Obamacare’s assault on employment already tangible

image

Here at PRN, we’re dedicated to exposing and documenting just how abhorrent Obamacare is and will continue to be as it’s slowly implemented. And here is another example of the law’s utter failure (or success, if you truly understand Obama’s motives).

From the WSJ

Here’s a trend you’ll be reading more about: part-time “job sharing,” not only within firms but across different businesses.

It’s already happening across the country at fast-food restaurants, as employers try to avoid being punished by the Affordable Care Act. In some cases we’ve heard about, a local McDonalds has hired employees to operate the cash register or flip burgers for 20 hours a week and then the workers head to the nearby Burger King or Wendy’s to log another 20 hours. Other employees take the opposite shifts.

Welcome to the strange new world of small-business hiring under ObamaCare. The law requires firms with 50 or more “full-time equivalent workers” to offer health plans to employees who work more than 30 hours a week. (The law says “equivalent” because two 15 hour a week workers equal one full-time worker.) Employers that pass the 50-employee threshold and don’t offer insurance face a $2,000 penalty for each uncovered worker beyond 30 employees. So by hiring the 50th worker, the firm pays a penalty on the previous 20 as well. 

These employment cliffs are especially perverse economic incentives. Thousands of employers will face a $40,000 penalty if they dare expand and hire a 50th worker. The law is effectively a $2,000 tax on each additional hire after that, so to move to 60 workers costs $60,000. 

Read the Rest

This should outrage the left and the right alike. Small businesses are the backbone of America. If they don’t survive, the nation as we know it doesn’t survive. And unfortunately, based on the hostile business environment that Obamacare has created so far, I don’t see how very many of them can thrive.

We must repeal this law. All of it.

Recent Comments