Thursday, April 1, 2010

ObamaCare Impact on Small Business Hiring

Government programs cost jobs which creates more of an uproar for more government programs, which, in turn, cost more jobs which creates more demand for government handouts, which cost more jobs. Check this out on the impact of penalties on businesses that don't insure employees:

Such penalties make Doug Newman, owner of Newman Concrete Services in Richmond, Maine, nervous. In the past 18 months, as the economy battered the construction industry, Newman's work force shrunk from 125 employees to just 25.

He is worried that once the economy turns and he begins to hire back workers, he'll face a critical decision when he nears the 50-worker mark and is no longer exempt from penalties. Newman now pays 60 percent of his employees' individual premiums and 40 percent of their family premiums.

"The 51st employee could mean $100,000 in costs. I've been calling it the concrete ceiling," he said. "No employer is going to hire No. 51 if it brings all these mandates down on you, because they're pretty onerous."

No comments: