OBAMACARE IS A JOBS KILLER … HAS COST ABOUT 250,000 JOBS.
It is not a matter whether or not Obamacare has to be repealed, we have no choice. Obamacare is a lie when it comes to healthcare coverage and it is a jobs killer. Democrats have whined that Americans will lose healthcare coverage if Obamacare is repealed. Honestly America, we have no choice but to rid ourselves of this terrible law. It was not only a lie to the American people by Barack Obama, but a major jobs killer. We can’t afford to continues with this ironically named Affordable Healthcare Act when it is all but and in a death spiral. Thanks to Obama and the Democrat party, the hiring the 50th full-time employee effectively costs another $70,000 a year on top of the normal salary and benefits. Also, as Instapundit reminds us, it doesn’t save lives either.
In partnership with the Mercatus Center at George Mason University, in March 2017 I was able to commission Hanover Research to survey small businesses nationwide regarding their hiring and compensation practices. The result was a sample of 745 small businesses, representing every major industry and together employing almost 50,000 people.
We asked managers (almost evenly divided between Democrats and Republicans) how many people each business employed and whether it offers health insurance. Many businesses, when they do not offer coverage, keep their payrolls just below 50 full-time employees and thereby narrowly escape the ACA’s penalty. This pattern is not visible among businesses that offer coverage.
When we followed up, the businesses employing just fewer than 50 often said the ACA caused them to hire less and cut hours below the full-time threshold. The penalty caused payrolls to shrink or prevented them from growing.
Nationwide, we estimate the ACA-inspired practice of keeping payrolls below 50 has cost roughly 250,000 jobs. This does not count jobs lost when businesses close (we didn’t survey closed businesses) or shrink because of other ACA incentives.
The tally of lost jobs is bound to grow because the penalty itself automatically grows and the IRS is still learning how to enforce it.