxing the benefit to the employee.  That way the working stiffs can pay for the non working health care costs,  and see that they are doing a wonderful good deed in helping the unfortunate by paying taxes to pay for the indigent health care,  or at least part of the cost.  How Blue is that?