Employers suspend hiring, eliminate jobs because of ObamaCare

The Obama Administration has been ramping up its effort to sell ObamaCare to a still skeptical American public.

Last week, Politico reported that a new organization run by former Obama campaign staffers would try to sell the law to the uninsured at events around the country. This on top of the administration working with the NBA and NFL to promote ObamaCare to sports fans.

While they may be able to sell some naive Americans unicorns and fairy dust of ObamaCare, others will likely see the very real negative impact the law is already causing.

According to a recent survey from Gallup, small business owners are already reporting that they’ve had to suspend hiring or eliminate jobs because of the uncertainty that ObamaCare is bringing to their bottomline (emphasis mine):

Small business owners’ fear of the effect of the new health-care reform law on their bottom line is prompting many to hold off on hiring and even to shed jobs in some cases, a recent poll found.
[…]
Forty-one percent of the businesses surveyed have frozen hiring because of the health-care law known as Obamacare. And almost one-fifth—19 percent— answered “yes” when asked if they had “reduced the number of employees you have in your business as a specific result of the Affordable Care Act.”

The poll was taken by 603 owners whose businesses have under $20 million in annual sales.

Another 38 percent of the small business owners said they “have pulled back on their plans to grow their business” because of Obamacare.

That’s 60% of small businesses surveyed that have either stopped hiring or eliminated jobs because of ObamaCare. It doesn’t end there. The poll also shows that 55% of small business owners believe that ObamaCare will cause their health insurance costs to rise and another 52% believe that they can expect lower quality care because of the law.

This is just the beginning of the problems that the Obama Administration will have in selling the law. The Wall Street Journal recently noted that young people aren’t likely to purchase health insurance, despite the individual mandate, because it makes little financial sense for them to do so. Their premiums will be disproportionately high because they will be subsidizing the premiums of older Americans.

This is a huge task before the administration and its supporters that may not work, especially if the implementation efforts continue to hit bumps in the road. The chaotic state exchanges coupled with rising insurance premiums and fear from small businesses may bring a perfect storm in next year’s mid-terms that could dearly cost Democrats.


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